The confidentiality of tax return information does not end with the death of the subject
of the information. Both the Social Security Act and the IRC restrict the disclosure
of tax return information about deceased individuals.
When either the Social Security Act or the IRC allows the disclosure of tax return
information about deceased individuals, proof of death and proof of the requester's
relationship to the deceased person must be established and documented (see GN 03320.020B.). Apply the law that will give the requester the most information based on his/her
relationship to the deceased and on the type of information needed.
The following chart explains the particular tax return information that may be disclosed
about deceased individuals, to whom the disclosure may be made, and the circumstances
under which disclosure may be made.
CITATION
|
DISCLOSURE
|
1. Section 205(c)(2)(A) of the Social Security Act (42 U.S.C. §405(c)(2)(A))
|
This provision of the Social Security Act provides that SSA may only disclose the
amounts of wages and self-employment and the periods during which such wages were
paid and the income derived. Under this provision, information may only be disclosed
to the:
-
•
legal representative of the deceased person's estate; or
-
•
deceased individual's survivors (the survivor must be a spouse, divorced spouse, parent
or child).
NOTE: The terms “parent” and “child” do not include a stepparent and a stepchild.
|
2. Internal Revenue Code (26 U.S.C. §6103(e)(3)(B))
|
Under this provision of law, if material interest which will be affected by the information
is established, SSA may disclose any tax return information to the:
-
•
administrator, executor, or trustee of the estate; or
-
•
heir at law, next of kin, beneficiary under the will of the decedent, or a donee of
property.
The Internal Revenue Service defines material interest as an important (generally
financial) interest. This includes entitlement to an insurance annuity or settlement
of an estate.
|