The IRS is using a system that was hacked to protect victims of a hack—and it was just hacked

Confounding

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Jan 31, 2016
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This is the government that wants iPhone encryption access. o_O

The IRS is using a system that was hacked to protect victims of a hack—and it was just hacked

It ain’t easy being an American taxpayer. The US Internal Revenue Service said last week that the number of records it lost in a 2015 data breach is higher than it previously thought. When the agency first announced in May 2015 that hackers had broken into its website and stolen tax transcripts, it said that about 100,000 people were affected. It bumped that number up to 334,000 last August, and now says the number of records stolen is actually 724,000. And it gets worse. To protect the victims of the data breach from further harm, the IRS provided them with “Identity Protection PINs.” The PINs are secret codes those taxpayers now have to put on all of their tax returns, or the IRS won’t accept them. As long as they keep their PINs secret, they should be safe from fraud.

For this master plan to work, though, the IRS would also have to keep the PINs secret. Unfortunately, it seems the agency is having some trouble with that. Security researcher and journalist Brian Krebs reported yesterday (March 1) that at least one of the PINs has been compromised. An accountant in South Dakota, Becky Wittrock, told Krebs she was assigned her PIN in 2014, after she was a victim of fraud. When she filed her tax return this year, she found out the PIN had already been used
 

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