Mich. Admin. Code R. 205.1006a - Implied authorization for disclosure of confidential information to third parties

Rule 6a.

( 1) Before a department officer or employee may disclose confidential information to a third party, the department shall confirm that the third party is authorized by the taxpayer to receive the confidential information.

( 2) Before giving out confidential information, whether the request is by telephone or in person, the department shall obtain information about the taxpayer and the subject matter as it determines to be necessary to identify the requesting party.

( 3) For a refund inquiry, the department shall obtain the approximate amount of the expected refund, unless that amount is computed by the department, and the manner in which the return was filed; for example, an individual, separate, or a joint return.

( 4) A telephone conference call that is initiated by the taxpayer and includes the taxpayer, a third party, and the department may be used to discuss confidential information concerning the taxpayer without written authorization. However, the department, if it is unable to verify the identity of the caller to its satisfaction, may mail, or otherwise transmit electronically, requested confidential information to the taxpayer at the taxpayer's address of record rather than discussing it in a telephone conference call.

( 5) A taxpayer's conduct may constitute either express or implied authorization to the department to disclose confidential information to a third party. For example, if a taxpayer brings a friend to an informal conference or other face-to-face meeting with department personnel and invites the friend to sit in, the taxpayer, by that conduct, has given implied consent to the department to disclose the taxpayers confidential tax information to the friend. If the taxpayer does not authorize the department to disclose confidential tax information to the friend, then the friend must leave the informal conference or other face-to-face meeting. As an additional example, the conduct of a deaf individual seeking translation services from the department constitutes implied consent to the translator to relay or receive confidential information on the individual's behalf if the deaf individual is a party to the conversation with the department.

( 6) The department may accept tax information that is voluntarily offered by a third party, but, in the absence of express or implied authorization from the taxpayer consistent with these rules, shall not disclose information to the third party. For example, a third party may provide canceled check information to initiate a payment tracer on a bill, but the department shall not disclose the balance due or the nature of the assessment to the third party in the absence of express or implied authorization from the taxpayer consistent with these rules. Absent express or implied authorization from the taxpayer consistent with these rules, the department may discuss with a third party only general information concerning the meaning of a bill or a notice or information provided by the third party.

Notes

Mich. Admin. Code R. 205.1006a

2018 MR 9, Eff. 5/11/2018