The IRS has withdrawn its proposed regulation which would have had charities collecting and reporting social security numbers of all donors who gave over 250 to the charity. The proposed regulation drew a large negative reaction from charities concerned about the additional record keeping requirements and numerous people concerned with an increased risk in ID theft by having social security numbers used more widely. This goes to show that even the IRS listens to taxpayers occasionally.
Apparently they grumbled loud enough for action to be taken. Last Friday, Sen. Pat Roberts introduced legislation which would ban the proposed IRS regulation from taking effect. It appears lots of people are concerned about the increased risk of ID theft that would occur if this regulation were to be implemented.