Tax authorities do too little to protect citizens' privacy
The Dutch Data Protection Authority reports that the Belastingdienst is failing to meet privacy standards in ten out of twelve audited areas, including inadequate logging and problematic use of algorithms. The regulator has demanded immediate improvements to prevent discrimination and better protect sensitive personal data, citing a history of compliance failures by the agency.
The Dutch Data Protection Authority has issued a critical report stating that the Tax and Customs Administration, known as the Belastingdienst, is failing to adequately protect citizen privacy. An investigation covering twelve areas found that the agency fell short in ten, including issues with tracking system access, the handling of personal data, and the need to stop including citizen service numbers (BSN) in payments to prevent unauthorized disclosure. The authority also demanded better oversight of the algorithms used to select tax returns for review to prevent potential discrimination and ensure meaningful human intervention in automated processes.
The agency has faced previous sanctions, most notably a 3.7 million euro fine in 2022 for maintaining an illegal fraud blacklist that unfairly targeted thousands of individuals based on nationality. Despite ongoing efforts to improve compliance with privacy laws, the watchdog maintains that progress remains insufficient. The Belastingdienst is now required to take urgent corrective measures to safeguard personal information and ensure transparency in its operations to avoid future non-compliance penalties.
Based on reporting by nu. Translated and condensed by LocalHeadlines.
