Definition
Section 7216 of the US Internal Revenue Code makes it a crime for a tax return preparer to knowingly or recklessly disclose or use a client's tax return information without permission. Treasury regulations allow some uses with the client's specific written consent.
Why it matters when licensing company data
For accounting and tax firms, this rule shapes any plan to license records for AI: return information generally needs client consent in the regulated form, or must be excluded. Firm records that contain no tax return information are outside the rule.
Source
26 U.S.C. § 7216 (Cornell LII). Definition reviewed November 7, 2026 by Origin Data Partners.