WASHINGTON STATE DEPARTMENT OF REVENUE

1. WASHINGTON STATE DEPARTMENT OF REVENUE PROTECTING CONFIDENTIAL TAX INFORMATION

2. REMEMBER TO “TAKE FIVE”!! BEFORE GIVING OUT INFORMATION, ASK YOURSELF: “IS THIS CONFIDENTIAL TAXPAYER INFORMATION?”

3. CONFIDENTIALITY LAWS • RCW 42.56.230(3) (PUBLIC RECORDS) • RCW 82.32.330 (EXCISE TAX) • RCW 84.08.210 (PROPERTY TAX) • RCW 84.40.020 (PROPERTY TAX) • RCW 84.40.340 (PROPERTY. TAX) • RCW 70.158.050(2) (TOBACCO MFRS)

4. GET COPIES OF THE LAWS • THE REVISED CODE OF WASHINGTON (RCW) IS AVAILABLE THROUGH THE INTERNET ON THE WASHINGTON LEGISLATURE’S WEBSITE • http://apps.leg.wa.gov/rcw/

5. EXAMPLES OF CONFIDENTIAL TAX INFO • SOCIAL SECURITY NUMBERS • BUSINESS PHONE NUMBERS OR E-MAIL ADDRESSES LISTED WITH DEPT. OF REVENUE • WHETHER A BUSINESS FILES ITS TAXES MONTHLY, QUARTERLY, OR ANNUALLY

6. UNAUTHORIZED DISCLOSURE OF TAX INFORMATION • DON’T GIVE TAX INFORMATION TO A TAXPAYER’S: • LAWYER • SPOUSE (unless listed in record as taxpayer) • PERSON WITH GENERAL POWER OF ATTORNEY FOR THE TAXPAYER • FORMER BUSINESS PARTNER, EXCEPT FOR TIME PERIOD THEY SHARED OWNERSHIP OF THE BUSINESS • DON’T GIVE TAX INFORMATION CONCERNING HOTELS, B&Bs, ETC. TO CHAMBERS OF COMMERCE OR TOURISM BOARDS • UNDER THE TAX LAW THEY ARE NOT AUTHORIZED TO HAVE ACCESS TO A TAXPAYER’S CONFIDENTIAL INFO

7. WHAT’S OK TO GIVE OUT? • INFORMATION THAT’S AVAILABLE ON DOR’S BUSINESS RECORDS DATABASE CAN BE DISCLOSED TO ANYONE • DOR.WA.GOV/CONTENT/BRD • INFORMATION IDENTIFIED IN RCW 82.32.330(3)(l)

8. OK TO DISCLOSE, ACCORDING TO RCW 82.32.330(3) • TAXPAYER NAME & TRADE NAME • ENTITY TYPE • BUSINESS ADDRESS • MAILING ADDRESS • TAX REGISTRATION/UBI NUMBERS • NAICS OR SIC CODES • DATES OF BUSINESS OPENING AND CLOSING • REET CONTROLLING INTEREST INFO

9. USE INFORMATION ONLY FOR PURPOSE AUTHORIZED • DATA-SHARING AGREEMENTS SET OUT THE ONLY PURPOSES AUTHORIZED • EACH EMPLOYEE WITH ACCESS TO TAX INFO MUST KNOW AND UNDERSTAND LIMITATIONS ON USE OF TAX INFO • IF YOUR NEEDS FOR USE OF THE INFO CHANGE OR EXPAND, GET A NEW OR AMENDED DATA-SHARING AGREEMENT

10. WHO MAY HAVE ACCESS TO TAX INFORMATION? • ONLY THOSE AUTHORIZED MAY HAVE ACCESS TO TAX INFORMATION • ONLY THOSE WITH NOTARIZED SECRECY CLAUSE AFFIDAVITS ON FILE WITH CITY AND WITH DOR MAY BE AUTHORIZED • MAKE SURE YOUR CONTRACTORS HAVE NOTARTIZED AFFIDAVITS ON FILE • IF USING ON-LINE DATA, ACCESS IS GRANTED TO EACH INDIVIDUAL—CAN’T SHARE ANOTHER PERSON’S ON-LINE ACCESS

11. SECRECY CLAUSE AFFIDAVITS • WHO? • EACH EMPLOYEE OR AGENT WITH ACCESS TO CONFIDENTIAL TAX INFORMATION • WHEN? • BEFORE ACCESS TO TAX INFORMATION • UPDATE IF ANY PERSONNEL CHANGES • HOW? • NOTARIZED • WHERE? • KEPT ON FILE BY EACH CITY AND SUBMITTED TO DEPT. OF REVENUE • WHY? • ASSURE UNDERSTANDING OF LAWS AND PENALTIES FOR VIOLATION

12. DATA SECURITY • KEEP ALL DATA SECURE, REGARDLESS OF MEDIUM • BEST PRACTICES: • DON’T PRINT OUT TAX INFO YOU DON’T NEED TO • OK to print out to give to a taxpayer, but be sure you’re standing by the printer as the document prints! • DON’T COPY OR DOWNLOAD TAX INFO ELECTRONICALLY UNLESS YOU REALLY NEED TO • DON’T COMMUNICATE ANY TAX INFO IN AN E-MAIL MESSAGE, OR IN AN ATTACHMENT TO AN E-MAIL MESSAGE

13. DATA SECURITY (cont’d) • ELECTRONIC DATA • PCs • PROTECT ACCESS WITH ADEQUATE PASSWORDS • AUTOMATIC SCREENSAVER AFTER SHORT PERIOD OF TIME • MAKE SURE SCREENS NOT VIEWABLE BY OTHERS • E-MAIL (Don’t use to communicate tax info!) • LAPTOPS (Don’t download tax info onto laptops unless you’ll be able to keep them secure at all times) • CDs and DATA STICKS (Don’t download tax info unless you must, and keep secure always)

14. DATA SECURITY (cont’d) • HARD COPIES-if you must print out tax info • DON’T LEAVE DOCUMENTS ON DESKS/COUNTERS/IN A CAR • LOCK UP DOCUMENTS (in office, desk, file drawer, etc.) • IF LOCKS AREN’T FEASIBLE, DESTROY COPIES AT END OF EACH DAY (check with your records retention expert to make sure it’s ok)

15. DATA SECURITY (cont’d) • HARD COPIES (cont’d) • DON’T THROW TAX INFO IN TRASH BIN! • PAPER MUST BE MADE ILLEGIBLE BY DISPOSAL PROCESS (SHRED, BURN, HYDROPULP) • ONLY AUTHORIZED PERSONS MAY TAKE DOCUMENTS TO DESTROY THEM (Don’t just hand them to the janitor to shred) • IF DESTROYED BY CONTRACTOR OR OFF-SITE, MAKE SURE TRANSPORTATION AND DESTRUCTION ARE SECURE

16. PENALTIES • WHAT ARE PENALTIES FOR BREACH OF CONFIDENTIALITY? • RCW 82.32.330 • MISDEMEANOR • SANCTIONS INCLUDE: • UP TO $1000 FINE • UP TO 90 DAYS IN JAIL • LOSS OF JOB • BARRED FROM EMPLOYMENT BY STATE OR LOCAL GOVERNMENT FOR TWO YEARS

17. NOTIFICATION OF ELECTRONIC SECURITY BREACHES • RCW 42.17.31922 • “UNAUTHORIZED ACQUISITION OF [UNENCRYPTED] COMPUTERIZED DATA THAT COMPROMISED THE SECURITY, CONFIDENTIALITY, OR INTEGRITY OF PERSONAL INFORMATION MAINTAINED BY THE AGENCY” • NOTICE IN “MOST EXPEDIENT TIME POSSIBLE AND WITHOUT UNREASONABLE DELAY”

18. QUESTIONS? CALL DOR FOR HELP !

19. DEPARTMENT OF REVENUE STAFF • TIFFANY JOHNSON, LOCAL TAX MANAGER TIFFANYJ@DOR.WA.GOV 360/902-7122 • MAUREEN O’CONNELL, PUBLIC RECORDS OFFICER’S DESIGNEEMAUREENO@DOR.WA.GOV 360/705-6647 • SUZANNE MAGER, PUBLIC RECORDS COUNSEL SUZANNEM@DOR.WA.GOV 360/705-6641

20. QUESTIONS???