FTC warns tax preparation companies on alleged consumer data misuse

The U.S. Federal Trade Commission warned five tax preparation companies they risk civil penalties for allegedly using consumers' confidential data for purposes unrelated to tax preparation without consent. In a "Notice of Penalty Offenses," the FTC said companies could face civil penalties of up to USD50,120 per violation. "Companies that violate American's privacy by seeking to monetize personal data without consent can face significant financial consequences," FTC Bureau of Consumer Protection Director Samuel Levine said.