IRS Criminal Investigations combats growing identity theft and account fraud often linked to national security

Works with J5 and Five Eyes alliances to share intelligence on AI and digital currency crimes

Criminals use AI to mimic biometrics create synthetic identities and bypass KYC with deepfake passports and documents

Example fraud cases include AI-generated executives in video calls multimillion-dollar corporate scams and $71B elder fraud losses

Surge in deepfake content from transnational groups plus phishing fake tax returns and disaster fraud exploiting victims

AI detection tools lag behind offense making human oversight essential

Proposed cross-sector “vault” to share fraudulent synthetic identity samples for faster pattern recognition

Emphasis on early tax filing phishing vigilance and public-private cooperation to prevent fraud