Any organization or agency that receives federal tax information (FTI) is now required to prove that their data protection policies meet IRS 1075 compliance standards. That means federal, state, county and local entities – as well as the contractors they employ – all fall within this scope.
IRS 1075 lays out a framework of compliance regulations to ensure federal tax information (FTI) is kept confidential. While this may sound simple enough, IRS 1075 is actually made up of a complex set of managerial, operational and technical security controls that must be continuously followed in order to maintain ongoing compliance.