Is it OK for the IRS to Use Social Media Sites to Track Tax Cheats?

As procrastinators rush to file their tax returns before Monday's deadline, reports surfaced that the Internal Revenue Service could use social media sites, such as Facebook and Twitter, to check up on tax cheats.

Mediabistro.com shared a report that the IRS will be checking into individual Facebook and Twitter accounts for improprieties. The report does say that, according to the IRS, it would only be in cases where a tax form raises a red flag. It is not clear, though, just how far into social media sites the agency intends to go. However, it might not be a good idea to display your Caribbean vacation photographs on your Facebook page if you've reported a big loss on your tax return.

Social media sites have already contributed to the downfall of some people trying to cheat insurance companies or calling in sick to the office when they're really playing hookie, so why not the IRS?

What do you think of this practice? Too invasive? Or not a problem — if you’re not cheating there shouldn’t be anything to worry about?

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