[justlurking]

None of that is "returns" as defined in FEDERAL law.

The law specifies "return information", not "return".

(2) Return informationThe term “return information” means—

(A) a taxpayer’s identity, the nature, source, or amount of his income, payments, receipts, deductions, exemptions, credits, assets, liabilities, net worth, tax liability, tax withheld, deficiencies, overassessments, or tax payments, whether the taxpayer’s return was, is being, or will be examined or subject to other investigation or processing, or any other data, received by, recorded by, prepared by, furnished to, or collected by the Secretary with respect to a return or with respect to the determination of the existence, or possible existence, of liability (or the amount thereof) of any person under this title for any tax, penalty, interest, fine, forfeiture, or other imposition, or offense,

[There's more, but this is the relevant part]

Even though the information might have come from a state return, it's the same information as a federal return.

[Cboldt]

Read the entire statute. It's a stretch to say that "returns" or "return information" is meant to include filings made to a state. In the definition, note the phrase "furnished to, or collected by the Secretary" (this narrows the scope), and "liability ... under this title."

See part (d) too.

The confidentiality provision applies to what is disclosed to the feds. The state's sharing of information disclosed to the state under state law, between state agencies, is outside of this statute.

Again, I'm not saying no law was broken, but this law was not.