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IRS Leadership Turmoil Deepens as Trump Replaces Acting Commissioner

Gary Shapley, a whistleblower in the Hunter Biden tax probe, is replaced by Michael Faulkender after Treasury Secretary Scott Bessent objected to Elon Musk's role in Shapley's appointment.

FILE - IRS Supervisory Special Agent Gary Shapley arrives to testify on the Hunter Biden investigation during a House Ways and Means Committee hearing, Dec. 5, 2023, on Capitol Hill in Washington. (AP Photo/Jacquelyn Martin, File)
A sign for the Internal Revenue Service (IRS) is seen on its building on February 13, 2025 in Washington, DC. Members of Elon Musk's Department of Government Efficiency (DOGE) arrived at the Internal Revenue Service to begin examining the agency's operations.
Elon Musk during a cabinet meeting at the White House

Overview

  • Gary Shapley was removed as acting IRS commissioner just three days after his appointment, following objections from Treasury Secretary Scott Bessent.
  • Bessent argued that Shapley's appointment was orchestrated by Elon Musk’s Department of Government Efficiency (DOGE) without proper consultation.
  • Deputy Treasury Secretary Michael Faulkender has been named as the new acting commissioner, becoming the fifth person to lead the IRS this year.
  • Shapley, who gained prominence for whistleblowing on alleged Justice Department interference in the Hunter Biden tax investigation, will remain a senior adviser at Treasury.
  • The IRS continues to face significant upheaval, including leadership instability, workforce cuts, and controversies over data-sharing agreements with immigration authorities.