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Trump Administration Plans Major IRS Workforce Reduction

Proposed cuts could halve the IRS workforce, raising concerns about tax processing delays and reduced enforcement capabilities.

  • The Trump administration is reportedly considering cutting the IRS workforce by 50%, reducing its staff to levels not seen since the 1950s.
  • Tax experts and former IRS officials warn that such cuts could cripple the agency’s ability to process tax returns, issue refunds, and enforce tax compliance effectively.
  • Democratic lawmakers, including Senator Elizabeth Warren, have written a letter denouncing the proposed cuts, citing potential delays in refunds and weakened audits of wealthy taxpayers.
  • Over 7,000 probationary IRS employees were already laid off in February as part of broader federal workforce reductions spearheaded by the Department of Government Efficiency (DOGE), led by Elon Musk.
  • Seven former IRS commissioners have publicly criticized the cuts, likening them to a private company firing its accounts receivable staff, and warning of significant disruptions to government revenue collection.
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