The Trump administration, in collaboration with the Department of Government Efficiency, is proposing a significant downsizing of the Internal Revenue Service, potentially reducing its workforce by nearly 20% by May 15—just one month after Tax Day.
As part of a broader government-wide effort to streamline federal agencies, President Donald Trump has directed agencies to submit their large-scale layoff plans, known as Reduction in Force, by Thursday.
Details of the IRS proposal were outlined in an internal DOGE email and will be discussed in a meeting among agency leadership on Thursday morning. The proposal has not been made public.
If enacted, the layoffs would eliminate approximately 6,800 positions, adding to the nearly 6,700 probationary employees already let go and the 4,700 who opted for the administration’s voluntary buyout program, dubbed “Fork in the Road.”
Experts and IRS employees have raised concerns that these reductions could significantly impact the agency’s ability to collect revenue, which in turn funds most government operations. While the annual tax filing deadline is April 15, the IRS processes tax returns and conducts audits year-round.
“Depending on how these cuts are implemented, they could dramatically reduce revenue and customer service,” the source said. “If we are not auditing much, it impacts people’s willingness to file honestly in the first place.”