As Elon Musk’s Department of Government Efficiency quickly grows its impact within the organization, with leadership modifications and looming team cuts in the months leading up to Tuesday’s individual income tax filing date, the IRS is going through a significant revolution.
Chief Information Officer Rajiv Uppaul is expected to leave the organization after two decades, according to an inner message that the Washington Examiner reviewed on Monday.  ,
According to a current and former worker of the IRS, the government’s push to develop data sharing to help authorities find people who have broken legal immigration laws has sparked concern within the organization.  ,
Without legal status, residents and employees of the United States have long been encouraged to comply with tax laws by the IRS, providing reassurance that their income data will remain private and not be passed on to immigration authorities. These people use personal tax identification figures rather than Social Security numbers to report their returns.
Our best leaders feel the Trump presidency is breaking the law, and we are seeing them leave in droves, according to an IRS staff who spoke on the condition of anonymity out of fear of reprisal. This is not the period for large adjustments at the company because it is busiest for us at this time.
The Treasury Department has defended its shifts because they emphasize the IRS’s current systems.  ,
We are also in the process of demolishing information silos, which have for too long stood in the way of identifying waste, fraud, and abuse and bringing criminals to justice as we work on IT development and organizational changes to better assist the tax. A speech from a Treasury Department spokesman said that we think these objectives are essential for a more effective and safer society.
The IRS announced a square of layoffs earlier this month that may reduce its workforce by up to 20 000 people, or almost a quarter of its total workforce. A federal judge recently reinstated around 7, 000 temporary staff who were terminated starting in February, despite the uncertainty as to whether or not they have really resumed their jobs. According to reports, the agency’s labor, which is estimated to be 90,000, could be reduced in the coming weeks.  ,
The Republican administration’s pledge to cut reviews aimed at affluent Americans aligns with the DOGE cuts. The IRS received nearly$ 80 billion in additional funding from the Biden administration, primarily to recover unpaid taxes from the wealthy. Republicans criticized the assessment program as an assault on middle-class individuals and small businesses.  ,
All of this coincides with Tuesday’s tax filing date. IRS profit agents are raising the alarm that the agency’s current staffing cuts have reduced its ability to research tax avoidance by corporations and high-income earners, finally reducing government revenue.
The IRS staff said that because I currently have more than two times as much work as I did before, these layoffs will inevitably cause collections and assessments and our organization won’t be able to generate the same amount of revenue. It’s just very noisy and clumsy back of our biggest day because we’ve also been informed of errors on the website that indicate the incorrect deadline for improvement payments and identified taxes forms.
The “log in” option on the website, which is located at the top right of the navbar, was not there like it should be on most sites. It was oddly placed beneath the collapse in the middle of the site.
The *soon* shift may be implemented is July, according to an IRS engineer’s explanation. twitter.com/9mOgoi0RQ3
— Department of Government Efficiency ( @DOGE ) April 9, 2025
Elon Musk posted about changes Expand is making to the IRS web last week while officials have not responded to questions regarding issues on the IRS site.
This expert collaborated with the DOGE staff to remove the bureaucracy, and the project was completed in 71 moments. Notice before and after images below, Musk wrote. There are outstanding employees at the IRS who are merely being shackled by bureaucracy.
Even though the IRS reported taking in more than$ 5.1 trillion during the fiscal 2024, job cuts may have an impact on its ability to generate revenue. The IRS has been working to close the” tax difference,” or gap between what citizens owe and what is really paid. This annual gap, according to recent data and official statements, could be between$ 600 billion and$ 1 trillion.
According to a study released by the National Bureau of Economic Research in 2021, the IRS generally recovers between$ 5 and$ 12 in profits for every penny it invests in protection.
IRS CHIEF MELANIE KRAUSE RESERVES AFTER AGENCY ACCEPTES IMMIGRANTS’ DATA TO ICE.
According to the Washington Post, the Treasury Department anticipates a decrease of at least 10 % in the IRS ‘ tax revenue this spring as a result of the recent cuts. Over$ 500 billion is left in the gap, which is more than meets the annual costs of the majority of national authorities.
