The Washington Post reported the United States' Internal Revenue Service's (IRS) top lawyer has been demoted by the Trump administration amid plans to downsize 20% of the agency's staff.
According to sources close to the matter, billionaire Elon Musk is also in the process of seeking access to sensitive taxpayer records.
William Paul was removed from his position Thursday despite only having the job for two months.
Paul will be replaced by Andrew De Mello, who was nominated to be the Education Department’s inspector general during U.S. President Donald Trump’s first term, confirmed the sources.
All sources also said Paul’s removal has sparked widespread concern among staff already alarmed by the apparent purge occurring of the IRS.
In the past 2 months, Doug O’Donnell, a civil servant who spent several decades at the agency, left the IRS amid the disagreement between career staff and political appointees.
David A. Lebryk oversaw the Treasury Department’s payment systems, also stepped away following a DOGE request to unilaterally cease payments on foreign aid.
The Post obtained records which show Department of Government Efficiency (DOGE) officials instructed the acting IRS commissioner to eliminate 18,141 jobs across the agency by May 15, with the tax compliance department seeing the largest job cuts (8,260) followed by taxpayer services (3,247) and information technology.
Reports suggest that the internal reshuffle was prompted by career staff clashing with DOGE officials over attempts to access taxpayer information - considered some of the most guarded government records.
In an alleged push to reduce fraud and federal spending, DOGE maintains its aim to check federal benefits spending against tax records, which could help Musk’s team identify duplicative or erroneous payments.
It has been said that the Department of Homeland Security (DHS) has pushed IRS officials for the addresses of about 700,000 undocumented immigrants, while DOGE has also pressed for tax agency systems, property and datasets.
Concerns have been raised about how the changes could damage the government agency, with conservatives long being opposed to the IRS.
Trump has been vocal about how his tariffs could supplant income tax revenue with his new “External Revenue Service.”
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