NO EXEMPTIONS: IRS Shrinks Under Trump 2.0, 25% of Workforce Cut, 26,000 Employees Gone: Report

According to reports from multiple media outlets, the Trump Administration has slashed the IRS workforce by nearly 26,000 people through buyouts and firings, marking a 25% reduction in staffing as President Trump works to reverse President Biden’s buildup at the tax agency.

The cuts hit key IRS divisions, eliminating 27% of tax examiners and 26% of revenue agents, according to the Treasury Inspector General for Tax Administration.

Information technology is shedding 23% of its workforce, and the management and analysis division will lose 28% of its staff.

“These separations will have nationwide implications,” the inspector general said.

The data, which was current as of May, showed that most of the departing staffers have accepted one of the administration’s various buyout offers.

From The Washington Times:

That included about 4,600 approved under the initial January buyout offer and 17,000 approved for voluntary early retirement. Thousands more were part of smaller separation programs, and about 300 were from an official “reduction in force.”

Alex Muresianu, senior policy analyst at the Tax Foundation, said staffing cuts aren’t always a problem. However, he said they can be a problem when coupled with new roles for the IRS, such as during the pandemic emergency, and could come into play as the agency implements changes from Mr. Trump’s One Big Beautiful Bill Act.

“The confluence of low staffing levels and new policies is a messy mix,” he said. “I think that is a potential challenge in the coming tax season.”

More over at The Washington Times:

Trump slashes 25% of IRS workforce with buyouts, firings of nearly 26,000 agency staffhttps://t.co/gLiDKFdjM3 pic.twitter.com/ThOiO9RCfI

— The Washington Times (@WashTimes) July 23, 2025