The Internal Revenue Service (IRS) has made headlines with the demotion of its top lawyer, William Paul. This change comes amid ongoing efforts by Elon Musk’s Department of Government Efficiency to gain access to sensitive taxpayer information.
According to reports from The Wall Street Journal, Paul has been removed from his position as the IRS’ acting chief counsel. He has been leading the IRS legal team since his predecessor stepped down at the end of President Joe Biden’s term. His replacement is expected to be Andrew De Mello, another IRS lawyer who previously was nominated to be the Education Department’s inspector general during President Trump’s administration.
The reasons behind Paul’s demotion remain unclear, but it coincides with Musk’s agency pushing for access to the IRS’s tax database. This effort is part of a broader initiative focused on reducing fraud and cutting the deficit.
In addition to the leadership shakeup, the IRS is reportedly considering significant workforce reductions. Sources indicate that the agency may lay off up to half of its 90,000 employees through a combination of layoffs, attrition, and buyouts. Earlier this year, about 7,000 probationary employees were already let go.
Furthermore, the Trump administration is looking to lend IRS staff to the Department of Homeland Security to assist with immigration enforcement. This move follows a request from DHS Secretary Kristi Noem to Treasury Secretary Scott Bessent for help with migrant control efforts.
As these developments unfold, the IRS is facing significant changes that could impact its operations and workforce in the near future.