In a dramatic move signaling a shift in governmental priorities, nearly 20,000 IRS employees have accepted the Trump administration’s second buyout proposal.
See the tweet below!
This represents about a fifth of the agency’s workforce, pointing to a significant shrinking of federal size.
With these buyouts, President Trump continues to streamline government and boost efficiency, but there are concerns about the implications for tax revenue.
The Internal Revenue Service, which began 2025 with approximately 100,000 employees, is undergoing a formal reduction-in-force plan.
Amidst this, a large number of employees over 40 are seizing the buyout offer. In line with Office of Management and Budget guidance, these employees were given 45 days to decide.
Several high-ranking officials, including acting Commissioner Melanie Krause, have accepted the buyout offer.
The deal includes paid administrative leave through September 30, thus incentivizing voluntary resignations and reducing the federal workforce.
For many, this buyout serves as a precautionary measure against layoffs in reduction force plans.
“The Secretary is committed to ensuring that efficiency is realized while providing the collections, privacy and customer service the American people deserve,” said a spokesperson for Treasury Secretary Scott Bessent.
These IRS cuts are projected to impact federal tax revenue collection and have already led to some audits being abandoned.
Critics argue that downsizing could hinder governmental operations.
Under the Biden administration, the agency had expanded by about 20,000 employees to increase tax revenue.
As many as 7,300 probationary employees remain on administrative leave following recent favorable court rulings.
Potential repercussions of this strategy indicate the IRS could lose about a third of its workforce by year-end if the layoffs proceed.
The reduction has critics worried about confidentiality breaches due to their plans to share taxpayer information with ICE.
“About 20,000 IRS workers—roughly one-fifth of the agency—are taking the Trump administration’s second deferred resignation offer,” said a person familiar with the matter.
The Trump administration’s reforms are rooted in efficiency while challenging the inflationary spending policies of previous governments.
The IRS plans to relocate workers from unaffected areas to maintain support during tax seasons down the line.
As America witnesses IRS workforce contractions, the ongoing debate over balancing efficiency with effective tax collection remains potent.
Great news, 20,000 IRS agents have accepted the Trump administrations buy out offer- that is almost one fifth of the agency!
Perfect news to hear on tax day!
Abolish the IRS~ pic.twitter.com/fzyLheQLiJ— GrrrGraphics-Ben Garrison 🤠 Cartoons 🇺🇸 (@GrrrGraphics) April 15, 2025
