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Trump's Appointee as IRS Commissioner, Billy Long Resigns: What's the Future Hold for the Tax Authority?

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Trump's Appointee, IRS Commissioner Billy Long, Departs: What Transpires for the Tax...
Trump's Appointee, IRS Commissioner Billy Long, Departs: What Transpires for the Tax Administration?

Trump's Appointee as IRS Commissioner, Billy Long Resigns: What's the Future Hold for the Tax Authority?

The Internal Revenue Service (IRS) is facing a significant shift in leadership as former Missouri Congressman Billy Long takes over as Commissioner. President Trump nominated Long for the role in early 2025, and he was confirmed by the U.S. Senate on June 12, 2025.

However, Long's tenure has been marked by controversy and challenges. Tens of thousands of employees have either taken Trump's federal buyout offers or been laid off at the IRS, contributing to a reported decline in morale and slowing down critical modernization projects.

Prior to his appointment, the IRS underwent a substantial overhaul under former Commissioner Werfel, receiving about $60 billion in Inflation Reduction Act (IRA) funding. This overhaul included improvements to customer service, a focus on wealthy "tax cheats," and a new IRS free filing program, among other initiatives.

Now, the IRS is grappling with a $20 billion reduction in special funding and a proposed $2.2 billion cut to its annual budget. This financial strain, along with the implementation of the "big, beautiful bill" - the recently passed tax legislation - is expected to impact the agency's ability to execute necessary changes and smooth tax season operations.

One of the most controversial decisions made under Long's leadership was the potential elimination of the IRS Direct File program, a free online service that allows eligible taxpayers to submit their federal tax returns directly to the IRS. This move has been met with opposition from lawmakers and taxpayers alike.

Furthermore, a new, controversial data-sharing agreement with ICE played a role in some resignations among senior staff and raised concerns about taxpayer privacy.

Trump reportedly fired Long after just a couple of months on the job. Treasury Secretary Scott Bessent has since taken operational control of the IRS.

The 2026 tax filing season might start around President's Day in mid-February, which would be about a three-week delay compared to recent years. The IRS will not be changing the W-2 Form or withholding tables to reflect changes in the law, like the new overtime pay tax deduction.

The future direction of the IRS, its morale, and its ability to serve taxpayers effectively are all under question following the departure of Commissioner Billy Long. As the agency navigates these challenges, it remains crucial for the IRS to maintain its essential role in the financial health of the nation.

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