In a development effectively curbing the bloated federal workforce, the Trump administration’s savvy maneuver has resulted in nearly 20,000 IRS employees accepting a deferred resignation offer.
See the tweet below!
This unprecedented buyout move signifies a critical step towards government efficiency, much to the chagrin of the Biden administration’s prior efforts to inflate the agency’s headcount.
Approximately 20,000 IRS workers, which accounts for about one-fifth of the agency, have opted to accept the Trump administration’s second deferred resignation offer.
This development comes on the heels of a formal reduction-in-force plan initiated earlier this month.
The IRS started the year with approximately 100,000 employees, but since January, about 5,000 have already resigned, with an additional 7,000 probationary employees also laid off, though these layoffs are currently being challenged in court.
If these layoffs proceed, the IRS could witness a loss of about a third of its workforce this year.
The buyout deal allows employees who partake in the offer to benefit from paid administrative leave through September 30, 2025.
This strikes as a strategic move from the administration to reduce federal spending.
The Office of Management and Budget provided guidance that offered employees aged 40 and older 45 days to consider this package, presenting an appealing option for many amidst a reduction-in-force initiative.
A person familiar with the situation confirmed to Bloomberg Tax, “About 20,000 IRS workers—roughly one-fifth of the agency—are taking the Trump administration’s second deferred resignation offer.”
Such mass departures are anticipated to impact tax revenue collection significantly, as the IRS abandons some audits.
This reduction stands in stark contrast to the Biden era, where the Inflation Reduction Act allocated $80 billion for IRS efficiency and staffing.
However, with the new buyouts, the Trump administration effectively counters these measures.
Thousands of those accepting the offer are over 40 years old, likely utilizing the buyout as a protective measure against potential layoffs.
High-ranking officials, including acting IRS Commissioner Melanie Krause, have also elected to accept the buyout.
This move has provoked a conversation about taxpayer confidentiality after IRS data began being shared with Immigration and Customs Enforcement for deportation purposes, resulting in various resignations.
🚨#BREAKING: haveOver 20,000 more IRS agents has just accepted President Donald Trump’s resignation offer.🇺🇸🇺🇸🇺🇸🦅 pic.twitter.com/0LnSZIGvZx
— Beirut Barry (@BarryOue21536) April 15, 2025
The Biden administration had previously expanded the IRS to enhance tax revenue, a move now in reverse with the Trump administration’s current measures.
A Treasury Department spokesperson emphasized the department’s resolve, saying, “The Secretary is committed to ensuring that efficiency is realized while providing the collections, privacy, and customer service the American people deserve.”
It’s clear that these actions by President Trump aim to streamline federal government operations, even as they stand opposed to the Biden administration’s expansions.
