Trump administration proposes cutting IRS workforce by nearly 20%
Updated: 11:16 AM CDT Mar 13, 2025
We're tracking several developing stories from the Trump administration, beginning with President Donald Trump backtracking for *** second time on some tariffs for Canada and Mexico following *** couple of bad days on Wall Street. President Trump is now giving the auto industry *** one month exemption on taxes from imports from both countries. This follows talks with Ford, General Motors, and Stellantis. Ford warning that the tariffs would cause assembly lines to shut down as soon as next week. The administration is Automakers to use the next month to prepare for the 25% tax or shift production back to the US. Other sectors are reportedly asking for tariff exemptions as the president imposes import taxes to stop illegal immigration, drug trafficking, and to close the trade gap. And it's not just Canada here. France is also hoping to convince President Trump to avoid tariffs on European imports next month. The Department of Government Efficiency, otherwise known as DOJ, is planning more cuts. To federal agencies while trying to get others back, we know that the Trump administration is planning to cut some 80,000 workers from the Department of Veterans Affairs. That's about 20% of its workforce. Meanwhile, they're trying to hire back 180 employees who were fired *** couple weeks ago from the CDC. Cuts at the VA are expected to impact the millions of veterans who rely on its healthcare and other services. The White House says that the cuts are meant for efficiency and transparency and will not. Effect timely quality care that experienced record high levels just last year. Emails went out this week to probationary employees at the CDC who were let go *** couple weeks ago, clearing them to return to work. It's unclear just how many will actually return, but workers who were asked to come back include some being trained to be disease outbreak responders. We're about *** week away from the government running out of funding, and it looks like Congress is trying to pass another temporary budget. President Trump says he's working. With Republicans on *** continuing resolution until September, he's selling it as *** win for spending hawks because by passing 3 extensions of last year's budget for *** whole year, Congress has effectively funded the government at last year's lower levels despite continued higher than expected inflation. Like previous short-term budgets, the Republican controlled Congress will likely need Democratic support, which is anything but guaranteed. This strategy gives Republicans more time to approve President Trump's agenda, which includes more. Tax and spending cuts and additional defense and immigration spending. We're tracking *** handful of rulings from courts all across the country, the biggest coming from the Supreme Court, which says it is not getting involved in the fight over foreign aid funding. The FIFO decision rejected an appeal from the White House to overturn an appeals court ruling telling them to pay $2 billion for relief work abroad that's already been done. The High Court previously denied *** similar White House request. Also happening on Wednesday. The court ordered the National Institutes of Health to stop blocking money for everything from cancer to heart disease research, and the country's biggest teachers union sued the Trump administration for cutting money to grade schools for diversity, equity inclusion programs, saying that it violates free speech. Meanwhile, changing longstanding US foreign policy, the White House says it is now directly talking to the terrorist group Hamas. In *** social media post overnight, the president demanded Hamas release all hostages now. Later in what he described as *** last warning threatening death if they keep holding hostages. The White House says officials traveled to Qatar for talks with Hamas, stepping away from that long standing policy not to directly engage with them. The Trump and Biden administrations both previously spoke through middlemen, but this wouldn't be the first time the Trump administration has spoken directly to *** terrorist organization. The previous Trump administration spoke directly with the Taliban trying to end the war in Afghanistan. The Trump administration is also cutting off more aid meant to help Ukraine. For now it is pausing shared intelligence with the country days after the Trump administration cut off military aid. Both are expected to be short-lived. Top administration officials say the decision is part of *** broader negotiation happening between President Trump and Ukrainian President. Vladimir Zelensky holding peace talks with Russia. The US intelligence helps Ukrainian soldiers track and target Russian troops and defend them from attacks that as leaders from the European Union are expected to meet today to talk about boosting their defense spending as the US plans less or even no support for Ukraine moving forward. Reporting at the White House, I'm Amy Lowe.
Trump administration proposes cutting IRS workforce by nearly 20%
Updated: 11:16 AM CDT Mar 13, 2025
The Trump administration and Department of Government Efficiency are proposing a dramatic downsizing of the IRS that would result in a nearly 20% reduction of its workforce by May 15 — one month after Tax Day in the United States.President Donald Trump has ordered agencies across the federal government to turn in their “large scale” layoff plans — known as Reduction in Force, or RIF — by Thursday.The details of the IRS proposal have been laid out in an email from DOGE and will be discussed at a meeting among agency leadership Thursday morning, according to a source familiar with the matter who asked to remain anonymous for fear of retaliation. The proposal has not been made public.The latest round of layoffs would terminate nearly 6,800 employees — on top of about 6,700 probationary employees who have already been fired and 4,700 employees who took the “voluntary buyout” known as the “Fork in the Road” program from the Trump administration.Echoing concerns sounded by experts and other employees, the source says these cuts could impact the amount of revenue the IRS brings in and that could ripple through the federal government as IRS funds nearly all government operations. While April 15 is the deadline for tax returns to be filed, the agency processes tax returns year-round.“Depending upon how we effectuate these cuts, it could dramatically reduce revenue, dramatically reduce customer service,” the source said, adding that the cuts could also impact voluntary tax compliance.“If we are not auditing much, it impacts people’s willingness to file honestly in the first place,” the source said.
WASHINGTON — The Trump administration and Department of Government Efficiency are proposing a dramatic downsizing of the IRS that would result in a nearly 20% reduction of its workforce by May 15 — one month after Tax Day in the United States.
President Donald Trump has ordered agencies across the federal government to turn in their “large scale” layoff plans — known as Reduction in Force, or RIF — by Thursday.
The details of the IRS proposal have been laid out in an email from DOGE and will be discussed at a meeting among agency leadership Thursday morning, according to a source familiar with the matter who asked to remain anonymous for fear of retaliation. The proposal has not been made public.
The latest round of layoffs would terminate nearly 6,800 employees — on top of about 6,700 probationary employees who have already been fired and 4,700 employees who took the “voluntary buyout” known as the “Fork in the Road” program from the Trump administration.
Echoing concerns sounded by experts and other employees, the source says these cuts could impact the amount of revenue the IRS brings in and that could ripple through the federal government as IRS funds nearly all government operations. While April 15 is the deadline for tax returns to be filed, the agency processes tax returns year-round.
“Depending upon how we effectuate these cuts, it could dramatically reduce revenue, dramatically reduce customer service,” the source said, adding that the cuts could also impact voluntary tax compliance.
“If we are not auditing much, it impacts people’s willingness to file honestly in the first place,” the source said.