(NewsNation) — President Donald Trump and the Department of Government Efficiency might be considering making changes to the Internal Revenue Service, as a staffer at DOGE visited IRS headquarters Thursday, according to Reuters.
DOGE investigating IRS
Sources told Reuters that staffer Gavin Kliger was meeting with senior executives, marking the first time that Elon Musk’s DOGE has visited the IRS.
Reuters reported that IRS senior executives received an email Thursday that told them to find all “non-essential” contracts that could be terminated. The email said, “Consistent with the goals and directives of the Trump administration to eliminate waste, reduce spending, and increase efficiency, GSA has taken the first steps in a government-wide initiative to eliminate non-essential consulting contracts.”
Trump also responded to DOGE being at the IRS on Thursday, stating, “I think that the Internal Revenue Service will be looked at like everybody else, just about everybody is going to be looked at. They’re [DOGE] doing a hell of a job, it’s an amazing job they’re doing,” according to The Hill.
DOGE has been heavily criticized by many Democrats, with Democratic Senator Ron Wyden posting on X on Thursday, “My office is hearing that DOGE is now at the IRS. That means Musk’s henchmen are in a position to dig through a trove of data about every taxpayer in America.”
Can Elon Musk’s DOGE close the IRS?
Since the IRS was created by Congress, it would require an act from Congress to shut the organization down. It is not clear how Trump’s administration or DOGE would clear any legal hurdles that might come with using an executive order to close the IRS.
In January, Georgia Republican Earl L. “Buddy” Carter introduced the Fair Tax Act, which would replace the current tax code and “eliminate the need for the Internal Revenue Service.” As of February, this bill has only been introduced. However, if it passes the House and Senate and is signed by Trump, it would become law.
George W. Connelly, senior counsel at Chamberlain Hrdlicka Attorney at Law, talked about the importance of the IRS in 2020, saying, “Those of us in the tax profession who deal with the IRS frankly prefer dealing with IRS personnel and the administrative system in place over what we encountered in the state regimes.”
Connelly also said that changing the name of the IRS wouldn’t remove “the tax man.”
“No matter what we call him, his job will never change. Meanwhile, calls for abolishing the IRS simply distract the attention that needs to be placed on making the IRS more effective, starting with adequately funding it and reviewing the Taxpayer’s Bill of Rights,” he said.
What would happen with our taxes if the IRS closed?
According to the Tax Policy Center, the IRS is anticipating 140 million tax returns this year. Potential staffing cuts and the IRS having a temporary acting commissioner could make it harder for taxpayers to reach a representative to get assistance with filing.
With Trump’s administration encouraging federal employees to resign or retire and about 77,000 workers accepting that offer, the IRS could be short-staffed. This could lead to a delay in filing your return or distributing your refund.
These cuts could also potentially affect the Volunteer Income Tax Assistance and Tax Counseling for the Elderly programs, which offer free tax prep for those who make $67,000 or less, have a disability or don’t speak English as their first language. According to the IRS, these programs helped prepare and file more than 2.7 million tax returns.
Remember, there are penalties for not filing your tax return on time, not paying taxes you owe on time and not providing accurate information on your return.