IRS Enforcement Cuts Under Trump Spark Rise in Tax Evasion
The Internal Revenue Service (IRS) has significantly reduced its enforcement workforce under the Trump administration, leading to concerns about increased tax evasion among Americans. Since President Trump returned to office, thousands of enforcement agents have been laid off, with the fiscal 2027 budget proposing further cuts. This reduction brings the IRS enforcement staff below 30,000, a figure lower than at the end of Trump’s first term and approximately one-third less than the peak levels seen during the Biden era. Legal experts and former IRS officials report a shifting mentality among taxpayers, who increasingly believe they can evade detection. Carolyn Schenck, a former IRS national fraud counsel, noted a growing perception that the agency lacks the resources to catch violators. Consequently, there is a reported rise in individuals and tax-shelter promoters attempting to cut corners or illegally avoid taxes ahead of the April 15 deadline. This trend reflects a broader administrative pullback from white-collar law enforcement, raising questions about compliance and revenue collection efficiency in the United States.
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IRS Enforcement Cuts Under Trump Spark Rise in Tax Evasion
The Internal Revenue Service (IRS) has significantly reduced its enforcement workforce under the Trump administration, leading to concerns about increased tax evasion among Americans. Since President Trump returned to office, thousands of enforcement agents have been laid off, with the fiscal 2027 budget proposing further cuts. This reduction brings the IRS enforcement staff below 30,000, a figure lower than at the end of Trump’s first term and approximately one-third less than the peak levels seen during the Biden era. Legal experts and former IRS officials report a shifting mentality among taxpayers, who increasingly believe they can evade detection. Carolyn Schenck, a former IRS national fraud counsel, noted a growing perception that the agency lacks the resources to catch violators. Consequently, there is a reported rise in individuals and tax-shelter promoters attempting to cut corners or illegally avoid taxes ahead of the April 15 deadline. This trend reflects a broader administrative pullback from white-collar law enforcement, raising questions about compliance and revenue collection efficiency in the United States.
WSJ.com: Politics