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News in English (USA) / 05.03.2025 / 04:00

Massive IRS Layoffs Planned Amid Tax Season Confusion

The IRS is reportedly drafting plans to significantly reduce its workforce, potentially cutting as much as half of its 90,000 employees. This decision, linked to efforts by the Trump administration and influenced by efficiency strategies associated with figures like Elon Musk, raises concerns about the implications for the upcoming tax season. Experts warn that such layoffs could complicate tax filing processes, lead to increased state tax burdens, and even encourage tax cheating among individuals navigating a rapidly changing landscape. As approximately 15,000 IRS workers face potential termination, questions arise regarding the quality of service, the timing of tax refunds, and the overall functionality of the agency. The broader impact on state tax agencies and the economy remains to be seen as the IRS grapples with this unprecedented reduction in staff.
The Associated Press, The New York Times, The Washington Post, New York Post , The Guardian, KATU, TIME, FOX 9 Minneapolis-St. Paul, Vox.com, Newsweek