IRS news with Musk

The U.S. Internal Revenue Service has barred a key aide to tech billionaire Elon Musk from accessing individual taxpayer records or other personal data under an agreement reached between the tax agency and the Trump administration.

The deal appears to prevent what some IRS officials had privately called a worst-case scenario—one in which 25-year-old software engineer Gavin Kliger, a top aide to Musk, would have unrestricted access to the agency’s databases containing sensitive taxpayer information.

Since Kliger’s arrival at IRS headquarters last week—under directives from Musk and President Donald Trump to lead efforts to streamline the agency’s operations—senior IRS executives have been working to limit his access to taxpayer data.

A memorandum of understanding, signed Wednesday by Kliger along with officials from the Treasury Department and the Office of Personnel Management, outlines his role as primarily focused on enhancing the IRS’s software and IT systems for greater efficiency.

The agreement also specifies limitations on Kliger’s access to taxpayer data during his 120-day detail at the agency.

"If access to IRS systems containing returns or return information becomes necessary for the detailee’s duties under this agreement, such access shall be provided only in an anonymized format that prevents any direct or indirect association with a specific taxpayer," the document states.

Meanwhile, Michelle King, the acting commissioner of the U.S. Social Security Administration, resigned this week following disputes with Musk’s team over access to sensitive agency records.

The IRS is also conducting widespread terminations of probationary employees, with notifications beginning Thursday. The agency ultimately plans to cut 6,700 positions—nearly 7% of its workforce.

These layoffs are part of Trump’s sweeping initiative to downsize the federal government, a move targeting tens of thousands of employees from rocket scientists to park rangers. The effort is being spearheaded by Musk, Trump’s top campaign donor.

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