The Internal Revenue Service (IRS) will begin laying off approximately 7,000 employees across the country, including in Washington, D.C., starting Thursday, according to a source familiar with the matter who spoke to The Associated Press on condition of anonymity.
The cuts will primarily impact probationary employees—those with one year or less of service—most of whom work in compliance departments. These divisions handle tax enforcement, ensuring taxpayers file returns, pay taxes, and follow the tax code.
The layoffs are part of the Trump administration’s broader push to shrink the federal workforce under the so-called “Department of Government Efficiency” initiative. This effort mandates the removal of nearly all probationary employees who haven’t yet earned civil service protections.
These cuts come despite earlier assurances to IRS workers handling the 2025 tax season that buyout offers from the administration wouldn’t be available until after the mid-April filing deadline.
It remains unclear how these layoffs will affect tax collection services this year. Under President Biden’s administration, the IRS focused on high-wealth tax evaders, collecting $1.3 billion in unpaid taxes from wealthy individuals by the end of 2024. With the U.S. $36 trillion in debt, the IRS had been expected to continue enforcement efforts as a key revenue source.
Currently, the IRS employs approximately 90,000 people nationwide. According to the latest IRS data, the agency’s workforce is 56% people of color, with women making up 65% of employees.
Beyond the layoffs, the Trump administration has plans to reassign some IRS employees to assist with immigration enforcement. In a letter sent earlier this month, DHS Secretary Kristi Noem formally requested that Treasury Secretary Scott Bessent lend IRS workers to the Department of Homeland Security (DHS) to support immigration crackdown efforts.
Neither the IRS nor the U.S. Treasury Department has responded to requests for comment regarding the layoffs or worker reassignments.
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