WASHINGTON—The Department of Government Efficiency (DOGE) is targeting the Internal Revenue Service (IRS) with major cutbacks that could dramatically impact how Americans resolve their tax debts.
DOGE is ordering immediate layoffs of more than 7,000 IRS employees, with plans to cut 50% of its remaining workforce.
These layoffs come in the middle of tax season, when the IRS typically hires thousands of temporary workers to help process returns.
Tax professionals warn that these layoffs may slow down tax resolution processing, prompting thousands of Americans to rush to apply for the Fresh Start Program, which helps reduce or even completely erase tax debts.
When taxpayers fill out our Tax Relief Survey, they can see if they qualify for the IRS Fresh Start Program and begin their journey toward tax resolution in minutes.
Thanks to last year’s budget increase, the IRS has been able to approve more Fresh Start applications than ever before.
Mark Mazur, a former Treasury official, noted that the layoffs will likely shift enforcement priorities.
“Employees who previously handled larger corporate enforcement cases will now be forced to manage smaller, easier cases,” he said, suggesting that working-class Americans may be more at risk of collection activity.
Take this 60-second Quiz to See if You Qualify for the IRS Fresh Start Program.
Despite concerns about reduced staffing, the IRS’s Automated Collection System (ACS) continues to send payment notices, issue federal tax liens, and process levies, ensuring that core collection functions remain largely uninterrupted.
The Fresh Start Program, which helps qualifying taxpayers reduce their back taxes, remains officially unchanged.
While the ACS will continue operating, individual case management and personalized assistance may experience significant delays. Working with a trusted tax professional to resolve your back taxes may be the best course of action.
Take this 60-second Quiz to See if You Qualify for the IRS Fresh Start Program.
While thousands of Americans are applying for tax forgiveness, many more do not realize they qualify for tax relief because they never took the time to check their eligibility.
It is 100% free to see if you qualify for the IRS Fresh Start Program, and a few minutes could potentially save you thousands.
Each month, your tax debt grows larger due to penalties and fees. It is vital to act now and partner with a tax relief expert to receive the best resolution possible.