The Internal Revenue Service (IRS) experienced another leadership change on Friday, marking the third turnover since the start of tax season and the fifth since Donald Trump took office in January.
Treasury Secretary Scott Bessent announced the appointment of Michael Faulkender as acting commissioner of the IRS. Faulkender succeeds Gary Shapley, who held the position for only a few days after Melanie Krause’s departure earlier in the week.
In his statement, Bessent emphasized the need to restore trust in the IRS and expressed confidence in Faulkender’s ability to lead. He praised Shapley’s dedication and insights for pursuing lasting reforms at the agency, confirming Shapley as a key advisor as they work to rethink and improve the IRS.
Shapley gained attention last month when he was named a senior advisor to Bessent following his testimony before Congress in July 2023. In his testimony, he and fellow IRS whistleblower Joseph Ziegler stated that the Justice Department had delayed a criminal investigation and tax inquiry into Hunter Biden during President Biden’s administration.
Bessent mentioned that Shapley and Ziegler would be conducting a year-long investigation into IRS reforms, ensuring that their findings contribute to effective policy changes.
Shapley stepped into the acting commissioner role after Krause’s resignation, which followed the IRS’s agreement to share sensitive tax information about undocumented immigrants with the Department of Homeland Security—a move revealing tensions surrounding IRS operations.
Krause temporarily led the agency after Doug O’Donnell resigned in February, following the departure of Biden-appointed IRS commissioner Danny Werfel on Inauguration Day.
Former Republican Rep. Billy Long has been nominated for the commissioner position but is still awaiting Senate confirmation.
This ongoing uncertainty in the IRS leadership coincides with significant staffing cuts being implemented within the agency, which aim to enhance its efficiency and effectiveness, including a substantial reduction in the Office of Civil Rights and Compliance.