With tax filing season underway, Trump cuts have already hampered tax filing assistance programs; Democrats warn further cuts could hurt families waiting for refunds
Washington, DC – U.S. Senator Sheldon Whitehouse (D-RI), a senior member of the Senate Finance Committee, joined Ranking Member Ron Wyden (D-OR), Senate Democratic Leader Chuck Schumer (D-NY), and Committee members in warning the Trump Administration and IRS leadership that staffing reductions at the IRS resulting from Trump’s hiring freeze and potential layoffs would likely delay tax refunds, harm taxpayer service, and undermine law enforcement efforts. The senators urged the Administration to end the IRS hiring freeze immediately and refrain from further staffing cuts.
“The IRS needs adequate staff to process the refund checks middle-class families wait all year for and to police billionaires who have armadas of lawyers and accountants who help them exploit loopholes on their taxes,” said Whitehouse. “During peak tax season, Trump is driving federal workers out of their jobs so he can loot the federal government for Musk and their billionaire friends and leave regular taxpayers with a poorly functioning government and the tab for it.”
Regarding the impact of the hiring freeze and layoffs on taxpayer refunds and service, the senators wrote in a letter to executive branch officials: “Americans need the IRS to be fully staffed with employees who can answer their questions, process their returns, send them refunds, and keep IRS systems online and functional. It is nearly inevitable that this hiring freeze, compounded by layoffs and further reductions in staff mandated as a result of Elon Musk’s unprecedented power grab, will delay refunds and degrade taxpayer service. Millions of Americans plan their budgets around timely refunds every filing season. These reckless decisions on the part of Elon Musk and the Trump administration will likely cause serious financial hardship for people across the country.”
Regarding the impact on law enforcement and national security, the senators wrote: “IRS Criminal Investigation is at the forefront of federal law enforcement efforts to investigate fentanyl trafficking by cartels, human trafficking, terrorism financing, and sanctions evasion. For example, CI was the lead investigative agency in the largest international fentanyl/opioid seizure in U.S. history. This operation took down a massive drug trafficking operation and seized 864 kg of drugs, including an astounding 64kg of fentanyl and fentanyl-laced opioids, enough to kill thousands of people. CI was also responsible for the dismantling of several large fentanyl trafficking networks operated by the Sinaloa cartel, including a collaboration with Chinese money laundering organizations. An indefinite hiring freeze at CI would endanger both public safety and national security by directly hampering multi-agency efforts to pursue and dismantle these highly dangerous criminal networks.”
Also signing the letter were Senators Mark Warner (D-VA), Elizabeth Warren (D-MA), Bernie Sanders (I-VT), Tina Smith (D-MN), Ben Ray Luján (D-NM), and Peter Welch (D-VT).
The complete text of the letter to Treasury Secretary Bessent, Office of Management and Budget Director Vought, acting Office of Personnel Management Director Ezell and acting IRS Commissioner O’Donnell is available here.