You know when you’re in the middle of a group project, and everything starts falling apart because thousands of people are getting laid off?
Well, that last part might be unique to the IRS right now, but you get the idea.
In any case, the AICPA is here to make it clear the organization is not thrilled about layoff chatter at the IRS.
“Americans deserve a fully functioning agency that can be respected by taxpayers and their preparers, thereby allowing them to comply with their tax obligations,” Mark Koziel, AICPA president and CEO, said in a statement, per the Journal of Accountancy.
Last weekend, multiple outlets reported that the IRS is set to lay off thousands of probationary workers right as tax season, which started on January 27, is getting into full swing. The move arrives amid the Trump administration’s efforts to drastically trim the federal workforce, with Trump confidante and tech billionaire Elon Musk calling for the US to “delete entire agencies” of the federal government.
It’s a stark comparison to tax seasons under the Biden administration, which poured additional funding totaling nearly $80 billion into the IRS through the Inflation Reduction Act. That decision wasn’t without political backlash, and Republican lawmakers successfully slashed the amount distributed to the IRS through the IRA.
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Now, with calls to curb federal funding reaching a fever pitch in the Trump administration, it’s clear the IRS will face an uphill battle to meet the needs of taxpayers this busy season.
And that’s why the AICPA is sounding the alarm.
“Many are concerned with potential challenges that could arise from recent changes throughout government,” Koziel continued. “While there is a lot of speculation and many unknowns, the AICPA is actively monitoring the situation and engaging with IRS leadership and other key stakeholders to understand and mitigate the impact of these changes on IRS services.”
Koziel isn’t the only one with concerns. In a LinkedIn post, Melanie Lauridsen, the AICPA’s vice president of tax policy and advocacy, wrote, “It is essential that the IRS has the ability to meet the needs of #taxpayers and their preparers this filing season.”
“Millions of Americans rely on the IRS's critical role to help them comply with their tax obligations,” she continued. “In order to allow Americans to comply, the IRS must continue their daily operations and build upon the progress made to improve taxpayer services.”