Acting IRS commissioner steps down after immigrant data-sharing agreement

Apr 9

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Lauren Keenan Anchor/Reporter

By Lauren Keenan (Anchor/Reporter), Joey Nunez (Video Editor)

Melanie Krause, acting IRS commissioner, is resigning her position. The move follows an agreement between the IRS and DHS to share immigrants’ tax data for deportation efforts.
Treasury Secretary Scott Bessent and Homeland Security Secretary Kristi Noem signed the data-sharing deal.
Krause is the third IRS leader to resign in recent months, following the departures of Danny Werfel and Doug O’Donnell.

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Melanie Krause, the Internal Revenue Service’s (IRS) acting commissioner, announced to staff Tuesday, April 8, that she is stepping down from her position, according to multiple reports. Her decision comes one day after the IRS and the Department of Homeland Security (DHS) reached an agreement to share immigrants’ tax data with immigration authorities.

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Krause’s resignation follows DHS agreement

NBC News reports that the goal of the immigrant tax sharing plan is to identify and deport individuals living in the U.S. illegally. Treasury Secretary Scott Bessent and Homeland Security Secretary Kristi Noem signed the data-sharing agreement.

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According to CNN, sources familiar with the matter say that U.S. Immigration and Customs Enforcement (ICE) will provide the IRS with the names and addresses of taxpayers suspected of violating immigration laws. The IRS will then cross-check this data to verify its accuracy.

Krause is the third agency leader to resign in less than three months. Danny Werfel, who served as IRS commissioner under the Biden administration, left office on Trump’s Inauguration Day. His successor, Doug O’Donnell, retired in February after refusing to agree to a previous data-sharing deal with DHS, CNN reports.

Statement from the Treasury Department on Krause’s resignation

A spokesperson for the Treasury Department issued the following statement regarding Krause’s resignation:

“Melanie Krause has been leading the IRS through a time of extraordinary change. As we focus on IT modernization and reorganize the agency to better serve the taxpayer, we are also in the midst of breaking down data silos that for too long have stood in the way of identifying waste, fraud, and abuse and bringing criminals to justice. We believe these goals are critical to a more efficient government and a safer country. We wish Melanie well on her next endeavor.”

Several other senior officials with the IRS have also left the agency over the tax data-sharing agreement.

Tags: Department of Homeland Security, Immigration, Immigration and Customs Enforcement, IRS, Kristi Noem, Scott Bessent, Treasury Secretary, U.S. Treasury Department

THE ACTING INTERNAL REVENUE SERVICES COMMISSIONER IS STEPPING DOWN, ACCORDING TO THE WASHINGTON POST.

MELANIE KRAUSE TOLD STAFF TUESDAY SHE’S LEAVING HER POSITION AS ACTING IRS COMMISSIONER. HER DECISION COMES ONE DAY AFTER THE IRS AND DEPARTMENT OF HOMELAND SECURITY AGREED TO SHARE IMMIGRANTS’ TAX DATA WITH IMMIGRATION AUTHORITIES.

SOURCES TELL NBC NEWS THAT THE PURPOSE OF THE IMMIGRANT TAX SHARING PLAN IS TO IDENTIFY AND DEPORT PEOPLE LIVING IN THE US ILLEGALLY.

THE DATA SHARING AGREEMENT WAS SIGNED BY TREASURY SECRETARY SCOTT BESSENT AND HOMELAND SECURITY SECRETARY KRISTI NOEM.

SOURCES FAMILIAR WITH THE MATTER TELL CNN, THAT ICE WILL GIVE THE IRS THE NAMES AND ADDRESSES OF TAXPAYERS SUSPECTED OF VIOLATING IMMIGRATION LAWS, AND THE IRS WILL CROSS-CHECK THE DATA TO VERIFY ITS ACCURACY.

KRAUSE IS THE THIRD LEADER OF THE AGENCY TO RESIGN IN LESS THAN THREE MONTHS.

DANNY WERFEL, WHO WAS IRS COMMISSIONER UNDER THE BIDEN ADMINISTRATION LEFT ON TRUMP’S INAUGURATION DAY AND HIS SUCCESSOR, DOUG O’DONNELL, RETIRED IN FEBRUARY AFTER REFUSING TO AGREE TO A DATA SHARING DEAL WITH DHS, ACCORDING TO CNN.

A SPOKESPERSON FOR THE TREASURY DEPARTMENT RELEASED A STATEMENT ON KRAUSE’S RESIGNATION SAYING:

“MELANIE KRAUSE HAS BEEN LEADING THE IRS THROUGH A TIME OF EXTRAORDINARY CHANGE. AS WE FOCUS ON IT MODERNIZATION AND RE-ORGANIZE THE AGENCY TO BETTER SERVE THE TAXPAYER, WE ARE ALSO IN THE MIDST OF BREAKING DOWN DATA SILOS THAT FOR TOO LONG HAVE STOOD IN THE WAY OF IDENTIFYING WASTE, FRAUD, AND ABUSE AND BRINGING CRIMINALS TO JUSTICE. WE BELIEVE THESE GOALS ARE CRITICAL TO A MORE EFFICIENT GOVERNMENT AND SAFER COUNTRY. WE WISH MELANIE WELL ON HER NEXT ENDEAVOR.”

SEVERAL OTHER SENIOR OFFICIALS WITH THE IRS HAVE ALSO LEFT THE AGENCY OVER THE TAX DATA SHARING AGREEMENT.