The IRS unit that audits billionaires has lost 38% of its employees since January, new data shows

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The ongoing slashing of the federal workforce under President Donald Trump and Elon Musk could bode well for America's wealthiest tax dodgers. New data obtained by ICIJ shows that the IRS unit that audits billionaires and other ultrawealthy individuals has lost 38% of its employees this year.

The cuts have left behind a slew of unfinished audits of high-net-worth individuals and cases that have either stalled or are being closed, according to four current revenue agents who spoke with ICIJ on the condition of anonymity.

"We don't know what's going to happen," said one current agent in the high-wealth office. "It's a lucky day for some taxpayers who owe hundreds of thousands or millions to the government."

The slash marks a huge reversal for the IRS's recent effort to step up its pursuit of the wealthiest Americans, who authorities say account for a disproportionately high share of tax cheating. Under the 2022 Inflation Reduction Act, Congress allocated the IRS $80 billion in additional funding, in part to strengthen its efforts to audit wealthy individuals and large corporations. 

Image: Tasos Katopodis/Getty Images

The office, known as Global High Wealth, had been a hiring priority under the Biden administration. Before the cuts, it employed 353 people and appears to have been hit particularly hard by the current round of terminations because of its large share of newer employees who were still on probationary status, the new data shows.

Now composed of 220 employees, the unit is tasked with some of the agency's hardest work: auditing people whose income or assets reach into the tens of millions of dollars and beyond, sometimes untangling intricate tax-dodging structures created by white-shoe attorneys and major accounting firms. Read more here.

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Thanks for reading!

Carmen Molina Acosta
ICIJ's digital producer

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