US tax chief to resign after controversial sharing of immigrants’ information: Report

By Gizem Nisa Cebi

ISTANBUL (AA) – The acting head of the US tax service plans to resign next month following a backlash over sharing data on immigrants to aid in their deportation, ABC News reported Thursday.

Citing multiple sources familiar with the decision, ABC News said Internal Revenue Service (IRS) Commissioner Melanie Krause Krause – who has not spoken publicly about the issue – will become the third IRS chief to step down this year.

Her resignation follows that of Senate-confirmed Commissioner Danny Werfel on Jan. 20 – the day of President Donald Trump’s inauguration – and acting commissioner Doug O’Donnell a month later.

The data-sharing agreement, signed by Treasury Secretary Scott Bessent, allows the Department of Health and Human Services (DHS), to access IRS data to aid in deportation efforts under the Trump administration – a move that has stirred internal dissent and legal concerns.

"Former Congressman Billy Long is waiting his Senate confirmation, and as IRS Commissioner, he will enact Secretary Bessent’s priorities for the department to better serve the American taxpayer," a Treasury Department spokesperson told ABC News.

-Confidentiality at risk

Krause is one of several officials enrolled in a deferred resignation program, and sources tell ABC News others may soon follow, shaken by the agency’s role in immigration enforcement and the secrecy surrounding the deal’s completion.

"People at the IRS have a strong sense of pride in tax administration and protecting taxpayer rights, and everything happening isn't aligned (with that)," one current official told ABC News.

Critics inside the agency point to Section 6103 of the federal tax code, which mandates taxpayer confidentiality except in narrowly defined legal cases.

While Treasury insists the IRS will continue safeguarding taxpayer data, some fear the deal could undermine public trust – particularly among undocumented immigrants who file taxes and contribute to the economy.

The agreement’s impact on tax compliance and agency morale is likely to remain a hot-button issue as the Senate weighs Long’s confirmation.