In a move that has stunned Washington and left the Internal Revenue Service (IRS) in a state of unprecedented flux, President Donald Trump has removed former U.S. Representative Billy Long as IRS commissioner less than two months after his confirmation. The abrupt dismissal, confirmed by multiple sources on August 8, 2025, marks the latest chapter in a period of extraordinary upheaval for the nation’s tax agency—a saga that now includes seven different officials helming the IRS since Trump’s 2024 election victory, a record for commissioner-level turnover.
According to ADN, Treasury Secretary Scott Bessent has been tapped to serve as acting IRS commissioner while the Trump administration searches for a permanent replacement. The White House has yet to provide an official reason for Long’s removal, but the timing comes on the heels of a heated dispute over the sharing of confidential taxpayer information with immigration authorities, as well as lingering questions about Long’s qualifications and past business dealings.
Billy Long, a former auctioneer and Republican congressman from Missouri who served from 2011 to 2023, has no background in tax administration. During his time in Congress, he even sponsored legislation to eliminate the IRS altogether. After leaving Congress for an unsuccessful Senate run, Long worked with a firm distributing the pandemic-era employee retention tax credit—a program later shuttered by the IRS due to widespread fraud. According to Benzinga, Democrats in the Senate voiced strong concerns over Long’s links to firms accused of duping investors out of millions through fake tax credits, and called for a criminal investigation into his connections to other alleged tax credit loopholes.
Despite these red flags, Long was confirmed as IRS commissioner on a 53-44 Senate vote, with Democrats raising alarms about campaign contributions he received after his nomination by Trump. The confirmation came against a backdrop of instability at the agency. Prior to Long, the IRS had cycled through four acting leaders in rapid succession. One resigned following a controversial deal to share immigrants’ tax data with the Department of Homeland Security (DHS), while another’s appointment triggered an internal fight between Secretary Bessent and other top officials.
The latest leadership shakeup was precipitated by a contentious request from DHS. On Thursday, just hours before Long’s ouster, DHS sent the IRS a list of more than 40,000 names believed to be undocumented immigrants and asked the agency to use confidential taxpayer data to confirm their addresses, as reported by The Independent. The IRS, citing privacy laws and internal legal advice, was able to verify fewer than three percent of the names, mostly those for which DHS had provided an individual taxpayer identification number. The agency refused to provide further details, such as whether any of the individuals had claimed the earned income tax credit, emphasizing the importance of taxpayer privacy.
White House officials, however, appeared determined to press forward with the information-sharing initiative. “The Trump administration is working in lockstep to eliminate information silos and to prevent illegal aliens from taking advantage of benefits meant for hardworking American taxpayers,” a White House spokesperson told The Washington Post. “Any absurd assertion other than everyone being aligned on the mission is simply false and totally fake news.”
The IRS’s resistance to providing additional data reportedly led to internal friction. Long, for his part, told agency executives that the IRS would not share confidential taxpayer information beyond the scope of the DHS agreement. Whether this stance played a direct role in his removal remains unclear, but the timing has raised eyebrows among lawmakers and agency insiders alike.
Adding to the drama, Long is now expected to receive an ambassadorial nomination to Iceland. On August 9, he posted on X, “I’m excited to take on my new role as the ambassador to Iceland,” without directly addressing his departure from the IRS. In a separate statement, Long said, “It is [an] honor to serve my friend President Trump and I am excited to take on my new role as the ambassador to Iceland. I am thrilled to answer his call to service and deeply committed to advancing his bold agenda. Exciting times ahead!” He even joked about the situation, quipping, “I saw where Former Superman actor Dean Cain says he’s joining ICE so I got all fired up and thought I’d do the same. So I called @realDonaldTrump last night and told him I wanted to join ICE and I guess he thought I said Iceland? Oh well.”
A White House official told The Independent that Long’s “promotion to ambassador was previously slated to happen,” attempting to downplay the controversy swirling around his short tenure at the IRS.
Meanwhile, the IRS is facing more than just leadership woes. The House Appropriations subcommittee recently approved a $2.8 billion cut to the agency’s budget for fiscal year 2026, reducing funding to $9.5 billion—a 20% reduction, with the deepest cuts hitting enforcement activities. According to Benzinga, the agency has already lost 25% of its workforce under Trump due to government cuts and buyouts. These reductions come as the IRS grapples with the fallout from the pandemic-era tax credit fraud and mounting demands to share taxpayer data for immigration enforcement.
Recent controversies have also included the now-defunct IRS Direct File program, which provided free online tax filing for 32 million eligible users across 25 states. The Trump administration moved to eliminate the program, despite 90% of users rating their experience as excellent or above average, according to inspector general reports. Lawmakers such as Senator Adam Schiff have voiced privacy concerns over the increasing use of taxpayer records for immigration enforcement.
As the dust settles, questions remain about the future direction of the IRS. The agency has become a flashpoint in broader debates over immigration, government transparency, and the use of taxpayer data. DHS, defending its agreement with the IRS, stated, “The agreement outlines a process to ensure that sensitive taxpayer information is protected, while allowing law enforcement to effectively pursue criminal violations.” The agency added, “After four years of Joe Biden flooding the nation with illegal aliens, these processes streamline pursuit of violent criminals, scrub these individuals from voter rolls, identify what public benefits these aliens are using at taxpayer expense, all while protecting American citizens’ safety and data.”
For now, Treasury Secretary Scott Bessent is left to steer the IRS through choppy waters, as the search begins for a permanent leader who can restore stability to an agency rocked by scandal, budget cuts, and political battles. Whether the next commissioner will fare any better—or whether the revolving door will continue to spin—remains to be seen.
