WASHINGTON, DC - APRIL 15: The Internal Revenue Service (IRS) building stands on April 15, 2019 in Washington, DC. (Photo by Zach Gibson/Getty Images)

The IRS workforce dropped from 103,000 employees in January 2025 to approximately 77,000 in May 2025 (a 25% reduction). Those numbers, which have been previously reported, have now been confirmed by the Treasury Inspector General for Tax Administration (TIGTA).

According to IRS records, more than 25,000 employees either separated, accepted a deferred resignation program offer, or took some other incentive to leave. These departures represent 25% of the IRS’s workforce—and some job positions were impacted more than others. For example, approximately 27% of tax examiners (they review and process tax returns) and 26% of revenue agents (they conduct audits) left the agency.

Beginning in January 2025, the IRS began to take steps to reduce the size of its workforce. This was the result of executive orders issued by President Donald Trump and subsequent guidance from the Office of Personnel Management (OPM). While the President has repeatedly called for significant reductions in the size and scope of the federal government workforce, the tax agency has been a particular target.

In February 2025, the Internal Revenue Service had approximately 103,000 employees. By March, more than 11,400 of those workers had received termination notices as probationary employees or voluntarily resigned under the so-called "Fork in the Road" or Deferred Resignation Program (DRP) pushed by the Department of Government Efficiency (DOGE).

Depending on their circumstance, IRS employees could be eligible for one of three Treasury incentive offerings: (1) Treasury Deferred Resignation Program; (2) Treasury Deferred Resignation Program and Voluntary Early Retirement Authority ; or (3) Voluntary Separation Incentive Payment.

The deferred resignation program allowed federal employees to resign but retain all pay and benefits through September 30, 2025, or later if the employee’s retirement date was between October 1 and December 31, 2025.

Employees who were working from home and accepted this offer were also exempted from any return-to-office requirements. Employees had until February 6 to opt into the program.

The IRS subsequently recalled some of these resigned workers to work, noting that specific, critical tax return filing season positions would be exempt from the DRP until May 15, 2025. Those who had previously accepted the offer and stopped working but fell within the exception were advised they would be told when to return to work.

As of May 2025, 4,575 IRS employees were approved for the program. These employees are on administrative........

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