Amid ongoing budget cuts and mass layoffs, the Department of Government Efficiency (DOGE) has announced the closure of several Internal Revenue Service (IRS) office buildings.
Last week, the BBC reported that President Donald Trump's administration planned to cut approximately 6,000 IRS employees.
As the country enters tax season, concerns are mounting over potential difficulties for Americans filing their returns. Many question the rationale behind reducing staff at one of the government’s most revenue-generating agencies under the pretense of efficiency and cost-cutting.
While the office closures align with DOGE’s widespread layoffs, they may also pose challenges in accommodating the agency’s now exclusively in-office workforce.
The following list is based on DOGE’s "Wall of Receipts," a record of agency actions last updated on February 24. It details IRS national office closures and their annual lease costs:
Lowell, Massachusetts – $1,189,592 (assuming a five-year lease continuation)
Hilo, Hawaii – $70,396
Brattleboro, Vermont – $41,238
Salem, Oregon – $262,927
Idaho Falls, Idaho – $52,743
Bend, Oregon – $192,066
Sioux City, Iowa – $104,186
Beaumont, Texas – $115,076
Knoxville, Tennessee – $69,357
Former IRS Commissioner John Koskinen expressed skepticism over DOGE’s push for in-office work, telling trade publication Tax Notes: "Bringing everyone in could present space challenges, given that many employees worked remotely long before COVID."
He further noted that the agency has "long allowed certain employees to work from home, with great success."
On February 13, Oregon Democratic Senator Ron Wyden posted on X (formerly Twitter): "My office is hearing that DOGE is now at the IRS. That means [department chief Elon] Musk’s team has access to a trove of taxpayer data. If your refund is delayed, they could very well be the reason."
Natasha Sarin, a Yale Law School professor and former White House tax policy adviser, told NPR: "For every $1 the IRS spends on high-end enforcement, the agency collects $12 in unpaid taxes."
Several former IRS commissioners recently cautioned against major operational changes during tax season in an op-ed for The New York Times. "Nearly 200 million Americans are in the process of filing their tax returns. Drastic cuts to accounts receivable in the name of cost efficiency simply don’t add up."
Last week, Commerce Secretary Howard Lutnick told Fox News that Trump's goal "was to abolish the IRS and have outsiders pay," suggesting government funding could rely more on tariffs than income taxes.
During his inauguration speech, President Trump declared: "Instead of taxing our citizens to enrich other countries, we will tariff and tax foreign nations to enrich our citizens."
However, Kimberly Clausing, a UCLA School of Law professor specializing in tax policy, previously told Newsweek: "Abolishing the IRS makes no sense for a modern country that wants to collect income tax revenue and maintain a fair, functioning tax system to support public services."
Reports suggest DOGE and the Trump administration intend to close additional IRS offices, along with facilities used by other government agencies, as part of their broader effort to shrink the federal budget.
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