Trump
removes IRS acting chief Gary Shapley after Treasury alleges Elon Musk
influenced his appointment without proper authorization.
WASHINGTON, D.C. – President
Donald Trump has approved the replacement of acting IRS Commissioner Gary
Shapley following a dispute between Treasury Secretary Scott Bessent and Elon
Musk over the legitimacy of Shapley's appointment.
According
to sources familiar with the matter, Bessent informed Trump that Shapley was
installed at the IRS without his consent and allegedly at Musk's direction. The
President has authorized Shapley’s removal, and Deputy Treasury Secretary
Michael Faulkender is expected to step in as acting commissioner.
Shapley,
who took over after the resignation of former acting commissioner Melanie
Krause earlier this month, had served a brief and controversial tenure. Krause
had stepped down in protest against a new data-sharing agreement between the
IRS and the Department of Homeland Security, allowing immigration authorities
to cross-check personal information with tax records.
This leadership
shake-up reflects deeper tensions between the Treasury and Elon Musk, who
currently leads the Department of Government Efficiency, a role Trump created
to drive federal cost-cutting. In recent days, friction between the two
intensified publicly. On Thursday night, Musk shared a thread on his social
media platform X, written by far-right activist Laura Loomer, accusing Bessent
of affiliations with anti-Trump figures. Musk called the post “troubling,”
further straining internal administration dynamics.
While
Trump has previously asserted that Musk "has never asked him for a
thing," this incident has raised concerns about the tech billionaire’s
informal influence over government appointments. The White House has yet to
issue an official statement regarding the change in IRS leadership.
The
appointment of a permanent commissioner remains pending, as Trump’s nominee,
Billy Long, has not yet received a Senate confirmation hearing.
This
development adds to the complex and controversial reshaping of federal
institutions under Trump’s second term, as the administration continues to
challenge traditional protocols in favor of rapid internal reforms.