Talk about an unwelcome tax cut - DOGE restructuring saw IRS lose 40% of its IT workforce in 2025

• The US IRS lost about 40% of its IT staff during DOGE's 2025 "restructuring"
• Senior technology leadership declined by nearly 80% during the shakeup
• Workforce reductions increased modernization strain and threatened the timely processing of tax returns

The United States Internal Revenue Service (IRS) has revealed the scale of disruption it experienced during 2025, with its technology division absorbing the heaviest losses.

The IRS, which administers federal tax collection in the United States, lost roughly 40% of its IT workforce and nearly 80% of its senior technology leadership during a sweeping restructuring effort by the so-called Department of Government Efficiency (DOGE).

Overall staffing across the agency declined by about one quarter during the same period.