Bloomberg Tax, IRS Heads of Large Business Unit, Tax Pro Oversight Put on Leave:
Two highly placed IRS leaders were put on administrative leave Tuesday, according to a person familiar with the situation.
Holly Paz, the commissioner of Large Business and International Division, and Elizabeth Kastenberg, acting director of the Office of Professional Responsibility, were put on leave while the IRS investigates their conduct against Republicans, the source said, adding that the leave doesn’t mean they are fired. It hasn’t been decided who will replace them, the source said.
Bloomberg Law, IRS Leadership Shakeup Adds to Turmoil Among Slashed Workforce:
The IRS has more holes in its senior leadership team and questions around morale of the remaining compliance workforce as two officials were put on administrative leave.
Longtime IRS staffers Holly Paz and Elizabeth Kastenberg are being investigated for their alleged conduct against Republicans, a person familiar with the situation said. The absences will likely worry workers already roiled by deep staff cuts and buyouts and hinder the functions of the compliance divisions just as new IRS Commissioner Billy Long takes over, tax professionals said. …
The IRS is losing about a quarter of its 100,000-person staff because of the Trump administration’s efforts to shrink the federal government. Over half of the IRS senior leadership has left this year.
Losing two experienced officials will make it even harder for the IRS to administer and enforce the tax code, especially because of the recently passed GOP tax law, said Caroline Ciraolo, former acting assistant attorney general of the Justice Department Tax Division who is now a partner with Kostelanetz LLP and founder of its Washington office.
“The continuing departure of experienced and dedicated leaders within the IRS is having a substantial, adverse impact on the agency and nationwide tax administration,” Ciraolo said in an email. “The abrupt and inexplicable removal of Holly Paz and Elizabeth Kastenberg, two seasoned and highly respected tax professionals, will only exacerbate this crisis.”
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