As the New York Times has reported:
The Internal Revenue Service will begin laying off roughly 6,000 employees on Thursday as part of the Trump administration's push to downsize the federal work force, three people familiar with the agency's plans said.
Of all the cuts that Trump and Musk are delivering, this is the one I always expected.
I am, in fact, surprised the cuts are so modest. After all, the Republicans hate the IRS. It imposes tax. They hate tax. It follows that they hate the organisation that requires that they pay, and the staff who enforce that obligation. I am surprised that, so far, they are only planning to cut six per cent of IRS staff. I suspect this will not be the end of the story.
Long ago, when I was first working on tax justice, and John Christensen and I were just about the only people in the world to be doing so, an adviser to Gordon Brown, who had urged on him the merger of the old Inland Revenue and HM Customs & Excise to form HM Revenue & Customs with the deliberate intention of cutting staff, told me that the aim was to 'starve the beast of resources'. The same person strongly advocated 15% corporation tax rates and wanted me to believe he was not a stooge for big business. I never believed him about the second point. I believed him when he said he wanted to starve the beast because this thinking was entirely consistent with his belief that the state must be constrained and that the best way to do that was by cutting its capacity to raise taxes.
I have little doubt that Trump and Musk want to 'starve the beast'. It's a road to ruin. We could have avoided austerity and all that followed from it if we had collected the tax owing in the UK.
Thanks for reading this post.
You can share this post on social media of your choice by clicking these icons:
There are links to this blog's glossary in the above post that explain technical terms used in it. Follow them for more explanations.
You can subscribe to this blog's daily email here.
And if you would like to support this blog you can, here:
G B Shaw said ‘professions are conspiracies against the laity.’
Be that as it may, what we see here is a conspiracy against the people.
Two points then.
There has effectively been a coup by the rich in the UK and U.S.
The second is the political capitulation involved.
Effectively, modern politicians seem unable to do the job they have been elected to do. Why would anyone want to do a job like that believing that their hands are so tightly tied (that there is no money). The answer can only be that they are all in on it too – in on the big lies about tax.
This is why the point you made about education and competence of the elected – never mind probity, ethics and honour – is so piquant going forward – if there is to be a forward. Which I doubt for a very long time I’m afraid.
I think this will be all of the probationary staff at the IRS, in the first year of the job so easier to dismiss. This follows the dismissal of staff in the national parks and forestry services, in the teeth of massive forest fires in recent years (services which typically have large staff turnover and large numbers of seasonal workers). Staff at the federal aviation authority, shortly after understaffed air traffic control failed to prevent a deadly midair plane collision. Staff at the body that maintains the US nuclear stockpile.
But fine. US voters elected this administration. When their house burns down, when their plane is cancelled or crashes, when there is a nuclear incident, they will know who to blame.
If I was a US citizen I would also be worried about Musk getting his hands on the data from the Bureau of Fiscal Service, which makes most federal payments, and the IRS.
The King Donald coup continues.
MSNBC are saying the cuts to the IRS will seriously reduce checking of tax returns and are a green light to tax avoidance.
Even more worrying for non King Donald approved journalists is the application by a Trump supporter to the Supreme Court to review the Sullivan decision that confirmed the First Amendment to the Constitution guaranteeing freedom of speech. The application is an attempt to prevent the press investigating and reporting on government officials actions.
There is serious doubt that the Supreme Court will uphold the decision.
As Bret Stephens in the New York Times International Edition writes quoting Goebbels “if democracy is foolish enough to give us free railway passes and salaries that’s its problem. Any way of bringing about the revolution is fine by us”.
Democracy has been warned. It’s in dire peril.
Interesting article in todays Guardian
https://www.theguardian.com/society/2025/feb/20/the-cannabis-farm-scandal-how-a-rogue-lettings-agency-destroyed-countless-homes
The obvious issue that is touched on is the emasculation of not only the Police but other forms of law enforcement ie Local Authorities & HMRC.
An obvious question is how the cutting of IRS staff will facilitate crime in the USA?
Given the tax events, I am pleased to announce the anthem for the new administration.
The video is here https://www.youtube.com/watch?v=Adgx9wt63NY
& the opening lines give a general flavour of the direction taken.
Indeed Bloodhound Gang no doubt is the favourite group for those now “running” the erm US “government” blending as it does misogeny and a few other unpleasant traits.
The roof, the roof, the roof is on fire
The roof, the roof, the roof is on fire
The roof, the roof, the roof is on fire
We don’t need no water, let the motherf…ker burn
Burn, motherf….ker, burn
Thank you Mike Parr for a great laugh this afternoon! I’ve never heard of this band before, but will take a look on YouTube for more of their stuff. Loved the old guy throwing a pair of knickers at the lead singer! (imagine a row of laughing ROFL smilies here)
In response, I give you The Bonzo Dog Doo Dah Band, which I believe is a decent description of Trump and/or Musk… Look at Me I’m Wonderful…
https://www.youtube.com/watch?v=EJyCYcnkzio
Though possibly this one is better for Musk? I’m the Urban Spaceman.
https://www.youtube.com/watch?v=mZ8bj8lcMsM
Such a shame the twist at the end isn’t true for Musk.
Talking of Musk, horrified he’s sacked all the National Park people. What on earth will happen when inevitably a wildfire breaks out? Not to mention when people fall off mountains, get attacked by bears, etc.
Mike Parr!!
Really!!
I did wonder which SMF had written that song – it was a favourite amongst the U.S. tank crews in Iraq apparently.
Apologies for posting twice. “Starving the beast” has, as a direct consequence the collection of less taxes. In turn (yes I know – they don’t) this means governments are less inclined to fund things like – you know – law n order. What to know what that looks like?
https://www.theguardian.com/society/2025/feb/20/the-cannabis-farm-scandal-how-a-rogue-lettings-agency-destroyed-countless-homes
In summary, one safe guard with respect to rental accomodation is local gov, specifically (extract): “Local authority trading standards officer, responsible for enforcing regulations..after 15 years of cuts……a 2018 report found that there were 2.46 environmental health officers to inspect private rented accommodation for every 10,000 properties in London” – the article outlines rampant criminality and names one guy that should be in prison, and…………….nothing, nothing happens. Tories the party of law n order? don’t make me laugh – not when it comes to enforcement for criminality that affects ordinary people.
Bit off topic, but I was interested to see this article with comments from Torsten Bell:
https://www.msn.com/en-gb/money/other/investment-in-uk-s-crumbling-public-services-is-pro-growth-says-pensions-minister/ar-AA1zpFnq?ocid=winp1taskbar&cvid=1fab685e05d9489a907db3aa5c7fab09&ei=29
Is there some hope if he were to replace rachael reeves?
I hope not
He is neoliberal to his core
At risk of triggering the conspiracy theory klaxon, could a part of the de-staffing of the IRS and likely rapid growth in tax evasion be part of a plan to incentivise global elites and firms to locate their financial and physical assets in the US? Trump has repeatedly demanded manufacturing companies relocate to the US and part of his tariff approach encourages this. Not that I care about financial parasites, but if I were in the City or a tax avoidance British Overseas Territory then I’d be worried.