Acting IRS Commissioner Gary Shapley is leaving his position following a reported dispute between Treasury Secretary Scott Bessent and presidential adviser Elon Musk, according to multiple media outlets.
The New York Times reported that Shapley’s appointment was made at Musk’s urging without Bessent’s input, prompting Bessent to raise concerns directly with President Trump. The disagreement over the appointment highlights growing tensions within the administration over control of the IRS and its direction.
Deputy Treasury Secretary Michael Faulkender is set to replace Shapley, per reports from The Times and The Wall Street Journal.
Shapley, who drew praise from Republicans for his whistleblower testimony regarding the Hunter Biden investigation, had become a favored figure among conservatives. Sen. Chuck Grassley (R-Iowa) previously applauded Shapley’s actions and his rise in the department.
The shake-up follows a series of IRS controversies under the Trump administration, including disputes over taxpayer data access, audit interference, and actions against institutions like Harvard University.
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