The acting commissioner of the Internal Revenue Service, Melanie Krause, is expected to step down following a controversial data-sharing agreement between the IRS and the Department of Homeland Security aimed at aiding the Trump administration’s immigration enforcement efforts, according to sources. Krause becomes the third IRS leader to resign this year. Commissioner Danny Werfel left on Inauguration Day, and acting Commissioner Doug O’Donnell retired a month later amid concerns about how the agency was being managed under the Trump administration.
A Treasury Department spokesperson confirmed Krause’s departure, praising her leadership during a period of transformation at the IRS, which included IT modernization and breaking down data silos to combat fraud and crime.
The spokesperson wished her success in future endeavors. Krause declined to comment.
The data-sharing agreement, finalized without the knowledge of some senior officials, has raised legal and ethical concerns within the agency. Several officials only learned of the deal’s completion after it was reported by Fox News. Treasury Secretary Scott Bessent signed the agreement on behalf of the IRS, as shown in a redacted court filing.
Other top officials are now considering leaving the agency in the wake of the agreement.
