IRS Denies 10% of Workers Applying for Second Resignation Offer

April 18, 2025, 3:48 PM UTC

About 2,100 of the employees who applied for the Trump administration’s second deferred resignation offer at the IRS were denied, according to a person familiar with the matter.

Roughly 20,000 IRS employees applied to take the deferred resignation offer which allows them to be on paid administrative leave through Sept. 30. This is just one of the incentives the Trump administration is giving to entice federal workers to leave and further its effort to shrink the federal workforce.

  • Chief Tax Compliance Office leadership identified key positions crucial to the agency and those employees aren’t eligible for the resignation offer, said an email seen by Bloomberg Tax.
  • The deadline for workers to take the offer was April 14. Employees who take the offer could leave as soon as April 28.
  • The mass exodus of workers at the IRS comes as the agency begins its reduction in force.

— With assistance from Rebecca Rainey.

To contact the reporters on this story: Erin Slowey in Washington at eslowey@bloombergindustry.com; Erin Schilling in Washington at eschilling@bloombergindustry.com

To contact the editor responsible for this story: Martha Mueller Neff at mmuellerneff@bloomberglaw.com

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