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The Wall Street Journal reports that the Trump administration’s cuts to IRS staffing and enforcement are weakening audits, collections, and deterrence, while encouraging riskier taxpayer behavior. Enforcement staff are projected to fall below 30,000, audits of people earning at least $10m are dropping sharply, and lawyers say some taxpayers now assume they can evade scrutiny. Carolyn Schenck, former IRS national fraud counsel, said: “The IRS isn’t going to catch me” is becoming a broader mindset. Officials argue AI and digital tools can offset losses, but critics warn of lower revenue, weaker oversight of complex taxpayers, leadership instability, and lasting institutional damage that could take years to reverse.
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