The US Treasury Department is experiencing an unusually high level of turnover among senior political appointees in President Donald Trump’s second administration, raising questions about the department’s ability to implement tax policy and respond to economic emergencies.
According to NOTUS, seven of the 16 Treasury officials confirmed by the Senate since the beginning of Trump’s second term — about 44% — have either resigned or been forced out. The figure does not include turnover in Treasury Secretary Scott Bessent’s personal office, which has had at least three chiefs of staff.
Why are officials leaving?
Several departures have followed disagreements between Treasury officials and the White House over the administration’s demands involving tax enforcement and taxpayer information.
At least four of the seven departing officials reportedly clashed with the White House over policies they believed could stretch or potentially violate existing tax laws.
One dispute involved a proposal to provide taxpayer information to the Department of Homeland Security as part of the administration’s immigration enforcement efforts. Another involved a proposed $1.8 billion “anti-weaponization” fund that would have compensated Trump allies as part of an arrangement involving the IRS and tax audits. The proposal was ultimately abandoned after opposition from Senate Republicans.
Mark Mazur, a former senior IRS and Treasury official, told NOTUS that officials were being asked to do things “well beyond the norm” that could potentially be illegal.
Who has left?
Among the officials who have departed is John Hurley, Trump’s former undersecretary for terrorism and financial intelligence. He reportedly raised concerns about a White House initiative involving international payments from Minneapolis before leaving the department.
Ken Kies, an assistant Treasury secretary and acting IRS chief counsel, was pushed out after objecting to a White House request that reportedly raised concerns about restrictions on political interference in taxpayer audits, according to NOTUS.
Billy Long, the Senate-confirmed IRS commissioner, was also pushed out after objecting to demands that the IRS provide confidential taxpayer information to DHS.
Treasury General Counsel Brian Morrissey resigned shortly after the administration announced the proposed $1.8 billion fund.
The IRS has also experienced significant leadership instability. It went through seven acting commissioners in the previous year, while Trump has yet to nominate a permanent commissioner. Frank J. Bisignano, who also heads the Social Security Administration, currently serves as the agency’s chief executive officer.
How unusual is the turnover?
The level of turnover is significantly higher than in recent administrations.
By a comparable point in their terms, the Obama and Biden administrations had lost zero Senate-confirmed Treasury appointees, according to the Partnership for Public Service. George W. Bush’s administration and Trump’s first administration had each lost two.
The Treasury Department and IRS have also lost thousands of career employees, adding to concerns about institutional capacity.
Could the departures hurt Treasury?
Experts say vacancies could make it harder for Treasury to implement tax legislation and respond to an economic crisis.
Daniel Bunn, president and CEO of the Tax Foundation, warned that unfilled positions could slow the drafting of regulations needed to implement Republican tax legislation.
“It’s a real risk to the policy legacy of the administration on tax” if key positions remain vacant, Bunn said, according to NOTUS.
Former IRS Commissioner Mark Everson similarly warned that stretched leadership could make it harder for Treasury to respond effectively if a major crisis requires “all hands on deck.”
The White House, however, rejects concerns about the department’s performance. Spokesperson Kush Desai said Trump and Bessent have overseen a “transformative Treasury Department” and credited the administration’s team with advancing the president’s economic agenda.
