Trump’s Shake-Up at the IRS Sends Shockwaves Through America – Whatfinger News' Choice Clips
Whatfinger News' Choice Clips

Trump’s Shake-Up at the IRS Sends Shockwaves Through America

In a bold move that has ignited fierce debate across the nation, President Donald Trump has initiated a sweeping overhaul of the American tax system, proposing the abolition of the Internal Revenue Service (IRS) and its replacement with an External Revenue Service (ERS) focused on tariffs and foreign revenues. This revolutionary plan, as detailed in recent reports, aims to shift the burden of funding the government away from hardworking Americans and onto international trade partners through aggressive tariffs. Trump’s vision harkens back to a pre-1913 era when tariffs, not income taxes, powered America’s economic dominance, potentially eliminating taxes on tips, overtime, Social Security benefits, and even income for those earning under $200,000. Conservatives hail this as a long-overdue strike against a bloated bureaucracy that has been weaponized against citizens, while critics warn of potential trade wars and economic fallout.

But the real shockwave came with Trump’s swift removal of IRS Commissioner Billy Long, a Trump loyalist confirmed by the Senate just two months prior, signaling that no one is safe in the push to dismantle the agency. The saga began with Trump’s announcement of the ERS in January 2025, tasking Commerce Secretary Howard Lutnick with building an entity dedicated to collecting tariffs, duties, and revenues from foreign sources. As Trump declared, “I am today announcing that I will create the EXTERNAL REVENUE SERVICE to collect our Tariffs, Duties, and all Revenue that come from Foreign sources.” This move aligns with his “America First” agenda, promising to generate trillions without taxing domestic earners. Allies like economist Stephen Moore praised the ERS on Fox & Friends, emphasizing it would “collect foreign tariffs” and ease the load on American taxpayers. Continued below this next clip

Donald Trump says the real tariff revenue all start to come in August 1st, 2025 He says the revenue from these tariffs will be so substantial, we can most likely ELIMINATE THE IRS “We’re taking in tremendous amounts of money — The tariffs haven’t really started by comparison to what they will be — The other ones kick in on August 1st, and they’re very substantial. And the answer is. Yeah, there’s a. I think there’s a real shot. I actually say there’s a shot at, you know, we have the Internal Revenue Service. We could use the External Revenue Service, and WE WOULDN’T EVEN NEED THE INTERNAL REVENUE SERVICE. The money is very substantial”

The Department of Government Efficiency (DOGE), led by Elon Musk and Vivek Ramaswamy, is auditing the IRS to expose waste and overreach, further fueling speculation that the agency’s days are numbered. House Republicans, including Rep. Claudia Tenney, support the Fair Tax Act, which would replace income taxes with a national sales tax and redirect IRS funds to border security. Amid this backdrop, Trump’s removal of Billy Long on August 8, 2025, sent ripples through Washington and beyond. Long, a former Missouri Congressman and auctioneer with no deep tax expertise, was confirmed as IRS Commissioner on June 12, 2025, in a 53-44 party-line vote.

His tenure, the shortest since the position’s creation in 1862, ended abruptly when Trump fired him, reportedly over Long’s refusal to expand data-sharing with the Department of Homeland Security (DHS) on suspected illegal immigrants claiming tax benefits. According to sources, DHS provided the IRS with a list of 40,000 names believed to be illegal aliens, seeking address verification via confidential taxpayer data. The IRS verified fewer than 3% under the existing agreement, but when White House officials demanded more—specifically on earned income tax credits—Long defied the order, citing taxpayer privacy rights. Hours later, he was out, with Treasury Secretary Scott Bessent stepping in as acting commissioner. This clash underscores the IRS’s role in broader immigration enforcement under Trump. White House spokeswoman Abigail Jackson dismissed reports of internal discord as “fake news,” insisting the administration is eliminating “information silos” to prevent illegal aliens from exploiting benefits meant for Americans.

Long’s removal wasn’t without a soft landing; Trump nominated him as U.S. Ambassador to Iceland, a move Long embraced, stating, “It is an honor to serve my friend President Trump and I am excited to take on my new role.” Yet, his ouster highlights the volatility at the IRS, which has cycled through six leaders since Trump’s inauguration, including resignations tied to data-sharing deals and power struggles involving Musk and Bessent. Conservatives view Long’s firing as a necessary purge of hesitation in executing Trump’s agenda. During his brief stint, Long traveled to IRS offices, spoke at industry conferences, and placed two top officials on administrative leave while calling for a “purge” of the workforce on social media. However, his background raised eyebrows even among supporters; as a congressman, he sponsored bills to abolish the IRS, but post-Congress, he worked with firms peddling fraudulent pandemic-era tax credits, prompting Democratic calls for investigations.

Trump’s decision to boot him aligns with aggressive workforce reductions: The IRS has shrunk from 103,000 employees in January to 77,000 by May, thanks to DOGE’s deferred resignation program and buyouts, slashing 25% of staff. Overall, Trump has ousted over 11,000 IRS workers, framing it as dismantling a “tyrannical” agency bloated under Biden’s Inflation Reduction Act, which added 87,000 agents allegedly to target conservatives and small businesses. The shake-up has sent shockwaves through America, from Wall Street to Main Street. Business owners and taxpayers weary of audits cheer the potential end of the IRS, envisioning a tariff-funded government that cuts domestic taxes dramatically. A 10% universal tariff on imports could raise $400 billion annually from $4.1 trillion in trade, per Newsmax analysts, funding tax relief without burdening citizens.

Fox Business’s Brian Brenberg lauded the ERS as a way to “collect money from foreigners,” resonating with conservatives tired of funding endless wars and welfare programs. On “Liberation Day” April 2, 2025, Trump implemented reciprocal tariffs on nations taxing U.S. exports, delaying full rollout to shield consumers. Yet, not all reactions are unanimous. National Review cautioned against overpromising, warning, “Don’t substitute tariffs for income taxes: You’ll get both,” urging fiscal prudence to avoid new burdens. Democrats, in “panic mode,” threaten to block tariffs, labeling them “unacceptable,” but with GOP control, Trump’s executive actions may prevail. Public sentiment, as seen on social media, mixes mockery and support; one post quipped, “More like Billy not-for-Long!” while others praised the move amid IRS-DHS tensions.

Could this signal the end of the IRS? Trump’s allies, like Dan Scavino, called for its abolition on the day Bessent was installed, tying it to the ERS rollout. With audits exposing overreach and workforce decimated, the agency teeters on irrelevance. Heritage Foundation experts advocate extending Trump’s 2017 tax cuts, set to expire, while shifting to foreign revenue streams. For millions of Americans harassed by IRS agents, this shake-up offers hope: a simpler, fairer system where foreigners foot the bill. As Trump insists, “If tariffs work out… you wouldn’t need income tax.” The road ahead may be rocky, with trade partners retaliating and legal battles looming, but for conservatives, it’s a seismic step toward reclaiming economic sovereignty. This dramatic overhaul and Long’s ouster exemplify Trump’s no-nonsense approach, purging even allies who falter. As the ERS gears up for launch, America watches: Is the IRS’s demise imminent, or will entrenched interests prevail? Only time—and tariffs—will tell.

We here at Whatfinger News have total confidence in President Trump. He has a plan for America and has proven himself to be moving to success with all goals.

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