Treasury’s Bessent Drops Acting IRS Chief Title, Keeps Tasks (1)

Treasury Secretary Scott Bessent is no longer serving as the acting IRS commissioner to comply with a federal vacancies law, the IRS said Friday.

The IRS said in a statement he will perform the functions and duties of the commissioner position while it remains vacant—a workaround that has been used by both Republican and Democratic administrations. IRS CEO Frank Bisignano continues to run the day-to-day operations at the agency.

The 1998 Federal Vacancies Reform Act sets requirements for filling vacant positions that await presidential nomination and Senate confirmation. It generally sets a 210-day limit for serving in an acting capacity, which Bessent hit last week.

An agency that violates the vacancies law sets itself up for lawsuits since the leader’s actions have no force or effect, though legal challenges can become thorny. As a go-around, administrations have changed titles to senior officials performing the functions and duties of their positions instead of acting leaders.

Critics of this maneuver say it sidesteps the confirmation process and illegally lengthens the tenure of an acting official.

“The American people don’t care that Secretary Bessent’s moonlighting at IRS has come to an end, what they care about is the Trump Administration’s blatant disregard for full and fair tax administration,” House Ways and Means Committee ranking member Rep. Richard Neal (D-Mass.) said in a statement.

IRS commissioner, which Bessent has held in an acting capacity since August, is one of two IRS positions requiring Senate confirmation. He is the seventh person to hold the top job at the IRS since the start of 2025 and after a slew of top leader exits. There isn’t a current nominee.

A Trump IRS nominee would serve out the remainder of Biden’s pick Danny Werfel, which ends in November 2027. This makes it unlikely for the administration to nominate another candidate as time the person would spend in the job runs down.

Treasury Assistant Secretary for Tax Policy Ken Kies also has been filling the vacant IRS chief counsel job, which requires confirmation. The agency could be in violation of the law in mid-June for Kies unless the White House nominates someone new.