The Internal Revenue Service has lost two crucial directors, Seth Wilks and Raj Mukherjee, who were overseeing crypto-related projects, after they opted for voluntary resignation packages. Although they are still technically employed by the IRS for the next few months, they have been placed on paid administrative leave as of Friday. This development comes after the Department of Government Efficiency introduced a deferred resignation program for federal employees, which was initiated during the previous administration. Wilks and Mukherjee, who joined the IRS in February 2024 from the crypto industry, were tasked with developing a more effective approach to cryptocurrency taxation, including creating reporting, compliance, and enforcement programs.
Their responsibilities also included drafting tax rules for the crypto sector. Notably, they worked on an updated tax form to assist individuals with filing taxes related to digital asset transactions. The duo's departure precedes anticipated staff reductions at the IRS, with over 20,000 employees having signed up for the deferred resignation program, according to recent reports.