The Acting Commissioner to the IRS (IRS) is resigned on a new federal agreement that allows the access to immigration enforcement data to taxpayer data, according to two people familiar with the decision that spoke to the Associated Press, provided that his identity is not disclosed.
Melanie Kraos, who held the position of Commissioner for Representation in the Tax Authority since February, will step down after the signing of a memorandum of agreement between Treasury Secretary Scott Bessen and the Minister of Internal Security Christie Nom. The sources said that the deal allows the enforcement of immigration and customs (ICE) to provide names and addresses to immigrants who are not documented to the Tax Authority to overcome them with tax deposits.
When it was reached for the comment, Kraus did not confirm Newsweek“I really need to keep my nose to the length stone and focus on the deposit season now.”
Melanie Cross Left) and John Elswik right)/Melanie Cross LinkedIn (left and AP (right
Why do it matter
Krause’s third resignation determines a major exit from the Tax Authority this year amid internal opposition to expanding the agency’s cooperation with other departments under the strategy of immigration enforcement in the Trump administration.
The Agency’s data exchange agreement with ICE is a sharp departure from the long -term tax department policy that protects taxpayer information from its use in an unrelated federal application.
Politics transforming concerns about its impact on tax compliance, data privacy and legal integrity of how to address the Tax Authority dealt with personal information.
Ice officials say policy aims at major criminal cases, especially those who use stolen identities or illegally receive public assistance. Critics argue that it opens the door to offending the use of taxpayers in the future and can eat the public’s confidence in the agency.
Who is Melanie Cross?
Krause, who joined the Tax Authority in October 2021 as head of data and analyzes at the agency, has more than a decade of experience in government roles, and held positions at the Government Accountability Office and the Office of the Ministry of Old Warriors Affairs, before joining the Tax Authority.
Last April, she became the head of the agency’s operations, supervising the main administrative and operational departments in the Tax Authority, including the financial manager, the head of the risk, the privacy of government communication, and the disclosure department.
In February of this year, the Secretary of the Treasury was appointed Scott Besent, the Commissioner of the Chargé d’Affaires of Kraue, after the retirement of the delegate on behalf of Douglas Odonil.
What do you know
The memo was signed on Monday by Bessent and Noem, according to the AP. It enables the Ministry of National Security to provide identification information information in order to verify the Tax Authority, a step that officials say is accredited by the “long authorities granted by Congress.”
Although Krause participated in early discussions on a possible agreement between agencies with the Ministry of National Security, it did not agree or help formulate the final issue.
According to CNN, the final deal learned through news coverage.
Sleep had previously requested in February that criminal investigation agents would be temporarily appointed to assist immigration enforcement operations, noting additional funding received by the agency under the law to reduce inflation.
Krause’s resignation reflects broader fears within the agency about its changing role in the current administration.
Many senior employees, including the chief adviser to William Paul, have warned or resigned, and legal experts have warned that the policy of sharing new data may violate federal confidentiality laws.
The Tax Authority also faced increasing attention from the Ministry of Governmental Efficiency at Elon Musk (DOGE), which worked to reach the agency’s data earlier this year.
Newsweek I called the White House, the Treasury and the Tax Authority for further comment.
What people say
A group of tax law experts told the New York University’s Tax Center: “It is difficult to see how the tax department can issue information to DHS while compliance with the laws of taxpayers… Tax officials who sign the exchange of data under these circumstances risk violating the law, which may lead to criminal and civil penalties.”
Tom Bowman, a policy consultant at the Center for Democracy and Technology, said: “[Disclosing immigrant tax records to DHS for immigration enforcement] Tax compliance between migrant societies, weakening contributions to basic public programs, and increasing burdens for American citizens and non -immigrant taxpayers. “
What happens after that
The agreement between ICE and IRS is likely to face civil freedom groups and legal experts.
Crace is expected to leave the Tax Authority on April 28, Wall Street Magazine I mentioned. Its replacement has not been announced. In December, President Donald Trump nominated former actor Billy Long, a Republican of Missouri, to work in this role, but was not confirmed by the Senate.
This article contains reports by Associated Press