IRS Leadership Turmoil: Gary Shapley Replaced as Acting Commissioner After 48 Hours Amid Concerns Over Elon Musk’s Influence

Gary Shapley, who briefly served as the acting commissioner of the Internal Revenue Service (IRS), has been replaced after just 48 hours in the position. This change comes after Treasury Secretary Scott Bessent approached President Donald Trump, expressing concerns that Shapley had been appointed without the President’s knowledge and at the behest of billionaire Elon Musk. This information comes from a source familiar with the discussions surrounding Shapley’s appointment.

Shapley, a long-time employee of the IRS, was appointed to the role following the resignation of Melanie Krause, who had served as acting commissioner since February. Krause resigned earlier in the month, citing a data-sharing agreement as the reason for her departure. The decision to replace Shapley was reportedly approved by President Trump, and Deputy Treasury Secretary Michael Faulkender is expected to assume the role of acting IRS commissioner.

The brief tenure of Shapley at the helm of the IRS was marked by internal disputes, particularly involving Elon Musk, who was said to have supported Shapley’s appointment. Despite his short-lived role as acting commissioner, Shapley is expected to continue his service as an adviser to Treasury Secretary Bessent, according to sources familiar with the situation.

Meanwhile, the position of IRS commissioner remains in flux as President Trump’s nominee, Billy Long, awaits Senate confirmation. The situation has drawn attention due to an IRS whistleblower’s claims of being instructed not to pursue certain actions involving President Biden, adding another layer of complexity to the ongoing developments within the agency.