Watchdog report reveals partisan leanings, fuels fears of political targeting
Washington, D.C. — A new report by the American Accountability Foundation (AAF) is sending shockwaves through Washington. The watchdog group claims top officials in a powerful IRS division show strong anti-Trump sentiment and lean heavily Democratic.
Bias Allegations Spark Controversy
The AAF focused its investigation on the IRS’s Large Business and International (LB&I) Division. This division oversees taxes for businesses with assets over $10 million. According to the report, at least 15 of the division’s 40 senior leaders show liberal bias or support for Democratic causes. Only two officials were identified as Republicans.
Seven of these officials are registered Democrats or donors to Democratic candidates. Eight others have signaled anti-Trump views on social media. Due to Virginia’s lack of partisan voter registration, the full political makeup remains unclear.
Democratic Leadership at the Top
The division is led by Holly Paz, a longtime IRS official. In 2008, she donated $4,000 to the Obama Victory Fund. Paz drew criticism from Republicans in 2013 for her role in the IRS targeting scandal involving conservative nonprofit groups.
AAF’s report described the situation as dangerous. “The tilt toward Democrats, liberals, and Trump critics is currently at an unsustainable level,” it stated. “This opens the door to a possible repeat of political targeting.”
Public Posts Show Partisan Views
Some LB&I officials have publicly criticized Trump-era policies.
Eric Cirelli, director of field operations and high-income compliance, liked a post calling Trump’s IRS budget cuts “irresponsible.” Another post he liked labeled a government agency “lawless.”
Roy Souders, head of technology and program solutions, liked a post accusing Trump’s team of waging “unprecedented attacks” on federal workers. He also reposted a comment calling the effort “cruel and unjustifiable.”
Social Media Activity Raises Red Flags
Kathleen Kruchten leads the Cross Border Activities Practice Area. Since 2019, she has donated hundreds to Democratic groups. On social media, she reposted support for abortion rights and racial reparations. She also called Trump “deranged” and accused him of having “authoritarian motives.”
Paul Kruse, director of field operations west, liked a post linking Trump to fascism. Chad Fuhrman, another field director, liked a post from his wife accusing Trump of treason.
These online actions suggest personal political beliefs may bleed into professional roles. Critics worry this could compromise the IRS’s impartiality.
Longstanding Political Support for Democrats
The AAF says the LB&I division’s tilt is part of a broader trend. The group previously found that 60% of leaders in the IRS’s top offices had supported liberal causes.
AAF is a right-leaning nonprofit. It receives funding from conservative groups such as the Club for Growth and Donors Trust. The group specializes in government oversight and transparency efforts.
Spokeswoman Removed After Scrutiny
This month, the IRS removed Jodie Reynolds, its spokeswoman of 27 years. Reynolds had a history of making anti-Trump posts online. Her quiet departure raises questions about internal conflicts and possible purges.
The IRS did not respond to media requests for comment.
Concerns Over Future Scandals
With the LB&I division playing a critical role in overseeing business tax compliance, its leadership matters. Businesses affected by its decisions include multinational corporations and high-net-worth firms. Bias in such a department could influence audits, rulings, or investigations.
The AAF warns of another potential scandal. “Leadership bias can lead to unfair scrutiny,” said the group. “And when it involves political targeting, the damage is immense.”
What Comes Next?
Congressional Republicans may call for investigations. Oversight committees could demand testimony or records. The issue could also surface during the 2024 election cycle, especially if Trump continues to campaign on government reform.
For now, the IRS remains silent. But as pressure builds, more answers may soon come to light.
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