WASHINGTON, Jan 21, 2026, 17:11 (EST)
- IRS chief executive Frank Bisignano reshuffled senior leadership days before filing season, naming Gary Shapley and Joseph Ziegler to new roles.
- The move comes as the agency braces for major new tax provisions and after a watchdog cited a 26% workforce drop.
- IRS expects about 164 million individual returns this season, with the agency also pushing more digital processing.
The head of the Internal Revenue Service has reshuffled top ranks days before the 2026 tax filing season, elevating two whistleblowers tied to the Hunter Biden tax investigations as the agency braces for a heavy workload and new tax rules. https://apnews.com/article/treasury-irs-ta…
The timing is tight. The IRS is preparing to process millions of returns while putting into practice major changes in a tax-and-spending package President Donald Trump signed into law last summer, including new relief for tips and overtime and new deductions for qualifying older Americans.
It is also heading into filing season after deep staffing cuts. A June report from the National Taxpayer Advocate warned the season could be rocky after mass layoffs last year tied to the Department of Government Efficiency, and Erin M. Collins said, “With the IRS workforce reduced by 26% and significant tax law changes on the horizon, there are risks to next year’s filing season.”
Bisignano, in a letter to employees viewed by the Associated Press, said he was “confident” the IRS is ready to deliver “a successful tax filing season” for the public. He laid out priorities that include improving customer service, boosting tax collections and protecting taxpayer privacy.
Among the most visible personnel moves, Gary Shapley was named deputy chief of IRS Criminal Investigation, the unit that probes tax crimes and financial fraud. Joseph Ziegler was named chief of internal consulting, the letter said.
Bisignano also said Guy Ficco, the head of Criminal Investigation, is set to retire. Jarod Koopman will replace Ficco and will also serve as chief tax compliance officer alongside Bisignano, according to the letter.
The reshuffle lands after years of leadership turnover and funding reversals. Congress rolled back portions of a previous $80 billion expansion, and the agency has shed staff through layoffs, buyouts and retirements, Business Report wrote. https://www.businessreport.com/article/irs…
Bisignano is also pushing a sharper turn toward technology. He has outlined a new executive structure with wider reporting lines and updated performance measures focused on call-center responsiveness, while also moving to link internal data systems and outsource some paper-return processing.
In an interview with The Washington Post, Bisignano said filing season begins Jan. 26 and the IRS plans to bring in private contractors to scan and digitize some paper returns. The Post also reported the agency will shift helpline tracking toward clearer measures such as call wait times and how often callers hang up before reaching an agent. https://www.washingtonpost.com/business/20…
The IRS expects to receive roughly 164 million individual income tax returns this season, about in line with last year, according to the AP report. The average refund last year was $3,167, IRS data showed, and Treasury Secretary Scott Bessent has said the new Republican tax law will lead to bigger refunds in 2026.
But the near-term test is operational, not political. The watchdog has flagged risks from the combination of a smaller workforce and big rule changes, and even a modest slowdown can ripple into delayed refunds, longer phone queues and a harder push on compliance.
Bisignano, named to the job in October, also serves as commissioner of the Social Security Administration. He has told employees he wants faster service and stronger collections, while keeping taxpayer data secure as more of the agency’s work shifts online.
