IRS Chief Fired in 48 Hours After Elon's Alleged Meddling
Gary Shapley in 2023. Photo courtesy of the United States Congress. Public domain.
In the twilight hours of Tax Day — as millions of Americans were still rubbing their temples and hitting "submit" on last-minute returns — a quiet political shake-up exploded into public view. Gary Shapley, the newly installed acting IRS commissioner and well-known Hunter Biden whistleblower, was out. His reign had lasted just two days. The man replacing him? A lesser-known Treasury insider. The reason? A growing power struggle involving Elon Musk, the Treasury Department, and a White House increasingly divided over who holds the reins of America's tax agency.
From Whistleblower to Whiplash
To understand this stunning reversal, let's rewind. On Tuesday, April 16, President Donald Trump — now deep into his second term — appointed Gary Shapley as acting IRS commissioner. Shapley is no stranger to headlines. He rose to prominence in 2023 after accusing the Department of Justice, under the Biden administration, of giving Hunter Biden special treatment during a federal tax investigation.
That case made Shapley a hero in some political circles and a lightning rod in others. His allies saw him as a truth-teller; his critics viewed him as a partisan operative. But his promotion to the top of the IRS sparked immediate backlash — not just from Democrats, but from within Trump's own administration.
By Thursday night, April 18, Treasury Secretary Scott Bessent was telling the president that Shapley had been installed behind his back — and allegedly at the behest of Elon Musk.
Elon Musk and DOGE: The Billionaire Behind the Curtain
At the center of the storm is Musk's cost-cutting Department of Government Efficiency (DOGE). Under Trump's second-term reorganization of the federal government, Musk was tapped to streamline bloated agencies and digitize outdated systems. But insiders say DOGE's influence has grown far beyond spreadsheets and server rooms. Shapley's appointment, multiple sources told CBS News, was orchestrated through backchannels and pushed by Musk without Bessent's sign-off.
That move reportedly triggered alarm bells inside the Treasury. Bessent — who technically oversees the IRS — felt blindsided and argued that Musk had bypassed him with Shapley's appointment. Musk, for his part, fanned the flames. In a post on X (formerly Twitter), he reposted a thread accusing Bessent of staffing the Treasury with anti-Trump figures. Musk called the situation "troubling.".
A Quiet Coup at the Top
By Friday morning, the decision had been reversed. Trump removed Shapley and replaced him with Michael Faulkender, the deputy Treasury secretary and Bessent loyalist. In a public statement reported by ABC News, Bessent said, "Trust must be brought back to the IRS, and I am fully confident that Deputy Secretary Michael Faulkender is the right man for the moment."
While Shapley is out as commissioner, he's not out of power. Bessent confirmed he would remain a senior adviser focused on IRS reform, and he's expected to be placed in a future high-level post once his year-long investigation with fellow whistleblower Joseph Ziegler concludes.
Is There a Hunter Biden Connection?
Absolutely — and it's central to why this matters.
Shapley wasn't just another IRS bureaucrat. He was one of the two whistleblowers who accused the DOJ of shielding Hunter Biden during its yearslong probe into tax evasion and foreign payments. In public testimony and a 2023 interview with CBS, Shapley alleged that investigators were told to avoid leads involving Joe Biden — and that they were eventually removed from the case after going public.
Hunter Biden later pleaded guilty to tax crimes and received a full presidential pardon from his father in 2024. Since then, Shapley's stock has soared in Trumpworld — earning him rapid promotions, including his brief but controversial stint atop the IRS.
His supporters argue that the backlash to his appointment proves their point: that whistleblowers are still being punished. His critics say his rise — and Musk's alleged involvement — raise serious questions about politicizing federal institutions.
Cracks in the MAGA Infrastructure?
This IRS shake-up is more than just bureaucratic drama — it's the latest sign of growing friction between Musk's DOGE and other corners of Trump's administration. Since January, the IRS has burned through four acting commissioners. Shapley's two-day tenure followed Melanie Krause, who resigned over a controversial data-sharing agreement with Homeland Security, which let ICE verify personal details using IRS filings.
Earlier this month, the agency's chief information officer also resigned. That role is now filled by Kaschit Pandya — a technologist who previously worked alongside Musk at DOGE. Meanwhile, one Department of Government Efficiency official, Gavin Kliger, was abruptly stripped of all IRS access, including buildings and data systems for unclear reasons.
What's Next for the IRS?
For now, the agency remains in flux. Michael Faulkender is the fifth person to hold the commissioner's post in three months, while a permanent nominee, Billy Long, still awaits Senate confirmation. And DOGE's sweeping tech overhaul, staff cuts, and backroom maneuvering have left many wondering who's really in charge.
As April turns to May, taxpayers can exhale. But inside Washington, the battle over America's tax-collecting behemoth is far from settled.
References: Trump replaces acting IRS commissioner just days after appointing him | Trump is replacing the acting IRS commissioner, part of a dispute between Treasury and Elon Musk | Hunter Biden whistleblower out as IRS commissioner after 2 days, amid struggle involving Elon Musk | Amid Trump-imposed chaos, IRS loses its fourth commissioner in three months
