Trump Allegedly Dismisses IRS Chief Over White House Concerns

WHO:

Vox - President Trump fired Kenneth Kies, an assistant treasury secretary and the acting chief counsel of the IRS.

MS NOW - The report cites "people familiar with the matter" regarding the circumstances of Kies' ousting.

WHAT:

Alternet - Todd Blanche signed an order in May declaring that the U.S. government “FOREVER DISCHARGES” Trump and his family from pending federal tax claims, which would have cost taxpayers up to $650 million if not voided by a federal judge.

Alternet - U.S. District Judge Kathleen Williams issued an order on July 13, 2026, condemning Blanche's actions as an attempt to “manipulate the judicial process” and referred him for formal sanctions by the commission holding his law license.

MS NOW - A federal judge condemned Trump's $10 billion lawsuit against the IRS as a case brought “in bad faith” and designed to “confer immunity to people and entities affiliated with the President.”

Alternet - Todd Blanche signed an order declaring that the U.S. government is “FOREVER BARRED AND PRECLUDED” from pursuing federal tax claims against Trump and his family, which could have cost taxpayers up to $650 million in lost penalties and back payments.

Alternet - On July 13, U.S. District Judge Kathleen Williams issued an order concluding that Blanche's actions were an attempt to “manipulate the judicial process” and referred him for formal sanctions by the commission holding his law license.

Alternet - A federal judge ruled that Trump did not have the authority to fire lower-level federal employees, specifically blocking him from firing FEMA CFO Mary Comans without cause.

Alternet - The ruling stated that Comans had the right to a hearing or the right to be transferred to another job.

Vox - Trump reportedly dismissed Kies for attempting to prevent illegal interference with the IRS.

MS NOW - Kenneth Kies was "forced out" after warning that the White House risked violating a law regarding IRS audits.

MS NOW - The law in question, Section 7217 of the Internal Revenue Code, prohibits certain officials from requesting audits or investigations of specific taxpayers.

MS NOW - Violations of this law are punishable by up to five years in prison and fines of up to $5,000.

WHERE:

MS NOW - The events took place within the context of the Trump administration and the Treasury Department.

WHEN:

MS NOW - A federal judge condemned Trump’s $10 billion lawsuit against the IRS earlier in the week, which is part of the context surrounding Kies' dismissal.

WHY:

Alternet - The New York Bar Association submitted a letter to the Senate Judiciary Committee opposing Todd Blanche's confirmation as Attorney General, citing systemic damage he has inflicted on the legal system and violations of his oath of office.

Alternet - 101 former judges filed an official complaint with the New York Commission to initiate an investigation into Todd Blanche for violation of the New York Rules of Professional Conduct.

Alternet - The judge's decision was based on the argument that Article II does not grant Trump absolute power over executive branch officials, referencing a long-standing Supreme Court precedent regarding the removal of inferior officers.

MS NOW - The report suggests that weaponizing the IRS in ways favorable to Trump is a priority for him and his administration.

HOW:

Alternet - The New York Bar Association's letter followed a formal complaint from 101 former judges urging an investigation into Blanche for violation of the New York Rules of Professional Conduct.

Alternet - U.S. District Judge Michael Nachmanoff stated that the president was attempting to supersede U.S. Supreme Court precedent, including an 1886 ruling that upheld Congress’ authority to set rules for the removal of inferior executive branch officials.

MS NOW - Kenneth Kies clashed with White House officials, including during a meeting where he argued against a potential White House request that would violate IRS audit laws.

(UPDATED July 18, 2026 15:15 UTC)

A federal judge has condemned Todd Blanche's order from May that discharged Trump and his family from pending federal tax claims, which could have cost taxpayers up to $650 million, labeling it an attempt to manipulate the judicial process. Following this, the New York Bar Association has voiced its opposition to Blanche's confirmation as Attorney General, citing significant damage to the legal system and breaches of his oath of office. Additionally, a group of 101 former judges has filed a complaint with the New York Commission to investigate Blanche for violations of professional conduct rules.

(UPDATED July 18, 2026 14:20 UTC)

A federal judge has condemned Trump's $10 billion lawsuit against the IRS as a case brought “in bad faith,” aimed at granting immunity to those affiliated with him. In a related development, Todd Blanche has signed an order that bars the U.S. government from pursuing federal tax claims against Trump and his family, potentially costing taxpayers up to $650 million in lost penalties and back payments. Meanwhile, the New York Bar Association has submitted a letter to the Senate Judiciary Committee opposing Blanche's confirmation as Attorney General, following a formal complaint from 101 former judges urging an investigation into his conduct.

(UPDATED July 18, 2026 02:52 UTC)

A federal judge has ruled that Trump does not have the authority to fire lower-level federal employees, specifically blocking him from dismissing FEMA CFO Mary Comans without cause. The ruling emphasizes that Comans is entitled to a hearing or the option to be transferred to another position, as the judge cited a long-standing Supreme Court precedent that limits the president's power over executive branch officials. U.S. District Judge Michael Nachmanoff noted that Trump was attempting to override this precedent, including an 1886 ruling affirming Congress' authority to establish rules for the removal of inferior executive branch officials.

(UPDATED July 18, 2026 01:26 UTC)

President Trump has fired Kenneth Kies, who served as an assistant treasury secretary and the acting chief counsel of the IRS, reportedly due to his attempts to prevent illegal interference with the agency. Kies was "forced out" after warning that the White House risked violating Section 7217 of the Internal Revenue Code, which prohibits certain officials from requesting audits of specific taxpayers, a violation that could lead to prison time and fines. This dismissal comes in the context of a federal judge recently condemning Trump's $10 billion lawsuit against the IRS, highlighting ongoing tensions between the Trump administration and the Treasury Department.