Veteran US Internal Revenue Service (IRS) official Trish Turner has been appointed to lead the agency’s digital assets division following the departure of two key crypto-focused executives. Turner, who has spent over 20 years at the IRS and most recently served as a senior adviser within the Digital Assets Office, will now head the unit, according to a report from Bloomberg Tax citing a person familiar with the situation.
Her promotion marks a significant leadership transition at a time when US crypto tax enforcement is facing both internal and external pressures. On May 5, Sulolit “Raj” Mukherjee and Seth Wilks, two private-sector experts brought in to lead the IRS’s crypto unit, exited after roughly a year in their roles. Mukherjee served as compliance and implementation executive director, while Wilks oversaw strategy and development, announcing his departure on LinkedIn. Mukherjee confirmed his decision in a statement.
“The reality is that federal employees have faced a very difficult environment over the past few months,” Wilks wrote. “If stepping aside helps preserve someone else’s job, then I am at peace with the decision.”
IRS Ramps Up Crypto Scrutiny
The IRS has ramped up its focus on cryptocurrency in recent years, increasing audits and criminal probes targeting digital asset transactions. This heightened scrutiny aligns with broader regulatory efforts that seek to ensure compliance within the rapidly evolving crypto landscape.
Recently, the agency attempted to introduce broad crypto broker reporting requirements, which drew sharp criticism from industry stakeholders and was ultimately overturned by US President Donald Trump. Set to take effect in 2027, the so-called IRS DeFi broker rule would have expanded the tax authority’s existing reporting requirements to include DeFi platforms, necessitating disclosures on gross proceeds from crypto sales and taxpayer involvement.
Turner’s leadership also comes during a notable shift in Washington’s approach to crypto regulation. With the return of the Trump administration in January, federal agencies have begun to scale back regulations perceived as burdensome to digital asset innovation. This includes the Securities and Exchange Commission pausing enforcement cases against crypto companies and the Department of Justice dissolving its cryptocurrency enforcement unit, signaling a softer approach to the sector.
Internally, the IRS is navigating instability, with reports indicating that over 23,000 employees have expressed interest in resigning following the reintroduction of a deferred resignation policy, raising concerns about long-term staffing and morale within the agency.
As the IRS continues to adapt to the evolving landscape of digital assets, all eyes will be on Turner and her leadership as the agency strives to maintain compliance while fostering an environment conducive to innovation.
