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Trust Reform is Needed to Protect States, Especially in the Wake of IRS Enforcement Cuts

Summary by ITEP
An array of recent federal policy actions is putting pressure on state budgets and leaving lawmakers scrambling for ideas on how to responsibly address these new challenges. One federal action of particular concern is the hollowing out of the IRS, which limits the ability to crack down on tax cheating by wealthy people and corporations. As IRS auditing power continues to wither, states should shore up their own tax bases through policies that cr…

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ITEP broke the news in on Tuesday, February 3, 2026.
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