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IRS workforce slashed in half as government shutdown showdown stretches into second week

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Nearly half of the IRS workforce — nearly 34,000 employees — faces furloughs as the government shutdown enters its second week, with the agency rolling out a contingency plan to keep key tax enforcement, data security, and filing-season operations running despite the lapse in congressional funding.

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In a letter to staff Wednesday, the agency said most operations would shut down. The contingency plan, which takes effect Wednesday and runs through April 30, 2026, details how the IRS will operate without new congressional funding.

As of July 24, 2025, the IRS employed 74,299 people. During the shutdown, only 39,870 — about 54% — will stay on duty, though it’s unclear which positions will be retained.

Key operations that will continue to include tax processing to safeguard government revenue, IT and data-protection systems, criminal investigations, case work involving bankruptcies and liens, and disaster-relief support. However, taxpayer services — including call centers and most administrative functions not tied to life or property protection — will be suspended.

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ICE VOWS ‘NO CHANGE’ TO IMMIGRATION, BORDER POLICY AMID GOVERNMENT SHUTDOWN

A sign for the Internal Revenue Service in Washington, DC. ( Kayla Bartkowski/Getty Images)

The IRS’s Lapse Appropriations Contingency Plan outlined operations for the first five business days of the shutdown and said the agency would continue limited operations using Inflation Reduction Act funding.

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The furloughs stem from a funding impasse between President Donald Trump and Congress that has forced a government shutdown with no clear resolution.

HERE’S WHAT TRUMP WANTS TO DO TO RESHAPE THE FEDERAL GOVERNMENT DURING THE SHUTDOWN

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Nearly half of the IRS workforce — nearly 34,000 employees — faces furloughs as the government shutdown enters its second week. (Fox News Digital/Emma Woodhead)

National Treasury Employees Union President Doreen Greenwald said the shutdown has cut off Americans from vital IRS services.

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«Expect increased wait times, backlogs and delays implementing tax law changes as the shutdown continues,» she said. «Taxpayers around the country will now have a much harder time getting the assistance they need, just as they get ready to file their extension returns due next week. Every day these employees are locked out of work is another day of frustration for taxpayers and a growing backlog of work that sits and waits for the shutdown to end.

SEN RICK SCOTT, REP BYRON DONALDS: TRUMP AND BESSENT’S IRS REFORM: LET’S END JOB-KILLING POLICIES

Sign shows National Gallery of Art is closed during government shutdown

A sign outside the National Gallery of Art informs visitors of its closure due to the government shutdown in Washington, D.C. (AP Photo/Jose Luis Magana)

«For frontline employees, the complete lack of planning left them in the dark about their work status until their supervisor informed them today,» Greenwald added. «This is not the way our government should treat its dedicated, nonpartisan public servants. We urge the administration and Congress to reach an agreement that reopens government and restores the services that Americans need and deserve.»

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According to The Associated Press, the IRS told employees they would receive back pay once the shutdown ends. The Trump administration warned Tuesday that back pay for furloughed federal employees is not guaranteed.

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Earlier this year, the IRS began a series of workforce reductions that brought total employment down from about 100,000 at the end of 2024 to roughly 75,000 before the shutdown.

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The Associated Press contributed to this report.

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Manchester synagogue attacker ‘pledged allegiance to Islamic State,’ police say

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The suspect behind last week’s deadly car and knife terror attack outside a synagogue in Manchester allegedly pledged allegiance to the Islamic State, authorities said.

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Jihad Al-Shamie, 35, a British citizen of Syrian descent, allegedly called emergency dispatchers to claim responsibility for the attack before pledging allegiance to the Islamic State.

«We have conducted assessments across our systems, and I can reiterate that Al-Shamie had never been referred to the Prevent program, nor was otherwise known to Counter Terrorism Policing,» Assistant Chief Constable Rob Potts said Wednesday. 

NFL HOLDS MOMENT OF SILENCE FOR VICTIMS OF YOM KIPPUR TERROR ATTACK IN ENGLAND

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Emergency services escort people to safety after a car and knife terror attack outside Heaton Park Hebrew Congregation Synagogue in Manchester, England, Thursday, Oct. 2, 2025. Police said two people were killed, and four others injured before armed officers shot the suspect. ( Christopher Furlong/Getty Images)

UK POLICE ACCIDENTALLY SHOT VICTIM WHILE RUSHING TO STOP SYNAGOGUE ATTACKER

The Prevent program is a U.K. government initiative aimed at offering individuals who are susceptible to radicalization proper interventions to stop them from becoming terrorists or supporting terrorism.

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Head of Counter Terrorism Policing Laurence Taylor said on Oct. 3 that while Al-Shamie was not known to the counterterrorism team, he was on bail at the time of the attack after being arrested on suspicion of rape.

Potts said that police are now «more confident that he was influenced by extreme Islamist ideology, the 999 call forms part of this assessment.»

While Potts pointed to the call as evidence of Al-Shamie’s motivation, he stressed that authorities needed to look across all evidence gathered to determine the motive behind the attack.

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«This assessment continues, and there may be further drivers and motivations identified,» Potts added.

Police officer stands near Manchester synagogue

A police vehicle parked outside the Manchester synagogue, where multiple people were killed on Yom Kippur in what police have declared a terrorist incident, in north Manchester, Britain, on Oct. 5, 2025.  (Hannah McKay/Reuters)

Al-Shamie was shot by police outside the Heaton Park Hebrew Congregation Synagogue after the attack in which he rammed a car into pedestrians before attacking them with a knife. The attacker was wearing what appeared to be an explosive device, but Potts called it a «hoax device» and said it was later assessed and confirmed to be «non-viable.»

Two congregants, identified as Adrian Daulby, 53, and Melvin Cravitz, 66, died in the attack, which took place on Yom Kippur, Judaism’s holiest day. 

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Police later said that it was likely one of the two victims was accidentally shot by officers who were rushing to stop the attack, as Al-Shamie did not have a gun on him. Reports indicate Daulby was the one shot.

Firefighters and paramedics respond outside Heaton Park Hebrew Congregation Synagogue in Manchester, England, Thursday, Oct. 2, 2025, after a car was driven into pedestrians and a man was stabbed. Police said four people were injured and the suspect was shot by officers.

Emergency services on scene after a car and knife attack outside Heaton Park Hebrew Congregation Synagogue in Manchester, England, on Oct. 2, 2025. (Peter Byrne/PA via AP)

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Potts informed reporters on Wednesday that three people injured during the attack are still hospitalized.

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While investigating whether Al-Shamie acted alone, police arrested three men and three women on suspicion of the «commission, preparation and instigation of acts of terrorism,» The Associated Press reported. 

The people arrested have not been identified and police have not revealed their ties, if any, to Al-Shamie. The AP reported that on Saturday a court gave police five more days to hold four of the suspects, while two, a man and a woman, were released without further action.

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Israel-Hamas peace deal reached soon after Trump says it’s ‘very close’ in White House note pass with Rubio

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President Donald Trump said Secretary of State Marco Rubio handed him a note indicating the United States is «very close to a deal in the Middle East,» a revelation he made Wednesday at the White House during a roundtable on Antifa.

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«Yeah, I was just given a note by the Secretary of State saying that we’re very close to a deal in the Middle East, and they’ll get to need me, pretty quickly,» Trump said.

Nearly two hours later, Trump posted on Truth Social that a deal had been struck.

«I am very proud to announce that Israel and Hamas have both signed off on the first Phase of our Peace Plan,» he said. «This means that ALL of the Hostages will be released very soon, and Israel will withdraw their Troops to an agreed upon line as the first steps toward a Strong, Durable, and Everlasting Peace.»

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TRUMP SAYS ‘REAL CHANCE FOR GREATNESS’ AS NETANYAHU WHITE HOUSE MEETING LOOMS FOR GAZA TALKS

Secretary of State Marco Rubio whispers to President Donald Trump, who is holding the note Rubio handed to him, during a roundtable meeting on Antifa in the State Dining Room at the White House, Wednesday, in Washington, D.C. (AP Photo/Evan Vucci)

«All Parties will be treated fairly!» Trump added. «This is a GREAT Day for the Arab and Muslim World, Israel, all surrounding Nations, and the United States of America, and we thank the mediators from Qatar, Egypt, and Turkey, who worked with us to make this Historic and Unprecedented Event happen. BLESSED ARE THE PEACEMAKERS!»

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Israeli TV Channel 12 reported the agreement will be signed at noon local time on Thursday, and the release of hostages and prisoners will take place Saturday.

Israeli Prime Minister Benjamin Netanyahu also weighed in, saying, «With God’s help we will bring them all home.»

HAMAS ACCEPTS TRUMP PEACE PLAN ENDING 2 YEARS OF WAR IN GAZA, RETURNING HOSTAGES

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Trump and Netanyahu shake hands

President Trump greets Israeli Prime Minister Netanyahu outside the White House on Sept. 29, as the pair works to achieve peace in Gaza.  (Annabelle Gordon/Bloomberg via Getty Images)

Trump said earlier Wednesday he might travel to the Middle East as Gaza peace negotiations continued. He said he might make the trip on Sunday, adding there is a «great team» of negotiators already there.

«It’s something I think that will happen,» Trump said. «Got a good chance of happening.»

U.S. Special Envoy Steve Witkoff and Jared Kushner are in Egypt negotiating details of a potential peace agreement between Israel and Hamas in the war that began Oct. 7, 2023.

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TRUMP ANNOUNCES ISRAEL AGREES TO GAZA ‘INITIAL WITHDRAWAL LINE’ AS ‘3,000 YEAR CATASTROPHE’ NEARS END

Steve Witkoff

U.S. Special Envoy to the Middle East Steve Witkoff is in Egypt negotiating details of a potential peace agreement between Israel and Hamas. (Getty Images)

Later Wednesday, Trump signaled that negotiations are going well.

«I was just dealing with people from the Middle East, our people and other people, on the potential peace deal for the Middle East,» he said. «Peace for the Middle East. That’s a beautiful phrase, and we hope it’s going to come true, but it’s very close and they’re doing very well.»

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TRUMP’S PEACE DEAL COULD END THE WAR IN GAZA OR NETANYAHU’S CAREER

Trump unveiled a 20-point plan to end the Gaza war on Sept. 29, when Benjamin Netanyahu visited the White House. The plan includes granting Hamas terrorists who give up their arms in favor of peace «amnesty,» establishing Gaza as a «deradicalized, terror-free zone,» and redeveloping the area so it no longer poses a threat to its neighbors and residents.

Trump warned Hamas that if it did not agree to the peace deal, the terrorists would face «massive bloodshed.»

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Hamas announced Friday that it agreed to release all Israeli hostages, dead or alive, as part of Trump’s peace proposal.

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Israeli and Hamas officials met Monday in the Egyptian resort city of Sharm El Sheikh at the southern tip of the Sinai Peninsula. Kushner — Trump’s son-in-law, credited with helping facilitate the Abraham Accords during his first administration — and Witkoff remain in Egypt to help negotiate an agreement.

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Fox News Digital’s Emma Colton contributed to this report.

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Israel y Hamas firmaron la primera parte del acuerdo, que incluye un alto el fuego y la liberación de rehenes: qué dice el plan de paz de Donald Trump para Gaza

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El presidente de Estados Unidos, Donald Trump, dijo que Israel y Hamas aceptaron la primera fase de su plan de paz, tras conversaciones en Egipto para poner fin a la guerra en Gaza.

«Estoy muy orgulloso de anunciar que tanto Israel como Hamas han aprobado la primera fase de nuestro plan de paz», dijo Trump en su red social Truth Social.

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«Esto significa que TODOS los rehenes serán liberados muy pronto, e Israel retirará sus tropas a una línea acordada, como los primeros pasos hacia una paz fuerte, duradera y eterna», añadió. El primer ministro de Israel, Benjamín Netanyahu, dedicó unas palabras a los rehenes que quedan en poder de Hamás en Gaza después de que Trump anunciara que ambas partes han firmado la primera fase del plan de paz para la Franja: «Con la ayuda de Dios, los traeremos a todos a casa».

El escueto mensaje, publicado en el canal de Telegram de la Oficina de Prensa del primer ministro, es la primera reacción del mandatario al acuerdo entre Israel y Hamás para liberar a los rehenes a cambio de centenares de presos palestinos.

El plan de paz de Trump presentado a finales de septiembre establece 20 puntos para lograr la paz entre Israel y Hamas.

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1. Gaza será una zona libre de terrorismo desradicalizada que no representa una amenaza para sus vecinos.

2. La Franja será reurbanizada en beneficio del pueblo de Gaza, que ha sufrido más que suficiente.

3. Si ambas partes están de acuerdo con esta propuesta, la guerra terminará de inmediato. Las fuerzas israelíes se retirarán a la línea acordada para prepararse para la liberación de rehenes. Durante este tiempo, se suspenderán todas las operaciones militares, incluidos los bombardeos aéreos y de artillería, y las líneas de batalla permanecerán congeladas hasta que se cumplan las condiciones para la retirada completa por etapas.

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Captura de pantalla de la cuenta oficial de la red social TRUTH @realDonaldTrump del presidente de Estados Unidos, Donald Trump

4. Dentro de las 72 horas posteriores a que Israel acepte públicamente este acuerdo, todos los rehenes, vivos y fallecidos, serán devueltos.

5. Una vez que todos los rehenes sean liberados, Israel liberará a 250 presos condenados a cadena perpetua más 1.700 habitantes de Gaza que fueron detenidos después del 7 de octubre de 2023, incluidas todas las mujeres y niños detenidos en ese contexto. Por cada rehén israelí cuyos restos sean liberados, Israel liberará los restos de 15 habitantes de Gaza fallecidos.

6. Una vez que todos los rehenes sean devueltos, los miembros de Hamas que se comprometan a la coexistencia pacífica y a desmantelar sus armas recibirán amnistía. Los miembros de Hamas que deseen salir de Gaza recibirán un paso seguro a los países receptores.

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7. Una vez aceptado este acuerdo, se enviará inmediatamente ayuda completa a la Franja de Gaza. Como mínimo, las cantidades de ayuda serán consistentes con lo que se incluyó en el acuerdo del 19 de enero de 2025 con respecto a la ayuda humanitaria, incluida la rehabilitación de la infraestructura (agua, electricidad, alcantarillado), la rehabilitación de hospitales y panaderías, y la entrada de equipos necesarios para retirar escombros y caminos abiertos.

8. La entrada de distribución y ayuda en la Franja de Gaza se realizará sin interferencia de las dos partes a través de las Naciones Unidas y sus organismos, y la Media Luna Roja, además de otras instituciones internacionales no asociadas de ninguna manera con ninguna de las partes. La apertura del cruce de Rafah en ambas direcciones estará sujeta al mismo mecanismo implementado en virtud del acuerdo del 19 de enero de 2025.

9. Gaza será gobernada por un gobierno transitorio temporal de un comité palestino tecnocrático y apolítico, responsable de la gestión cotidiana de los servicios públicos y los municipios para la población de Gaza. Este comité estará formado por palestinos calificados e internacionales expertos, con la supervisión de un nuevo organismo internacional de transición, la «Junta de la Paz», que estará encabezada y presidida por el presidente Donald J. Trump, con otros miembros y jefes de Estado por anunciar, incluido el ex primer ministro Tony Blair.

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Este organismo establecerá el marco y manejará la financiación para la reurbanización de Gaza hasta el momento en que la Autoridad Palestina haya completado su programa de reforma, como se describe en varias propuestas, incluido el plan de paz del presidente Trump en 2020 y la propuesta saudí-francesa, y pueda recuperar el control de Gaza de manera segura y efectiva. Este órgano recurrirá a las mejores normas internacionales para crear una gobernanza moderna y eficiente que sirva al pueblo de Gaza y sea propicia para atraer inversiones.

10. Se creará un plan de desarrollo económico para reconstruir y energizar Gaza convocando a un panel de expertos que han ayudado a dar a luz a algunas de las prósperas ciudades milagrosas modernas en el Medio Oriente. Muchos grupos internacionales bien intencionados han elaborado muchas propuestas de inversión reflexivas e ideas de desarrollo emocionantes, y se considerarán para sintetizar los marcos de seguridad y gobernanza para atraer y facilitar estas inversiones que crearán empleos, oportunidades y esperanza para la futura Gaza.

11. Se establecerá una zona económica especial con tarifas preferenciales y tarifas de acceso que se negociarán con los países participantes.

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12. Nadie se verá obligado a abandonar Gaza, y aquellos que deseen irse serán libres de hacerlo y de regresar. Alentaremos a las personas a quedarse y les ofreceremos la oportunidad de construir una Gaza mejor.

13. Hamas y otras facciones acuerdan no tener ningún papel en el gobierno de Gaza, directa, indirectamente o de ninguna forma. Toda la infraestructura militar, terrorista y ofensiva, incluidos los túneles y las instalaciones de producción de armas, serán destruidas y no reconstruidas. Habrá un proceso de desmilitarización de Gaza bajo la supervisión de observadores independientes, que incluirá la colocación permanente de armas fuera de uso a través de un proceso acordado de desmantelamiento, y respaldado por un programa de recompra y reintegración financiado internacionalmente, todo verificado por los observadores independientes. La Nueva Gaza estará plenamente comprometida con la construcción de una economía próspera y con la coexistencia pacífica con sus vecinos.

14. Los socios regionales proporcionarán una garantía para asegurar que Hamas y las facciones cumplan con sus obligaciones y que la Nueva Gaza no represente una amenaza para sus vecinos o su pueblo.

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15. Estados Unidos trabajará con socios árabes e internacionales para desarrollar una Fuerza Internacional de Estabilización (ISF) temporal que se desplegará de inmediato en Gaza. Las ISF entrenarán y brindarán apoyo a las fuerzas policiales palestinas examinadas en Gaza, y consultarán con Jordania y Egipto, que tienen una amplia experiencia en este campo. Esta fuerza será la solución de seguridad interna a largo plazo. Las ISF trabajarán con Israel y Egipto para ayudar a asegurar las áreas fronterizas, junto con las fuerzas policiales palestinas recién entrenadas. Es fundamental evitar que las municiones entren en Gaza y facilitar el flujo rápido y seguro de bienes para reconstruir y revitalizar Gaza. Las partes acordarán un mecanismo de eliminación de conflictos.

16. Israel no ocupará ni anexará Gaza. A medida que las ISF establezcan el control y la estabilidad, las Fuerzas de Defensa de Israel (FDI) se retirarán en función de los estándares, hitos y plazos vinculados a la desmilitarización que se acordarán entre las FDI, las ISF, los garantes y los Estados Unidos, con el objetivo de una Gaza segura que ya no represente una amenaza para Israel, Egipto o sus ciudadanos. En la práctica, las FDI entregarán progresivamente el territorio de Gaza que ocupa a las ISF de acuerdo con un acuerdo que harán con la autoridad de transición hasta que se retiren por completo de Gaza, excepto por una presencia perimetral de seguridad que permanecerá hasta que Gaza esté adecuadamente a salvo de cualquier amenaza terrorista resurgente.

17. En caso de que Hamas retrase o rechace esta propuesta, lo anterior, incluida la operación de ayuda ampliada, procederá en las áreas libres de terrorismo entregadas por las FDI a las ISF.

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18. Se establecerá un proceso de diálogo interreligioso basado en los valores de tolerancia y coexistencia pacífica para tratar de cambiar la mentalidad y las narrativas de palestinos e israelíes haciendo hincapié en los beneficios que pueden derivarse de la paz.

19. Mientras avanza el redesarrollo de Gaza y cuando el programa de reforma de la Autoridad Palestina se lleva a cabo fielmente, las condiciones finalmente pueden estar dadas para un camino creíble hacia la autodeterminación palestina y la condición de Estado, que reconocemos como la aspiración del pueblo palestino.

20. Estados Unidos establecerá un diálogo entre Israel y los palestinos para acordar un horizonte político para una coexistencia pacífica y próspera.

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