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Just dropped · Trial Balloon · Ep. 194

What Just Happened?

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Trial Balloon · Ep. 194: What Just Happened?

Tax Official Ousted After Warning White House

July 17, 2026 · 4:59 am ET · Leave a Comment

“The Treasury Department’s top tax policy official was forced out of his job after he warned that the White House was at risk of violating a federal law prohibiting senior officials’ involvement in IRS audits, according to people familiar with the matter,” the Wall Street Journal reports.

“Kenneth Kies, an assistant Treasury secretary and acting chief counsel of the Internal Revenue Service, is leaving those posts in the coming weeks.”

“Kies at times clashed behind the scenes with White House officials, the people said. That included a recent meeting in which he contended that a potential White House request would violate Section 7217 of the Internal Revenue Code, one of the people said. That law prohibits the president, vice president, White House staff and certain agency heads from directly or indirectly requesting that the IRS conduct or terminate an audit or investigation of any particular taxpayer.”

Ethics, White House

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Taegan Goddard

Taegan Goddard

Taegan Goddard is the founder of Political Wire -- which for more than two decades has been one of the nation's most influential political news sites.

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