Democrats Demand IRS Release Delayed Tax Gap Data

Lawmakers say withholding the overdue tax gap estimate hides how much wealthy taxpayers underpay.

Updated on Nov. 3, 2026 in Taxes

Democrats Demand IRS Release Delayed Tax Gap Data

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Do you think the IRS should publicly release its full tax gap estimates?

Senate and House Democrats sent a letter to IRS CEO Frank Bisignano demanding release of a tax gap estimate the agency originally scheduled for fall 2025 but has not published. The IRS's most recent estimate, from 2024, put the tax gap at $696 billion.

Why it matters

The lawmakers argue that withholding the data obscures the extent to which wealthy taxpayers underpay what they owe. The dispute also bears on how the agency is staffed and funded to pursue unpaid taxes.

The IRS's last published tax gap estimate, from 2024, totaled $696 billion, and the top 10% of taxpayers account for 64% of unpaid individual income taxes. The agency has not released an updated figure, and the lawmakers' request is for answers by November 15, 2026.

The players

Frank Bisignano

Frank Bisignano is the CEO of the Internal Revenue Service, the federal agency responsible for collecting taxes and enforcing tax law.

Elizabeth Warren

Elizabeth Warren is a Democratic U.S. senator from Massachusetts known for her advocacy on financial regulation and consumer protection.

Ron Wyden

Ron Wyden is a Democratic U.S. senator from Oregon who serves as a senior member of the Senate Finance Committee.

The details

The lawmakers, including Sen. Elizabeth Warren, Sen. Ben Ray Luján, Sen. Ron Wyden, and Rep. Mike Thompson, joined 43 other Democrats in the letter. They requested a breakdown of unpaid taxes attributable to offshore activities, corporations, and high-income individuals. An IRS spokesperson said last month the agency was updating its methodology, and the letter comes as the Trump administration cut nearly 40 percent of staff in the IRS's Global High Wealth Unit.

Timeline

  1. Fall 2025: IRS originally scheduled its next tax gap estimate for release.

  2. Last year (2025): IRS audit revenue fell by $3.5 billion.

  3. Earlier in the week of November 3, 2026: Democrats sent the letter to IRS CEO Frank Bisignano.

  4. November 15, 2026: Deadline for IRS answers to the lawmakers' questions.

Market Dynamics

The IRS has published annual tax gap estimates since the Biden administration, and the delay of the fall 2025 release departs from that pattern. The lapse comes as the agency's audit revenue fell by $3.5 billion last year.

A large unpaid-tax gap affects how the government funds services and whether taxpayers who comply face a heavier burden. The fall 2025 estimate, once published, would show whether the gap has grown or narrowed.

The takeaway

Publicly released tax gap data lets taxpayers and lawmakers judge whether enforcement is keeping pace with unpaid taxes. Delays in that data make it harder to assess how fairly the tax burden is shared.

What happens next

The lawmakers requested IRS answers to their questions by November 15, 2026.

Further reading

For more on how federal tax enforcement works, see Taxes coverage on Wisevoter.

Source note: This article includes information reported by Accounting Today.

Live Poll

Do you think the IRS should publicly release its full tax gap estimates?