IRS Office Tasked With Transforming the Agency Names New Chief

Heather Maloy will lead the Taxpayer First Act office, which is carrying out that law's mandate to revamp the IRS.

(Credit: Allison Bell/ALM)

The Internal Revenue Service has named Heather Maloy to the position of director, Taxpayer First Act Office, reporting directly to IRS Commissioner Chuck Rettig.

The IRS continues work on the Taxpayer First Act, which requires a revamp of the agency.

The Act, signed into law in July 2019, required the IRS to deliver a report to Congress a comprehensive proposal to reorganize. IRS delivered the Taxpayer First Act Report to Congress earlier this year.

The IRS also created a new chief taxpayer experience officer position to help serve taxpayers, and appointed Ken Corbin, currently the IRS Wage and Investment commissioner, to the new role on Jan. 27.

Maloy recently retired from her position as a principal at Ernst & Young LLP, where she led a national practice group of specialized tax professionals in serving large, multinational corporations, partnerships, tax-exempt organizations and individuals navigating IRS tax controversies.

Maloy’s previous roles at the IRS include serving as the commissioner, Large Business and International Division (LB&I), where she led over 5,000 employees and oversaw tax compliance programs for corporations, subchapter S corporations and partnerships with assets greater than $10 million and incorporated international tax compliance operations into the division.

“I’m truly pleased to welcome Heather back to the IRS and into this critical role,” Rettig said Friday in a statement. “Given Heather’s vast knowledge and leadership experience from both inside and outside the IRS, she will be an important asset to both the IRS and the nation’s taxpayers going forward as we strategically implement the Taxpayer First Act report’s recommendations.”

Maloy replaces Lia Colbert, who will continue in her current role as deputy chief of the Independent Office of Appeals. Colbert is a longtime IRS official who served as both TFA lead and chief of staff before moving to Appeals in October 2020.