WASHINGTON — President Trump has selected James Gadwood, a tax attorney who has represented energy companies, hospitality companies, and investment firms, to be the top lawyer at the Internal Revenue Service, the White House announced.
The nomination places Gadwood, currently vice chair of the tax department at Miller & Chevalier in Washington, D.C., at the center of crucial IRS decisions as the agency implements last year’s tax law. The IRS is also facing legal controversy over data-sharing with immigration authorities and a Justice Department order that directed the end of tax audits of Trump and his businesses — a matter that MSI previously covered in detail when the settlement was reached in May. The settlement permanently dropped federal tax claims against Trump and barred future IRS audits of the president.
The chief counsel’s office, which employs about 2,300 people, provides legal advice to IRS officials, oversees tax regulations, and handles litigation in U.S. Tax Court. Gadwood will need Senate confirmation before he can assume the role.
Gadwood wasn’t Trump’s first choice for the position. Last year, the president picked Donald Korb, who had previously held the same job during the George W. Bush administration. Korb was days away from Senate confirmation in November when Trump withdrew his nomination, following criticism from conservative activist Laura Loomer of Korb’s past political donations.
By nominating Gadwood, Trump can put Kenneth Kies back as acting chief counsel. Kies, who is also the Treasury Department’s top tax-policy official, had passed a deadline that forced him to step aside as chief counsel unless there was a formal nominee in place.
“It’s not as bad as doing two entirely different jobs,” Kies joked during a recent speech, referring to his dual role. If there is a disagreement between the chief counsel and the Treasury Department’s tax-policy office, he said, “I just go in my office and close the door, and I would meet with myself.”
According to his law-firm biography, Gadwood has represented large companies and high-net-worth individuals in disputes with the IRS. He has been a registered lobbyist for Marriott International, helping the hotel company with the tax accounting of loyalty points. He also lobbied on tax credits for Hyzon Motors, the now-defunct maker of hydrogen-fueled trucks.
Michael Desmond, who chairs the Miller & Chevalier tax practice and served as IRS chief counsel during Trump’s first term, described Gadwood as a deliberate and technically skilled attorney.
“He’s not a showboater,” Desmond said. “He’s not out there to get attention. He speaks extensively but is very deliberate in everything he does and everything he says.”