Sahil Lavingia’s Return to Government: What It Means for Tech, Bureaucracy, and the Future of the IRS

When Sahil Lavingia, founder of Gumroad and former DOGE operative, resurfaced as a career employee at the IRS, it sent ripples through both government and tech circles. This isn’t just a quirky career change—it’s a signpost for the evolving relationship between Silicon Valley talent and federal bureaucracy. Let’s break down why his story matters, what most people are missing, and what it could mean for the future of government tech.

Sahil Lavingia IRS Government Tech

Why This Matters

  • Modernization of Government Tech: Lavingia is now tasked with updating IRS systems—an area infamous for outdated software and paper forms. His move signals a new wave of digital transformation at the IRS, potentially improving online account management and even laying groundwork for long-awaited features like a mobile app.
  • Bridging Two Worlds: As a startup founder and outsider to traditional government, Lavingia represents a growing trend: highly-skilled tech professionals entering public service to tackle entrenched problems with fresh perspectives.
  • Challenging Stereotypes: His candid comments—”The government is pretty efficient. Could move faster.”—push back against the stereotype that public sector workers are universally slow or ineffective.

What Most People Miss

  • Systemic Barriers, Not Just Tech: Lavingia’s experience at the VA revealed that inefficiencies often stem from legal and policy hurdles, not just outdated technology or lack of talent. This insight is crucial for anyone demanding rapid government innovation.
  • DOGE’s Lasting Influence: Even as the initial “strike force” energy of DOGE wanes, many of its alumni like Lavingia remain embedded in federal agencies, quietly shaping the bureaucratic machinery from within.
  • Risks and Rewards: Lavingia was fired from the VA after speaking to the press—highlighting the risks that outsiders face when pushing for transparency and change in government roles.

Key Takeaways

  • Tech in Government Is a Marathon, Not a Sprint: Lavingia’s commitment to a decade at the IRS underlines that meaningful change is slow and requires sustained effort.
  • Real Innovation Needs More Than Just Coders: It demands navigation of policy, legal frameworks, and organizational culture.
  • Federal Agencies Are Waking Up: The enthusiastic reception to his idea of an IRS mobile app suggests growing appetite for modernization—both internally and from the public.

Timeline: Sahil Lavingia’s Government Journey

  1. 2015: Applies for the US Digital Service (USDS), precursor to DOGE.
  2. 2022-2023: Serves at the Department of Veterans Affairs, tries to deploy AI for contract analysis and push for digital transformation.
  3. May 2023: Fired from the VA after discussing his experience with the press.
  4. November 2025: Joins the IRS, aiming to modernize taxpayer services and online accounts.

Expert Commentary

“What Lavingia’s story shows is that real government change agents must be both technologists and diplomats. Tech alone won’t fix bureaucracy, but it can empower those who understand the system’s real bottlenecks.”

The Bottom Line

Lavingia’s move to the IRS is more than a career pivot—it’s a test case for whether Silicon Valley’s ethos can mesh with the slow grind of government reform. If successful, it could inspire more top tech talent to view public service not as a dead end, but as a new frontier for meaningful, large-scale impact. And if not, well, as Lavingia himself mused, he might look back and wish he’d stuck to the AI gold rush. Either way, he’s forcing the conversation about what government could (and should) look like in the digital age.

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