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EXCLUSIVE: A top aide and confidante to former Obama official Lois Lerner who targeted conservatives and conservative groups was fired by the Internal Revenue Service, Fox News Digital has learned.
Sources told Fox News Digital that Holly Paz, who served as the IRS Commissioner of Large Business and International Division, was terminated Monday.
Paz was placed on administrative leave last month and was subsequently fired following an internal review, sources say.
This March 5, 2014 file photo shows former Internal Revenue Service (IRS) official Lois Lerner on Capitol Hill in Washington. IRS employees erased computer backup tapes a month after officials discovered that thousands of emails related to the tax agency’s tea party scandal had been lost, according to government investigators. (AP)
Paz had served as Lerner’s deputy during the Obama administration.
In 2013, it was revealed that the IRS, under Lerner, had wrongfully scrutinized tax-exempt applications related to the phrases “Tea Party,” “9/12” and “Constitution.” The Treasury’s inspector general later confirmed “inappropriate criteria” were used to target conservative groups and criticized ineffective oversight of systemic bias.
The IRS reportedly spent more than two years targeting conservative tax-exempt groups.
Paz reviewed and helped oversee the handling of tax-exempt applications, and has been described as a key link between the Cincinnati, Ohio IRS office where the screenings of applications took place and the IRS headquarters.

A sign for the Internal Revenue Service is seen outside its building on Feb. 13, 2025 in Washington, D.C. ( Kayla Bartkowski/Getty Images)
FLASHBACK: HOLLY PAZ AND LOIS LERNER WANT IRS TESTIMONY SEALED FOREVER, FEARING DEATH THREATS
Her dismissal followed scrutiny from lawmakers over a subordinate work unit aimed at auditing pass-through businesses that Biden-era Commissioner Danny Werfel had created and assigned her to lead.
Werfel called the new work unit a big step in “ensur[ing] the IRS holds the nation’s wealthiest filers accountable,” and Paz called it an “important change” in the IRS structure.
The Trump administration, after years of litigation, in 2017, settled lawsuits with Tea Party and other conservative groups who say they were unfairly targeted by the IRS under the Obama administration.
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