The IRS building in Washington, D.C.
The IRS building in Washington, D.C. - 
Listen To The Story

Acting IRS commissioner Steven Miller has resigned, President Barack Obama announced Wednesday.

"It's inexcusable, and Americans are right to be angry about it, and I am angry about it. Obama said.  "I will not tolerate this kind of behavior in any agency, but especially in the IRS."

Given the controversy surrounding this audit, it's important to institute good leadership, Obama said.

"The IRS has to operate with absolute integrity."

Reuters reports Miller has said there is a "strong and immediate need" to restore public trust in the agency, but he will leave the agency in early June.

"It is with regret that I will be departing from the IRS as my acting assignment ends in early June," Miller said in an internal message that was released by the IRS. "This has been an incredibly difficult time for the IRS given the events of the past few days, and there is a strong and immediate need to restore public trust in the nation's tax agency."

Miller became acting commissioner in early November, after Commissioner Douglas Shulman completed his five-year term. Shulman had been appointed by President George W. Bush.

On Monday, Obama called the incident “outrageous” and vowed to crack down on IRS officials who may have singled out conservative groups for scrutiny when they applied for a certain kind of tax exempt status.

Rep. Dave Camp (R-Mich.), will be a part of the Ways and Means Committee meeting and he told us Wednesday, before the news broke, that the politicization of the IRS is troubling.

"The IRS is supposed to be apolitical," Camp says. "What's even more troubling is where this may lead in the future, given that we are apparently finding out that the IRS is not able to complete its mission in an apolitical and professional way." 

Attorney General Eric Holder announced Tuesday the FBI will begin a criminal probe into the IRS actions. 

The House Ways and Means Committee has a hearing scheduled on the targeting allegations on Friday where Miller is expected to attend, confirmed a committee aide late Wednesday.

The Associated Press contributed to this report.

Sign up to stay connected to Marketplace and you could be in for a Halloween treat!

Subscribe to our daily newsletter by Oct. 31 and you're automatically entered to win one of 10 Marketplace treat bags. They're filled with some great swag, plus something unique to give you a peek behind the scenes — a program rundown signed by Kai Ryssdal.

Subscribe today for your chance to win – and good luck!