Thursday, May 21Thursday, May 21The U.S. Department of Justice (DOJ) and the Internal Revenue Service (IRS) have reached a settlement with President Donald Trump, his family, and the Trump Organization, permanently barring the IRS from pursuing any existing or future tax audits or investigations against them. The agreement follows a lawsuit filed by Trump in January, in which he sought $10 billion in damages after a former IRS contractor leaked his confidential tax returns to the media. Under the settlement, the IRS is "forever barred and precluded from prosecuting or pursuing any and all claims" related to Trump, his sons Eric and Donald Jr., and affiliated entities .
The settlement was expanded on Tuesday to include the permanent waiver, which was not part of the initial nine-page agreement released the day prior. The initial agreement was signed by the IRS CEO, Associate Attorney General Stanley Woodward, and Trump’s legal counsel, while the expanded waiver was signed by Acting Attorney General Todd Blanche, who previously served as Trump’s personal lawyer in cases including his New York criminal fraud trial. Critics argue that the arrangement is unusual, as most federal officials, including the president, cannot legally halt IRS investigations, though the attorney general appears exempt from this restriction .
Instead of receiving a direct financial payout, Trump’s legal team negotiated the creation of a $1.776 billion "Anti-Weaponization Fund" to compensate individuals—primarily Trump allies—who claim they were targeted by politically motivated prosecutions or investigations. The fund has drawn sharp criticism from Democratic lawmakers, who describe it as a "corrupt slush fund," while some Republicans, including Senate Minority Leader John Thune, have also expressed skepticism, signaling a potential rift within the party . Acting Attorney General Todd Blanche defended the fund during Senate testimony, arguing it addresses perceived injustices against Trump’s allies .
The IRS confirmed it will not pursue Trump, his family, or the Trump Organization for back taxes under the settlement agreement, effectively resolving the dispute that arose from the leaked tax returns . The deal has intensified scrutiny over the Trump administration’s influence over federal agencies, particularly given the president’s oversight of the DOJ and IRS .
> Background: **Trump drops 10B IRS lawsuit in deal for 1.7B fund for allies.** — *23 hours ago*
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US President Trump, family granted immunity from pending tax audits Democratic lawmakers blast move, which follows the establishment of a controversial Anti-Weaponization Fund.
aljazeera · about 23 hours ago
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aljazeera · about 23 hours ago
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theguardian · 1 day ago
Trump and sons granted forever immunity from existing tax audits Justice department deal comes day after government set up $1.8bn fund to pay presidents allies hit by alleged lawfare
financial times · 1 day ago
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france24 · 1 day ago
DOJ settlement prevents pending tax investigations of Trump and his family A settlement between President Trump and the IRS that created a $1.8 billion anti-weaponization fund was expanded Tuesday to bar additional tax investigations into him, his family and his businesses.Why it matters: The expanded waiver intensifies scrutiny of a controversial settlement involving agencies Trump effectively oversees.Whats inside: The one-page document says the IRS is forever barred and precluded from prosecuting or pursuing any and all claims related to the plaintiff or affiliated individuals.Between the lines: The expanded settlement was not included in the Justice Departments initial nine-page agreement released Monday, nor was it signed by the same parties.Tuesdays waiver is signed by Acting Attorney General Todd Blanche, who previously served as Trumps personal lawyer in his cases including his New York criminal fraud trial.Mondays agreement was signed by the CEO of the IRS, Associate Attorney General Stanley Woodward and Trumps legal counsel.The intrigue: Most federal officials, including the president, cannot stop the IRS from pursuing specific investigations.However, the attorney general appears to be excluded from that restriction. Catch up quick: The settlement was reached after Trump dropped his suit against the IRS after a former contractor leaked his confidential tax returns to members of the media.Instead of receiving a direct payout, attorneys for the president settled to create a $1.776 billion fund to compensate those who were targets of political weaponization, or who faced prosecutions for political aims.The decision sparked outrage from critics who said it was unusual for the president to pursue damages from an agency he controls.The DOJ did not immediately respond to Axios Tuesday afternoon request for comment.Go deeper: Trump creates $1.8B anti-weaponization fund after dropping IRS suit
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Trump and sons to be forever exempt from tax audits Justice department deal comes day after government set up $1.8bn fund to pay presidents allies hit by alleged lawfare
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aljazeera · 1 day ago
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independent · 1 day ago
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france24 · 1 day ago
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independent · 1 day ago
Donald Trump says he wasnt involved in creation of $1.7bn compensation fund – US politics live President says fund as been well received and will be administered by committee of very talented people as Democrats criticize it as unparalleled corruptionTrump dismisses $10bn suit against IRS and creates $1.7bn anti-weaponization fundSign up for the Breaking News US emailDemocratic reactions to the news about Trump moving to withdraw his lawsuit against the IRS are coming in. Ron Wyden, a top Democrat on the Senate Finance Committee, said Trump deserved no credit for dropping the lawsuit, regardless of his reasons.Even by his standards the move hes trying to get away with now is a stunning act of corruption, said Wyden in a statement. What Trump wants is a $1.7bn slush fund for right-wing political violence and subversion, and if he follows through, it will be the most brazen theft and abuse of taxpayer dollars by any president in American history. Continue reading...
theguardian · 2 days ago
House Democrats attack Trumps $1.7bn compensation fund as corruption unparalleled – US politics live Democrats criticize fund to compensate for supposed persecution as slush fund for presidents allies after Trump ends lawsuit against IRSTrump dismisses $10bn suit against IRS and creates $1.7bn anti-weaponization fundSign up for the Breaking News US emailDemocratic reactions to the news about Trump moving to withdraw his lawsuit against the IRS are coming in. Ron Wyden, a top Democrat on the Senate Finance Committee, said Trump deserved no credit for dropping the lawsuit, regardless of his reasons.Even by his standards the move hes trying to get away with now is a stunning act of corruption, said Wyden in a statement. What Trump wants is a $1.7bn slush fund for right-wing political violence and subversion, and if he follows through, it will be the most brazen theft and abuse of taxpayer dollars by any president in American history. Continue reading...
theguardian · 2 days ago
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france24 · 2 days ago
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Justice department sets up $1.7bn fund to compensate Trump allies president claims were wrongfully targeted – US politics live In an unprecedented, self-dealing maneuver for a US president, Trump ends lawsuit against IRS in exchange for fund to compensate for supposed persecutionTrump moves to dismiss $10bn lawsuit against IRS amid reports hes considering settlementSign up for the Breaking News US emailDemocratic reactions to the news about Trump moving to withdraw his lawsuit against the IRS are coming in. Ron Wyden, a top Democrat on the Senate Finance Committee, said Trump deserved no credit for dropping the lawsuit, regardless of his reasons.Even by his standards the move hes trying to get away with now is a stunning act of corruption, said Wyden in a statement. What Trump wants is a $1.7bn slush fund for right-wing political violence and subversion, and if he follows through, it will be the most brazen theft and abuse of taxpayer dollars by any president in American history. Continue reading...
theguardian · 2 days ago
Trump creates $1.8B anti-weaponization fund after dropping IRS suit President Trump settled his $10 billion lawsuit against the IRS on Monday in exchange for a $1.776 billion fund to compensate those who claim they were targets of government weaponization.Why it matters: The fund creates an unprecedented, taxpayer-backed mechanism to compensate people who claim they were wrongfully targeted by the Biden administration, including Jan. 6 defendants.Multiple news outlets had reported earlier that Trump was considering launching the nearly $1.8 billion fund as part of the talks to resolve his lawsuit.Trump, his sons and the Trump organization will receive a formal apology but no payment under the settlements terms.Catch up quick: Trump sued the IRS after a former contractor leaked his confidential tax returns to The New York Times and ProPublica during his first term. The contractor pleaded guilty and was sentenced to federal prison.The filing says the case was dismissed with prejudice, which means Trump cant refile it. Mondays filing didnt mention if the agencies settled with Trump.The unusual case featured Trump demanding pay from the very agencies he oversees as president. Editors note: This is a breaking news story and will be updated.
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theguardian · 2 days ago
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