Trump's IRS settlement includes dropping tax cases, audits

President Donald Trump
President Donald Trump
Will Oliver/EPA/Bloomberg

The Internal Revenue Service agreed not to continue any legal claims or investigations of President Donald Trump's past tax returns, adding to a controversial settlement of Trump's $10 billion lawsuit against the agency over a leak of his tax returns.

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Acting Attorney General Todd Blanche signed an agreement Tuesday, saying the IRS is "forever barred" from pursuing "any and all claims" or demands for damages that have been or could have been filed against Trump before the deal was struck. The deal represents a major triumph by Trump over an agency he has long criticized for auditing his finances.

Trump's settlement with the IRS was announced by Blanche Monday, resolving a suit the president filed in January. Under the deal, the Justice Department agreed to create a new $1.8 billion taxpayer fund to reimburse people who claim they were victims of government "weaponization." Blanche said Trump won't benefit personally from the fund.

The Department of Justice referred calls to the IRS. The agency didn't immediately return a message seeking comment.


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