U.S. Justice Department to drop pending tax claims against Trump under IRS deal

The U.S. Justice Department has agreed not to pursue pending tax claims against President Donald Trump, his family members, and their businesses, under an addendum to a settlement with the Internal Revenue Service, Qazinform News Agency correspondent reports.

photo: QAZINFORM

The one-page addendum was signed Tuesday by Acting Attorney General Todd Blanche. It states that the federal government is permanently barred from pursuing any claims, including monetary claims, that the IRS has brought or could have brought against Trump, his sons Donald Jr. and Eric, the Trump Organization, and related family businesses.

The document followed a settlement announced a day earlier, under which Trump and other plaintiffs agreed to drop a $10 billion lawsuit against the IRS and the Treasury Department. The case was connected to leaked tax returns, the 2022 search of Trump’s Mar-a-Lago residence, and allegations linked to the Russia investigation.

As part of the settlement, the Justice Department announced the creation of a nearly $1.8 billion “anti-weaponization” fund. According to the department, the fund is intended to establish a process for considering claims from people who say they were affected by the politically motivated use of government power.

The addendum applies to matters pending or potentially pending before the IRS or other federal agencies and departments involving tax returns filed before May 18, the effective date of the settlement. The document does not specify which other agencies or departments may be covered.

A Justice Department spokesperson said the agreement applies to existing audits, not future ones.

U.S. District Judge Kathleen M. Williams, who was overseeing the case, closed the matter Monday after the plaintiffs moved to dismiss their lawsuit.

The deal drew criticism from Rep. Richard Neal of Massachusetts, the top Democrat on the House Ways and Means Committee. He said the agreement would prevent the IRS from pursuing audits involving Trump, his family, and their businesses, and called the settlement improper.

Earlier, Qazinform reported that Donald Trump is expected to attend the upcoming G7 summit in France despite growing tensions between Washington and several European allies over the conflict involving Iran.