DOJ's settlement with Trump bans IRS from taking action against him over old tax returns
Updated on: May 19, 2026 / 8:18 PM EDT / CBS News
TL;DR
- The IRS is permanently barred from pursuing claims against President Trump or his company based on prior tax returns.
- The settlement resolves a lawsuit brought by Trump against the IRS and Treasury Department.
- The deal also shields Trump from claims related to "Lawfare and/or Weaponization."
- It covers Trump, the Trump Organization, Eric Trump, and Donald Trump Jr.
- A $1.776 billion "Anti-Weaponization Fund" will be established to offer payments to individuals alleging they were victims of government "lawfare."
- Trump will receive a formal apology from the government but no monetary payment.
- The settlement does not apply to future tax audits.
- The lawsuit stemmed from a leak of Trump's tax returns, for which a government contractor, Charles Littlejohn, was sentenced to prison.