Roommates, get into this political tea! On Tuesday (May 19), an IRS settlement document went public, rocking the internet and taking over headlines. Per the paperwork, the U.S. government will permanently drop tax claims against President Donald Trump as part of a lawsuit settlement. The move could effectively shield the president from further examination of his finances and legal conduct. And he’s not the only person benefiting from the shocking use of executive power.
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Who Else Is Protected Under Donald Trump’s Settlement With The IRS?
As stated, the settlement resolved Trump’s $10 billion lawsuit against the Internal Revenue Service over his tax return leak. Going forward, the U.S. is “forever barred and precluded” from examining or prosecuting Trump, his sons and the Trump organization’s current tax examinations, per a one-page document on the Justice Department’s website. Attorney General Todd Blanche signed the document.
Additionally, the government cannot investigate Trump’s family, affiliates, or others, according to the document. That document is a separate addendum from the original settlement announced Monday. Also, it was quietly added to the Justice Department website on Tuesday.
The IRS settlement refers only to existing audits, not future examinations. That’s what the Justice Department said in response to a request for comment on the expanded settlement.
Judge Says DOJ Did Not Warn Court About IRS Settlement
Kathleen Williams, the judge handling the lawsuit, dismissed the case on Monday. In her filing, she admonished the government agencies, notably the Justice Department, for failing to be transparent about the settlement. She said no agency “submitted any settlement documents nor filed any documents ensuring that settlement was appropriate where there was an outstanding question as to whether an actual case or controversy existed.”
According to the original settlement agreement posted to the Justice Department website Monday, Trump will receive a formal apology from the U.S. government. However, he “will not receive any monetary payment or damages of any kind” from the settlement. Still, the discharge of current potential tax claims could provide protection against any possible outstanding tax liabilities.
Trump Allies Could Receive A Check, Too
The added document comes after the Trump administration announced a $1.8 billion fund on Monday. This fund is part of the lawsuit settlement. It will compensate allies of the Republican president who believe they have been unjustly investigated and prosecuted. The “Anti-Weaponization Fund” of $1.776 billion will allow people who believe they were targeted for prosecution for political purposes, including by the Biden administration Justice Department, to apply for payouts.
Attorney General Blanche called it “a lawful process for victims of lawfare and weaponization to be heard and seek redress.” And apparently, even violent offenders could possibly get a check. Lawmakers grilled Attorney General Blanche on Capitol Hill on Tuesday about the fund. During the session, he would not rule out the possibility that people who carried out violence during the Jan. 6, 2021, riot at the U.S. Capitol could receive payouts from the new fund.
Also, the fund became public news after Trump, his sons Eric Trump and Donald Trump Jr., and the Trump Organization agreed to drop their lawsuit against the IRS and the Treasury Department. The lawsuit alleged that a leak of confidential tax records caused them reputational and financial harm. Also, it claimed the leak negatively affected their public standing.
Trump Stands By Fund For Allies Despite Bipartisan Concerns
Following the announcement, Democrats and government watchdogs have criticized the fund as “corrupt” and unconstitutional. Even Republican lawmakers have expressed signs of discomfort about the fund’s creation. Senate Majority Leader John Thune told reporters that he’s “not a big fan.”
Meanwhile, Trump told reporters at the White House on Monday that the fund is dedicated to “reimbursing people who were horribly treated.”
Associated Press writers Fatima Hussein and Alanna Durkin Richer contributed to this report via AP Newsroom.
What Do You Think Roomies?


