Corruption

Todd Blanche Describes the Huge, Unprecedented Favors Granted by Trump's IRS 'Settlement' as 'Typical'

During his confirmation hearing, the attorney general nominee repeatedly misrepresented the nature and scope of the sweeping immunity deal he approved.

Jacob Sullum | 7.16.2026 3:20 PM

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(Illustration: Adani Samat | Photo: Mira Agron/Andrew Thomas /CNP/Picture Alliance/Consolidated News Photos/Newscom)

President Donald Trump's brazenly corrupt "settlement" of his lawsuit against the IRS included a jaw-dropping order in which Acting Attorney General Todd Blanche purported to shield him and his family from liability for tax violations and any other federal offenses they may have committed prior to May 19. During his confirmation hearing on Wednesday, Blanche, who is seeking Senate approval of his nomination as attorney general, repeatedly misrepresented the scope and nature of that sweeping immunity deal.

In response to questions from Sen. Richard Durbin (D–Ill.), Blanche preposterously claimed his promise of protection was "typical" of settlements between the IRS and taxpayers. "This type of settlement is done regularly," he said. "When we enter into settlements like that, we do it with all kinds of people. It's not just President Trump. It doesn't make any of those individuals above the law."

Blanche was referring to settlements of tax disputes. That comparison is inapt for several reasons.

First, Trump's lawsuit, which was joined by two of his sons and the Trump Organization, did not involve a dispute about tax liability. It alleged damages caused by an IRS contractor's illegal disclosure of the plaintiffs' tax returns, an issue that has nothing to do with the question of whether they owe the IRS money.

Second, even in cases that do involve alleged tax violations, it is not "typical" for settlements to include a promise that the IRS will never pursue any other claims based on past returns. After Blanche revealed his order, former IRS Commissioner Daniel Werfel told the Associated Press he was not aware of any previous cases in which the IRS had agreed to "permanently forgo examination of previously filed tax returns for a specific person or business."

Third, the IRS immunity in this case, which could save Trump more than $100 million in back taxes, interest, and penalties, not only covers the plaintiffs who filed the lawsuit. It also encompasses all "related or affiliated individuals…or parties."

Fourth, Blanche's order extends far beyond the IRS. It says "the........

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