5 things to know about the Trump IRS settlement

The IRS reached a settlement with President Trump over the leak of his tax returns, barring the agency from auditing his previous filings and reigniting a years-long battle over Trump’s taxes.

Acting Attorney General Todd Blanche signed an order Tuesday declaring the IRS is “forever barred” from bringing claims against Trump based on his prior tax returns.

The settlement, which also creates a $1.776 billion “anti-weaponization” fund, comes on the heels of the president’s decision to drop his $10 billion lawsuit against the IRS.

The move was seen as an effort to sidestep a judge who had raised questions about whether the two sides were real adversaries, underscoring the unusual nature of the case that saw Trump sue his own administration.

Here are five things to know about the settlement:

Trump shielded from IRS probes based on old tax returns

The order signed by Blanche on Tuesday says the IRS “releases, waives, acquits and forever discharges” Trump from any potential action and is “forever barred and precluded” from pursuing any pending matters before the agency.

This includes “tax returns filed before the Effective Date” of the agreement.

“As is customary in settlements, both sides have executed waivers of a variety of claims that were or could have been brought,” a Justice Department spokesperson said in a statement.

“There would be little point in settling several significant claims if either party could simply turn around and seek to [initiate] more adverse claims that could have been pursued previously,” they continued, underscoring that it only applies to existing and not future audits.

As of 2024, Trump was battling an IRS audit that stretched back more than a decade and could potentially have cost him $100 million, according to The New York Times.

Settlement applies to Trump’s........

© The Hill