Trump sues IRS and US treasury for $10bn over leak of tax returns | Donald Trump

by Rachel Morgan News Editor

Donald Trump, along with his adult sons and the Trump Organization, filed a $10 billion lawsuit Thursday against the US Treasury Department and the Internal Revenue Service. The suit alleges the agencies failed to protect their tax returns from disclosure to the media in 2019 and 2020.

Lawsuit Details

The complaint, filed in Miami federal court, centers on the actions of Charles Littlejohn, a former IRS contractor. Trump and the other plaintiffs claim the agencies did not take “mandatory precautions” to prevent Littlejohn from leaking their tax information to news organizations described as “leftist media outlets,” specifically naming the New York Times and ProPublica.

Did You Know? Charles Littlejohn was sentenced to five years in prison in January 2024 after pleading guilty to disclosing income tax return information without authorization.

The plaintiffs assert they have suffered “significant and irreparable harm” to their reputations and financial interests as a result of the leaks. They indicated they may pursue punitive damages, arguing the disclosures were either intentional or the result of gross negligence.

Unusual Legal Position

This lawsuit is notable because it places Trump in the position of suing agencies within the executive branch, an office he currently holds. Scott Bessent, the treasury secretary and acting IRS commissioner, is not named as a defendant in the case.

Pattern of Litigation

This is not the first substantial lawsuit Trump has filed since winning a second term in 2024. He is currently pursuing a $15 billion claim against the New York Times and Penguin Random House, alleging they sought to undermine his 2024 election prospects.

Separate lawsuits seeking $10 billion each are also underway against the Wall Street Journal and the BBC, concerning an article about Jeffrey Epstein and the editing of a speech related to the January 6th Capitol storming, respectively. All of these lawsuits have been filed with the assistance of Florida-based attorney Alejandro Brito.

Expert Insight: Suing government agencies while simultaneously leading the executive branch presents a complex dynamic. It could be interpreted as a demonstration of a commitment to accountability, or it could raise questions about the potential for conflicts of interest and the appropriate use of legal resources.

According to the complaint, the New York Times published at least eight articles and ProPublica published at least 50 articles based on information disclosed by Littlejohn. The plaintiffs claim these publications caused reputational damage, public embarrassment, and negatively impacted their business standing.

Frequently Asked Questions

What prompted the lawsuit?

The lawsuit was prompted by the disclosure of Donald Trump, his sons’, and his company’s tax returns to the media in 2019 and 2020, which the plaintiffs attribute to a failure by the Treasury Department and IRS to protect the information.

Who are the plaintiffs in this case?

The plaintiffs include Donald Trump, Donald Trump Jr, Eric Trump, and the Trump Organization.

What is the alleged motivation of the individual who leaked the tax returns?

Prosecutors charged Charles Littlejohn with leaking the tax records, alleging he was motivated by a political agenda.

What happens next is uncertain. The Treasury Department and IRS have not yet responded to the lawsuit. The court will likely address procedural matters before considering the merits of the case. It is possible the lawsuit could be dismissed, settled, or proceed to trial.

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