Trump’s IRS Settlement Illegally Halts Audits
WASHINGTON, D.C. – Acting Attorney General Todd Blanche has signed an addendum to President Trump’s IRS case settlement that shields the president from present audits. Newly agreed upon terms to settle Donald Trump’s claims against the IRS and his other claims of government “weaponization” would end IRS investigations or audits of Trump or his family businesses. Public Citizen wrote a letter to the Department of Justice and others last week explaining that such a request by the president would be illegal and put IRS officials in legal jeopardy.
In response to the new settlement terms signed today, Public Citizen co-presidents Robert Weissman and Lisa Gilbert issued the following statement:
“Trump’s dirty deal has crossed the line into illegality. If Acting AG Todd Blanche tries to effectuate this settlement by directing the IRS to end audits underway or not to conduct audits it would normally undertake, both he and Donald Trump will be violating the law and putting IRS officers at risk.
“26 U.S.C. §7217 bars presidential requests to terminate audits made either ‘directly or indirectly’ and requires IRS officers and officials who receive such requests to report them to the Treasury Inspector General for Tax Administration. Failure to do so may subject those officers to criminal prosecution.
“Here’s what has happened: Trump filed a bad-faith lawsuit based on actions that occurred while he was president of the United States. He sought a preposterous level of damages. Because the case involved Donald Trump on both sides, the court raised serious concerns about it moving forward. But, before a federal court could act, Trump and his Department of Justice conspired to drop the case and agree on an out-of-court settlement. Now, in addition to looting the public and creating a nearly $1.8 billion slush fund for Trump and his cronies, Trump aims to escape from IRS audits for any wrongdoing he and his businesses may have committed.”