The U.S. Justice Department has "forever barred" the Internal Revenue Service from pursuing audits into past tax claims involving President Donald Trump, his relatives, and his companies, according to a one-page document released Tuesday that expanded a controversial settlement over leaked tax records.
Justice Department Bars Past Tax Audits
Reuters reported that the document, signed by acting Attorney General Todd Blanche, says the government may not audit Trump's tax returns filed before Monday or any matters "that were raised or could have been raised." A Justice Department spokesperson told CBS News the order applies to existing audits and not future audits.
The order broadened the settlement Trump reached on Monday with the IRS, under which he agreed to drop a $10 billion lawsuit over the leak of his tax returns. As part of that deal, the Justice Department created a nearly $1.8 billion "Anti-Weaponization Fund" for people who say they were targeted for political reasons.
MarketDash reached out to the Department of Justice and the IRS for comment, but did not receive an immediate response.
Democrats Condemn Move As Corruption
Democratic lawmakers and economic commentators quickly condemned the audit provision. Senator Elizabeth Warren (D-Mass.) called it an "unprecedented level of corruption," writing on X that Trump was forcing the government to drop "ALL tax audits" of him, his family, and his businesses. She asked, "What is Trump hiding from the American people?"
Senator Chris Murphy (D-Conn.) wrote that "the President is now exempt from our tax laws while everyone else has to obey them." Senator Chris Van Hollen (D-Md.) said Blanche had "quietly signed a deal" barring the IRS from "EVER reexamining" Trump's prior taxes, while Senator Adam Schiff (D-Calif.) called it "Pure. Unadulterated. Corruption."
Experts Warn Of Bad Precedent
Economist Justin Wolfers noted that Trump had long said he would release his tax returns once audits ended.
Former IRS Commissioner John Koskinen told Business Insider the settlement set a "terrible precedent" and could effectively give Trump a financial benefit by shielding potentially taxable gains from review.















