Trump Sues IRS, Treasury for $10 Billion Over Tax Data Leak

President Donald Trump has initiated legal proceedings against the Internal Revenue Service (IRS) and the Treasury Department, seeking $10 billion in damages. This lawsuit, filed in federal court in Florida, arises from allegations of a significant leak of his tax information that affected his reputation and finances.

Key Details of the Lawsuit

Trump’s lawsuit names not only himself but also his sons, Eric Trump and Donald Trump Jr., as well as the Trump Organization. The complaint asserts that the leak of confidential tax records harmed their reputations, led to public embarrassment, and adversely affected Trump’s public standing.

Background of the Leak

The controversy stems from unauthorized disclosures made between 2018 and 2020. These leaks were allegedly carried out by Charles Edward Littlejohn, a former IRS contractor. He worked with Booz Allen Hamilton and was sentenced to five years in prison in 2024 after admitting to leaking tax information.

• Littlejohn disclosed tax data to major news outlets including The New York Times and ProPublica.
• The leaks were described as “unparalleled in the IRS’s history” by prosecutors.
• The violations breached IRS Code 6103, a strict confidentiality law.

Impact of the Information Leaks

The leaked information revealed that Trump had not paid federal income tax for several previous years. ProPublica also published analyses highlighting discrepancies in Trump’s tax records. Both incidents reportedly influenced public perception and potentially impacted support for Trump during the 2020 presidential election.

Reactions and Government Actions

Following Littlejohn’s conviction, the U.S. Treasury Department severed its ties with Booz Allen Hamilton due to inadequate data protection measures. Treasury Secretary Scott Bessent emphasized this failure to safeguard sensitive taxpayer information through their contracted services.

As of now, representatives from the White House, IRS, and Treasury Department have not provided any comments regarding the lawsuit.

Trump’s legal battle reflects ongoing concerns about privacy, data security, and the implications of tax information leaks in today’s political climate. The outcome may set significant precedents for future cases involving government confidentiality violations.