Trump Sues IRS for $10 Billion Over Tax Data Breach
Former President Donald Trump has initiated a lawsuit against the Internal Revenue Service (IRS), seeking at least $10 billion in damages. This legal action arises from allegations regarding the unauthorized disclosure of his tax returns during his first term.
Details of the Lawsuit
The lawsuit, filed in federal court in Florida, claims that the IRS and the Treasury Department failed to stop a former contractor, Charles Littlejohn, from accessing Trump’s tax documents. These documents were allegedly leaked to The New York Times.
- Defendant: Internal Revenue Service (IRS)
- Claim: $10 billion for unauthorized tax data leak
- Former Contractor: Charles Littlejohn
- Current Status of Littlejohn: Serving a five-year prison sentence
- Company Involved: Booz Allen Hamilton
- Federal Contracts Cancelled: $21 million
Background of the Incident
Littlejohn was found guilty of leaking tax documents of wealthy individuals, including Trump, to various news outlets. The IRS and Treasury Department had previously hired Littlejohn through Booz Allen Hamilton, and following the leak, the Treasury Department revoked all contracts with the firm.
This lawsuit is significant as it marks an unprecedented demand for compensation in the realm of federal investigations. Trump has also previously sought $230 million from the Justice Department related to investigations into his finances.
Tax Disclosure Controversy
Trump’s tax disclosures have been a subject of considerable public interest. He is the first president since the 1970s to not release his tax returns openly.
- Reported Tax Payments: $750 in federal income taxes for 2016
- Years without Income Taxes: 10 out of 15 years prior to his presidency
In late 2022, House Democrats on the Ways and Means Committee published six years of Trump’s tax returns following a prolonged legal battle.
Reactions and Implications
The IRS and Treasury Department have not yet commented on the lawsuit. The outcome may have significant implications for the handling of confidential tax information and the accountability of governmental agencies in protecting such data.