January 29, 2026 · Corruption, Ethics & Self-Dealing
· Litigation
Confirmed
Trump and His Sons Sue the IRS and Treasury for $10 Billion Over His Leaked Tax Returns
On January 29, 2026, President Trump, his sons Eric and Donald Trump Jr., and the Trump Organization sued the Internal Revenue Service and the Treasury Department in federal court in Miami, seeking at least $10 billion in damages. The complaint alleges the agencies "unlawfully allowed" disclosure of the plaintiffs' tax returns through inadequate safeguards, causing reputational and financial harm and public embarrassment. Trump's lawyers said the agencies "wrongly allowed a rogue, politically-motivated employee to leak private and confidential information" — a reference to IRS contractor Charles Littlejohn, a Booz Allen Hamilton employee who leaked the records to The New York Times and ProPublica and was sentenced to five years in prison in 2024.
The suit places a sitting president as plaintiff against two agencies of his own executive branch, which he controls through appointees who direct their litigation posture. Three days earlier, Treasury had canceled Booz Allen's contracts citing the firm's failed data safeguards — an official finding by a defendant agency that tracks the plaintiff's theory of the case.
A federal judge dismissed the lawsuit in May 2026 in a posture that news reports described as opening the way to a settlement.
The suit places a sitting president as plaintiff against two agencies of his own executive branch, which he controls through appointees who direct their litigation posture. Three days earlier, Treasury had canceled Booz Allen's contracts citing the firm's failed data safeguards — an official finding by a defendant agency that tracks the plaintiff's theory of the case.
A federal judge dismissed the lawsuit in May 2026 in a posture that news reports described as opening the way to a settlement.
Legal outcome: A federal judge dismissed the suit in May 2026; reporting described the dismissal as clearing the way for a settlement between Trump and the government.
Sources
- Trump, two sons, Trump Org sue IRS, Treasury for $10 billion over tax records leak — CNBC, 2026-01-29
- Trump sues IRS and Treasury for $10 billion, accusing agencies of letting his tax returns leak — CBS News, 2026-01-29 Supporting
- Judge dismisses Trump's IRS lawsuit, paving the way for a settlement — NPR, 2026-05-18 Supporting