Trump seeks ‘resolution’ of his $10bn lawsuit against IRS, spurring concern

by | Apr 17, 2026 | World

Court filings have indicated that lawyers for President Donald Trump are seeking a resolution with the Department of Justice over a $10bn lawsuit he filed against the Internal Revenue Service (IRS).But the trouble, critics say, is that such a settlement would leave Trump essentially negotiating with an executive branch under his control.Recommended Stories list of 3 itemsend of listFriday’s court filing, however, emphasises the efficiency of seeking a settlement.In the document, Trump’s lawyers call for the case to be paused for 90 days to allow a resolution to be hammered out.“This limited pause will neither prejudice the parties nor delay ultimate resolution,” the filing says. “Rather, the extension will promote judicial economy and allow the Parties to explore avenues that could narrow or resolve the issues efficiently.”How did the case start?The case stems from an incident that began in 2017, when a worker named Charles “Chaz” Littlejohn was re-hired as a contractor through the government consulting firm Booz Allen.While working on IRS files, Littlejohn stole copies of Trump’s tax returns, which had been the source of prolonged public scrutiny.Until Trump, every president since Richard Nixon had released their tax returns as a gesture of transparency. Trump, however, claimed he could not, citing ongoing audits.The tax returns Littlejohn stole were ultimately released to the media, and in 2020, The New York Times released …

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