Trump Ready to Settle With IRS in $10 Billion Lawsuit Over Tax Records

Donald Trump is in “discussions” to settle a $10 billion lawsuit with the Internal Revenue Service over the release of his tax returns.

The president’s lawyers asked a judge Friday to extend key deadlines on the multibillion lawsuit against his presidential administration, but hidden within the pages of the legal filing was a profound detail: that the president has been in talks with his own government staffers to “avoid protracted litigation.”

“Good cause exists to grant an extension in this matter while the Parties engage in discussions designed to resolve this matter and to avoid protracted litigation,” Trump’s lawyers argued. “This limited pause will neither prejudice the Parties nor delay ultimate resolution. Rather, the extension will promote judicial economy and allow the Parties to explore avenues that could narrow or resolve the issues efficiently.”

Any payment from Trump’s lawsuit against the government would be doled out to him via taxpayer funds.

The suit alleges that the IRS and Treasury Department during Trump’s first term did not do enough to thwart Charles Littlejohn, a former contractor for the IRS, from leaking the tax returns to the press. Littlejohn leaked 15 years of Trump’s tax returns to The New York Times in 2019. The documents were published by the paper of record the following year, in September 2020, two months before the presidential election.

Trump’s attorneys have argued that, despite the fact that Littlejohn was classed as a contractor, he acted as a “joint employee” of the two agencies. They further asserted that the government was liable for Littlejohn’s actions due to the IRS’s “extensive, detailed, day-to-day supervision” of his behavior.

The legal challenge has raised numerous ethical quandaries, chief among them the apparent conflict of interest in the case. Legal experts have questioned whether a president can sue his own administration to pocket taxpayer money, and have expressed doubts about whether Trump’s Justice Department can appropriately defend the financial institutions.

A group of former government officials filed an amicus brief in February that challenged the suit’s core claims. Those officials included former IRS Commissioner John Koskinen and former National Taxpayer Advocate Nina Olson. Together, the cohort argued that Trump’s lawsuit contains “significant legal flaws” and risks becoming “collusive litigation.”

This story has been updated.

Health Secretary Robert F. Kennedy Jr. tried to claim Friday that vaping is healthier than smoking.

Speaking before the House Education and Workforce Committee, Kennedy tried to peddle some of his classic pseudoscience.

“There’s an argument for vapes,” Kennedy said. “Vapes reduce cigarette tobacco smoking—”

“No sir. That was an argument Juul made, and I’d be happy to have a further conversation,” California Representative Mark DeSaulnier interrupted.

“I’d love to have that conversation,” Kennedy said.

The Centers for Disease Control’s own website states: “E-cigarette aerosol generally contains fewer harmful chemicals than the deadly mix of 7,000 chemicals in smoke from cigarettes. However, this does not make e-cigarettes safe.”

The vape company Juul illegally tried to market its electronic cigarettes as a safer alternative to smoking cigarettes, earning it a strong admonishment from the Food and Drug Administration in 2019—another of the many health agencies which Kennedy now oversees.

No federally reviewed vaping product has been found to be less harmful than cigarettes. Studies have shown that vapes and e-cigarettes are just as dangerous—if not more so—than traditional cigarettes, because they can increase the risk of heart disease and limit blood flow to the heart. They also still contain nicotine, which is highly addictive.

While vapes may be considered preferable to cigarettes for adult smokers, that’s not who uses them: Children are, on average, nine times more likely to vape than adults, according to the World Health Organization.

Amongst the upper echelons of the MAGA movement, Donald Trump’s word is God’s.

Paula White-Cain, a Pentecostal televangelist who has offered Trump spiritual guidance since 2002 and was appointed to run the new White House Faith Office last year, once said that “saying no to Trump would be saying no to God.”

Earlier this month, White-Cain compared Trump to Jesus at the White House’s Easter lunch, likening Trump’s various political scandals to Christ’s crucifixion.

“It almost cost you your life,” she said, feet away from Trump. “You were betrayed and arrested and falsely accused. It’s a familiar pattern that our lord and savior showed us. But it didn’t end there for him, and it didn’t end there for you.”

White-Cain’s sycophantic public commentary offers a brief glimpse into the rhetoric circulating around the president, and could possibly explain why Trump felt it appropriate to circulate an AI-generated picture of himself as the messiah earlier this week.

That act earned Trump nationwide backlash, driving a wedge between himself and many of his loyal supporters, who overwhelmingly condemned the blasphemous depiction. (The image features Trump dressed in white and red robes, encircled in light, holding light, and sharing it with the fallen.)

Several self-identified Trump voters interviewed by MS Now said that they were “disgusted” by and “ashamed” of the image, and further implied that they regretted voting for the self-identified Christian. (Reminder: while Trump has claimed the Bible is his “favorite book,” he couldn’t name a single passage from the text when prompted to do so in a 2019 interview.)

“Trump knows what he is doing. He knows what he posted,” former Representative Marjorie Taylor Greene wrote on X Thursday after prominent evangelist Franklin Graham came to the president’s defense. “He knows how to manipulate his followers. And he’s not sorry, he never apologized. Instead he lied, and said he was a doctor, which is also absurd.”

A Franciscan friar that spoke with CBS News earlier this week said that “no one” should try to “put themselves in the person of Christ.”

“I think that’s a little bit of a problem,” he said.

White-Cain’s remarks could also explain the president’s attitude as he escalates a seemingly pointless feud with Pope Leo XIV, who apparently upset the administration by advocating for peace, not war.

As Trump’s base begins to turn on him, questions have arisen about Trump’s other political miracles. Several MAGA voters have recently begun to reexamine the 2024 assassination attempt in Butler, Pennsylvania, in apparent suspicion that the ordeal was staged.

As Donald Trump’s MAGA base sours on him, some of them now think the 2024 assassination attempt on him in Butler, Pennsylvania, was staged.

Wired reports that this conspiracy theory started to take hold after Joe Kent, who resigned from the Trump administration over the Iran war, went on conservative pundit Tucker Carlson’s show and asserted without evidence that investigations into the shooting were halted before they were finished.

“If you don’t want to address that question, then you just go silent and say you can’t ask that question,” Kent, formerly the director of the National Counterterrorism Center, said. “Which then creates people who come out of nowhere and they start drawing their own conclusions.”

Kent noted that this would fuel conspiracy theories, and ever since his interview, that is exactly what seems to be happening within MAGA. Trisha Hope, who served as a delegate from Texas during the 2024 Republican National Convention, posted on X last week that “if you cannot look at this story, and use critical thinking skills and have at least some questions, you are the problem and we need you to snap out of it.” 

“Since the attempt on his life, Trump has show [sic] no interest in investigating what really happened. He never mentions it, it’s as if it never happened, except when he tells us, he took a bullet for us,” Hope said in a long post.

Comedian Tim Dillon, who interviewed JD Vance on his podcast during Trump’s presidential campaign, said last week that he thinks “maybe it was staged,” adding that Trump should now say publicly that “some people are going to be upset by this, but we staged the assassination attempt in Butler to show people how important it was to vote for me and how far I was willing to go for them.”

Candace Owens, a far-right conspiracy theorist who has abandoned Trump, claimed on her podcast last week that Miriam Adelson, an Israeli-American billionaire and Republican donor, was actually behind the assassination attempt because Trump hadn’t followed through on a promise to allow Israel to annex the occupied West Bank.  

Ali Alexander, who helped pushed the “Stop the Steal” campaign around the conspiracy that Trump had the 2020 election stolen from him, wrote on Telegram Tuesday that the attempt on Trump’s life could mean he is in the Antichrist, echoing a different right-wing conspiracy theory pushed by Tucker Carlson and others.   

“To be clear: if Donald Trump didn’t receive a miracle, then it was deception or a dark sign,” Alexander wrote. “There is biblical prophecy in Revelation 13:3 apparently about the Antichrist being struck on the head.”

Cracks are beginning to show in Trump’s support base following his decision to break a major campaign promise and start a war with Iran, attack the Catholic Church, and imply that he’s Jesus Christ. All of this could be the beginning of the end of his political career and control of the Republican Party. 

A Trump-appointed federal judge handed down another loss to the Justice Department on Friday, striking down the department’s demand for personal voter information in Rhode Island. 

U.S. District Judge Mary S. McElroy said the DOJ lacked the authority “to conduct the kind of fishing expedition it seeks here.”

“In its September 8, 2025, letter to Secretary Amore (the ‘Demand Letter’), DOJ stated that the purpose of its demand for an unredacted copy of Rhode Island’s statewide voter registration list was ‘to ascertain Rhode Island’s compliance with the list maintenance requirements of the [National Voter Registration Act] and the [Help America Vote Act],’” McElroy wrote in her dismissal of the DOJ lawsuit. “The Demand Letter did not identify any facts suggesting that Rhode Island has not complied with the NVRA and HAVA, and it did not otherwise expressly identify any factual basis for DOJ’s demand.”

The DOJ initially filed the lawsuit as part of its effort to continue Trump’s immigration crackdown and weaponize voter registration information in deep-blue states. But now Rhode Island has become the fifth state—along with California, Michigan, Massachusetts, and Orgeon—to reject Trump’s meddling. 

“Neither the NVRA nor HAVA authorize DOJ to conduct the kind of fishing expedition it seeks here,” McElroy concluded. “As such, for the foregoing reasons, the Court DENIES the United States’ Motion to Compel Production and GRANTS Defendants’ Motions to Dismiss.”  

That leaves Assistant Attorney General Harmeet Dhillon with zero wins and five losses on her voting records lawsuits, with 25 states still waiting on decisions.