FILE – US President Donald Trump gestures as he speaks to reporters after arriving on the South Lawn of the White House in Washington, DC, on May 15, 2026. Trump is returning from Beijing where he met with Chinese President Xi Jinping to discuss trad
Read more Judge rules on what evidence can be used in Luigi Mangione trial
President Donald Trump on Monday withdrew his $10 billion lawsuit against the Internal Revenue Service.
Trump IRS lawsuit
The backstory:
The president sued earlier this year in federal court in Florida over the leak of his tax information to news outlets between 2018 and 2020.
The lawsuit alleged the leak of his and the Trump Organization’s confidential tax records caused “reputational and financial harm, public embarrassment, unfairly tarnished their business reputations, portrayed them in a false light, and negatively affected President Trump, and the other Plaintiffs’ public standing.”
In 2024, former IRS contractor Charles Edward Littlejohn was sentenced to five years in prison after pleading guilty to leaking tax information about Trump and others to two news outlets between 2018 and 2020.
The president’s sons, Donald Trump Jr. and Eric Trump, are also named plaintiffs in the suit.
Read more NFL expect to vote for Nashville to host 2030 Super Bowl, sources say
Meanwhile:
Trump was reportedly prepared to drop his lawsuit as part of a deal that would create a $1.7 billion fund to pay allies of the president who believe they were wrongly investigated and prosecuted.
READ MORE: Trump seeks $1.7 billion fund to pay allies in exchange for dropping IRS lawsuit: reports
What’s next:
The filing obtained by the Associated Press did not disclose the terms of the resolution.
It was not immediately clear who precisely will stand to benefit from the reported fund.
Read more School bus crash in Friendswood on FM 2351
The alleged unusual deal has already sparked criticism and ethics concerns.