Trump and Sons Sue IRS for $10 Billion Over Tax Records Leak
By John Nada·Jan 30, 2026·3 min read
Trump, his sons, and the Trump Organization are suing the IRS and U.S. Treasury for $10 billion over alleged leaks of tax records. This unprecedented case raises serious legal and political questions.
In a striking legal move, US President Donald Trump, alongside his two eldest sons and the Trump Organization, has filed a lawsuit against the Internal Revenue Service (IRS) and the U.S. Treasury Department. They demand at least $10 billion in damages over alleged leaks of their confidential tax information, as disclosed in court records.
The plaintiffs claim that the IRS and Treasury failed to prevent the unauthorized disclosure of their tax records by former IRS employee Charles 'Chaz' Littlejohn, who admitted to leaking sensitive information to media outlets including The New York Times and ProPublica. According to the lawsuit filed in Miami federal court, this breach occurred during 2019 and 2020.
A spokesman for Trump’s legal team criticized the IRS for allowing a 'rogue, politically-motivated employee' to leak private information. He stated that the release of confidential data not only caused reputational harm but also portrayed the Trump family and their organization in a false light.
Littlejohn, currently serving a five-year prison sentence after pleading guilty to disclosing tax return information, confessed to leaking Trump’s tax documents. The lawsuit claims that Littlejohn admitted in a deposition that he disclosed sensitive information related to all businesses owned by Trump. This assertion has significant implications, as it raises questions about the integrity of IRS operations and the protection of taxpayer information.
The report highlighted that ProPublica’s subsequent articles on Trump’s tax documents included claims of 'versions of fraud.' However, this statement originated from Nancy Wallace, a finance professor, who remarked on inconsistencies in the documents without clear evidence of fraud.
This unprecedented lawsuit, coming just days after Treasury Secretary Scott Bessent canceled contracts with Booz Allen Hamilton connected to Littlejohn, amplifies the ongoing tensions between Trump and various government entities. It’s rare for a sitting president to sue his own administration, making this case all the more noteworthy.
Additionally, the substantial damages sought raise several conflict-of-interest concerns. Trump has a history of pursuing legal action against government entities, as he previously sought $230 million from the Department of Justice over past investigations into him.
The implications of this lawsuit could ripple across the political landscape, particularly as it challenges the accountability and transparency of government agencies. For the market and public perception, this case could serve as a touchpoint in the ongoing narrative of Trump's influence and his legal battles.
In summary, the outcome of this lawsuit could potentially reshape the dynamics between the Trump family and government institutions, especially concerning the safeguarding of private information. It remains to be seen how this legal battle will unfold and what it will mean for Trump's public standing and business operations.