Press Release: 5/18/2026
Trump v. IRS Settlement Would Be an Abuse of Presidential Power
Published: May 15, 2026
Common Cause issued a statement following press reports that the DOJ and the White House are actively weighing a settlement in President Trump’s sham lawsuit against the IRS
MEDIA CONTACT
Kenny Colston
Common Cause issued a statement following press reports that the DOJ and the White House are actively weighing a settlement in President Trump’s sham lawsuit against the IRS. In February, Common Cause and former IRS and DOJ officials filed an amicus brief urging the court to proactively address the clear conflicts of interest in this case and protect taxpayer dollars.
On April 29, the court appointed several independent attorneys to assist it, an action which Common Cause specifically called for in our amicus brief. Today, these attorneys filed a friend-of-the-court brief that underscores the severity of the conflicts of interest in this lawsuit – including DOJ leadership’s “personal loyalty” to President Trump.
Trump and DOJ appear to be rushing to settle this case in order to avoid an embarrassing judicial ruling at a court hearing scheduled for May 27. Reports suggest that the settlement options include a commitment for the IRS not to audit the president or his family members – a massive breach of protocol that would readily invite tax evasion. Other reports suggest the president is seeking the establishment of a $1.7 billion fund to compensate anyone who alleges they were harmed by the Biden Administration’s “weaponization” of the legal system, including violent January 6th insurrectionists. The fund would reportedly operate with no oversight, no transparency, and no limits on presidential control – essentially, a slush fund for Trump’s favored allies.
In light of these alarming developments, Common Cause sent a letter to the House and Senate Judiciary Committees today urging them to speak out against any potential settlement in this baseless lawsuit.
Statement of Abigail Bellows, Common Cause Senior Policy Director for Anti-Corruption & Accountability
“Presidents should not be allowed to use their power for personal gain. Any settlement is unacceptable, whether it involves a $10 billion check, non-monetary benefits – such as dodging IRS audits, or a new slush fund from which Trump can pay out his allies, including violent insurrectionists. These measures would enable tax evasion, invite corruption, and reward criminality.
“The president is racing to settle this case behind closed doors for one reason: to avoid a judicial ruling that would show the world he is trying to use the federal government as his personal piggy bank. If DOJ caves to Trump’s pressure and settles, it could open the door to even more brazen attempts to bend our justice system to the president’s will. Congress must swiftly condemn this lawsuit and pass the Ban Presidential Plunder of Taxpayer Funds Act.”