Trump Sues IRS And Treasury For $10 Billion Over Leaked Tax Records

President Donald Trump has filed a $10 billion lawsuit against the Internal Revenue Service and the U.S. Department of the Treasury, accusing the agencies of failing to protect confidential tax information that was leaked to the media nearly a decade ago.

The lawsuit was filed Thursday in federal court in Miami. Trump is suing in his personal capacity, not as president. The complaint also lists Donald Trump Jr., Eric Trump, and the Trump Organization as plaintiffs.

Claims of Reputational and Financial Harm

According to the filing, Trump and the other plaintiffs argue that the IRS and Treasury Department failed to take adequate steps to prevent a former contractor from accessing and disclosing sensitive tax records.

The lawsuit claims the leak caused significant reputational damage, financial harm, and public embarrassment.

The complaint says the disclosure unfairly harmed the plaintiffs’ business interests and portrayed them in a false light, damaging their public standing.

Neither the IRS nor the Treasury Department immediately responded to requests for comment.

Background of the Tax Leak

The lawsuit stems from actions by Charles Littlejohn, a former IRS contractor who pleaded guilty in 2023 to stealing and leaking tax records of Trump and thousands of other wealthy Americans.

In 2024, Littlejohn was sentenced to five years in prison. Prosecutors said he illegally accessed tax data in 2019 and 2020 and shared it with news organizations, including The New York Times.

The Times published a 2020 investigation revealing that Trump paid only $750 in federal income taxes in both 2016 and 2017. Trump denied the reporting at the time, calling it false and saying the information had been obtained illegally.

Littlejohn later admitted in court that he also stole tax records belonging to other high-profile individuals, including billionaires Jeff Bezos and Elon Musk.

IRS Response and Security Measures

After Littlejohn’s conviction, the IRS said his actions were unacceptable and stated that it had notified affected taxpayers. The agency also said it had strengthened internal data security measures to prevent similar incidents in the future.

Despite those changes, Trump’s lawsuit argues that the government agencies remain responsible for the initial failure to safeguard taxpayer information.

Trump’s Broader Legal Strategy

Trump has repeatedly said he intends to seek large financial damages from government agencies and media organizations over past investigations and reporting. The IRS lawsuit is one of several high-dollar legal actions he has filed since returning to office.

In recent years, Trump has sued multiple media outlets for defamation, often seeking damages in the billions. He has also filed lawsuits against major corporations, including banks, claiming political discrimination.

Asked previously about seeking damages from federal agencies while serving as president, Trump acknowledged the unusual nature of the situation, saying it would be “strange” to approve a payment to himself.

He has said that if he were awarded damages, he would donate the money or direct it toward government or charitable purposes.