Trump Seeks $10 Billion in Damages from IRS and Treasury Over Tax Data Leak

Former United States President Donald Trump, along with his two eldest sons, has initiated legal action against the U.S. Department of the Treasury and the Internal Revenue Service (IRS). The lawsuit alleges that the federal agencies failed to adequately protect the confidentiality of the family's tax records, resulting in the unauthorized disclosure of sensitive financial information. Trump and his sons are seeking a minimum of $10 billion in damages.

According to the court documents filed in Florida, the plaintiffs claim that their private tax filings were improperly accessed and distributed without consent. The lawsuit asserts that the breach caused significant reputational and financial harm to the Trump family, including public exposure and negative effects on their personal and business standing.

The legal complaint specifically references a former IRS employee, Charles Littlejohn, who admitted in 2023 to unlawfully accessing and leaking tax records related to Donald Trump. Littlejohn is currently serving a five-year prison sentence for his actions. The Trump family contends that the IRS employee deliberately or negligently failed to uphold the necessary standards of confidentiality, resulting in the widespread dissemination of tax information to media outlets.

The controversy over Trump's tax documents has been ongoing for several years. Unlike previous U.S. presidents, Trump chose not to release his tax returns voluntarily. During his presidency, details about his finances became a subject of intense public and media scrutiny. In September 2020, The New York Times reported on Trump's tax history, revealing that he paid only $750 in federal income tax in both 2016 and 2017. The report also stated that he paid no federal income tax in ten of the preceding fifteen years. These revelations emerged during the heated environment of the presidential election campaign, sparking widespread debate about Trump's business practices and financial transparency.

Following a protracted legal battle, Trump's tax returns were eventually released by Congress in 2022 through lawful processes. However, Trump's current lawsuit focuses on the initial unauthorized disclosure, which he claims was politically motivated and intended to damage his public image.

In their legal filing, Trump and his sons argue that the federal agencies' failure to protect their confidential tax information amounted to a grave breach of duty. They allege that the leak led to unjustified reputational damage and financial losses, as well as public misrepresentation of their business and personal affairs.

This lawsuit represents a rare instance of a former president taking legal action against federal entities that were part of his own administration. Legal experts note that such high-stakes litigation could have broader implications for the handling and protection of sensitive tax information within U.S. government agencies.

The IRS and the Treasury Department have not issued public statements regarding the ongoing legal proceedings. The outcome of the case may set new precedents for privacy protections and the responsibilities of federal agencies in safeguarding personal data.

The case continues to draw attention both in the legal community and among the general public, as it raises questions about data security, political motivations, and the intersection of privacy rights with the obligations of government institutions.