Despite Judge's Smackdown, Trump Plans To Keep Deal Killing Tax Audits
Key Points:
- A federal judge ruled that Donald Trump acted in "bad faith" by settling a lawsuit with his own administration, deeming the settlement terms illegal and unconstitutional, but Trump intends to maintain the deal ending ongoing tax enforcement against him and his family.
- U.S. District Judge Kathleen M. Williams referred Trump's lawyers for sanctions and barred the president from describing the deal as a legitimate settlement in future proceedings, though the Justice Department states the order barring tax enforcement remains in effect.
- The controversial IRS deal and the now-defunct $1.8 billion "Anti-Weaponization Fund" are expected to be key issues in the Senate hearing on Trump nominee Todd Blanche, who previously worked as Trump's personal attorney and signed the orders creating both.
- Democrats and some Republicans criticized the deal and Blanche's nomination, with concerns about self-dealing and misuse of taxpayer funds; Blanche claims he was not involved in Trump's IRS lawsuit and defends the tax deal as not applying to future audits.
- The judge cited federal law and the Constitution's Domestic Emoluments Clause in condemning the IRS deal, while Senator Ron Wyden called it "an obscene act of corrupt self-dealing," urging rejection of Blanche's confirmation.