Trump's tax audit immunity remains in place

Key Points:

• Todd Blanche, in negotiations for his attorney general confirmation, formally rescinded a $1.8 billion fund intended to compensate President Trump’s political allies, but the audit immunity deal protecting Trump and his family from certain IRS investigations remains in place with new limits.
• The audit immunity, part of a controversial $10 billion lawsuit settlement against the IRS, now applies only retroactively to open claims at the time of the settlement and covers Trump, his sons Eric and Donald Jr., and the Trump Organization, potentially wiping out millions in back taxes.
• The immunity deal has drawn bipartisan criticism and legal questions about its lawfulness, with experts noting it may violate IRS statutes that prohibit executive interference in tax audits, a protection strengthened after the Watergate scandal.
• Despite Blanche’s assurances that the fund is no longer pursued, Trump has indicated he would revive it if Blanche is not confirmed, prompting calls from Democrats and tax experts for congressional action to permanently block the fund’s reinstatement.
• The agreement does not prevent the government from compensating Trump allies through other claims processes, including those involved in the Jan. 6 Capitol attack, raising further concerns about fairness and potential political favoritism.