President Donald Trump is in active negotiations to settle a $10 billion (£7.9 billion) lawsuit he and his sons filed against the Internal Revenue Service, according tocourt documents reported by Reuters. Both parties have sought deadline extensions, citing ongoing discussions aimed at avoiding 'protracted litigation.'
The case has drawn significant attention due to the conflict of interest at its centre: the IRS is being defended by attorneys appointed by Trump himself, including his attorney general and treasury secretary. Congressional Democrats have introduced legislation seeking to block sitting presidents and their families from receiving settlement payments from federal agencies.
The story gained wider public attention after attorney Aaron Parnas posted aviral TikTokasserting that 'Donald Trump is in active negotiations to take $10 billion taxpayer dollars and put them in his own pocket.' Parnas cited court documents indicating that both parties are seeking deadline extensions because they are 'engaging in discussions' intended to avoid 'protracted litigation.'
'In this case, Donald Trump is trying to settle a 10 billion dollar lawsuit he filed against the IRS,' Parnas said in the video. 'He's filing a lawsuit against his own government. And the people defending his government are his own attorney general, his own deputy attorney general, his treasury secretary. He's about to get billions of dollars in his own pocket.'
The court documents do not confirm a final settlement figure. The $10 billion sum represents the damages claimed by the plaintiffs; any agreed settlement could differ significantly from that amount and would be subject to court approval.
The lawsuit was filed by Trump alongside his sons Eric and Donald Trump Jr. against the IRS, seeking $10 billion (£7.9 billion) in damages. The lawsuit alleges that the tax agency engaged in a pattern of unfair targeting and harassment against the Trump family and their various business interests over several years.
According to the plaintiffs, the IRS's actions resulted in substantial financial losses and reputational harm. By including his sons in the litigation, Trump has framed the case as a broader defence of the Trump Organisation against what they describe as politically motivated audits.
Legal filings suggest the case remains in itsearly stages, with both sides currently reviewing millions of pages of tax records. If the parties fail to reach an agreement, the matter could proceed to a full trial.
Democratic lawmakers are set to introduce a bill to ban the president, vice president, and their families from collecting lawsuit settlement payments from the government.https://t.co/n1gGwWqKtv
In response to reports of a potential settlement, Congressional Democrats introduced a new bill on Wednesday aimed at curbing such payouts. The proposed legislation seeks to ban the president, vice president, and their immediate families from collecting lawsuit settlement payments from the federal government while in office or shortly thereafter.
Source: International Business Times UK
