Donald Trump’s $10 billion lawsuit against the Internal Revenue Service may be heading toward a pause instead of a courtroom showdown. New court filings show attorneys for Trump and the IRS are now discussing a possible settlement tied to claims that his tax returns were unlawfully leaked to the media in 2019 and 2020.
In a filing submitted Friday in federal court in Miami, both sides asked a judge to suspend the case for 90 days “while the parties engage in discussions designed to resolve this matter and to avoid protracted litigation.” They also said a temporary delay “could narrow or resolve the issues efficiently.”
Trump originally sued the tax agency after confidential return information was disclosed to outlets including The New York Times and ProPublica. Reports published in 2020 said the records showed Trump paid little or no federal income taxes in several years.
Also listed as plaintiffs in the case are Donald Trump Jr., Eric Trump, and the Trump Organization. The White House did not immediately comment on the latest filing, while the Justice Department, which represents the IRS, declined to comment.
The controversy stems from former IRS contractor Charles Littlejohn, who prosecutors charged in 2023 with leaking Trump’s records along with tax data involving thousands of wealthy Americans. Officials said Littlejohn acted with a political motive. He later pleaded guilty to improper disclosures and was sentenced to five years in prison.
Any financial settlement would likely be funded by taxpayers. Trump has previously said any money recovered from the lawsuit would be donated to charity.
The case also creates an unusual legal dynamic, since Trump is suing agencies within the same executive branch he leads. A delay could give government lawyers more time to address those potential conflicts while negotiations continue.
this is called stealing