Donald Trump Sues IRS and Treasury for $10B Over Leaked Tax Return Documents

TLDR

• Donald Trump sues IRS and Treasury for $10B, citing leaked tax returns from 2019 and 2020.
• Former IRS contractor Charles Littlejohn admitted leaking Trump’s tax data to the media.
• Littlejohn pleaded guilty in 2023 and is now serving a five-year federal sentence.
• Treasury cut Booz Allen’s contract after learning of the leak involving Littlejohn.

President Donald Trump has filed a $10 billion lawsuit against the Internal Revenue Service and the U.S. Treasury Department, claiming they failed to protect his confidential tax information. The case follows the unauthorized release of his tax returns by a former IRS contractor who is now serving a prison sentence.

Trump Accuses IRS and Treasury of Failing to Protect Tax Data

President Donald Trump has filed a lawsuit in a Miami federal court, seeking $10 billion in damages from the Internal Revenue Service and the U.S. Treasury Department. The lawsuit accuses both agencies of failing to secure his confidential tax data, which was later published by multiple news organizations.

According to the suit, the IRS and Treasury did not enforce adequate security protocols. This allowed a former contractor, Charles Littlejohn, to access and leak Trump’s tax information from 2019 and 2020. The leaked materials reportedly covered the Trump Organization, Trump himself, and his family members.

Contractor Admitted to Leaking Tax Records to Media Outlets

Charles Littlejohn, a former IRS contractor, pleaded guilty in October 2023 to one felony count of unauthorized disclosure of tax return data. He admitted to stealing and sharing Trump’s tax records with The New York Times and sending data on other wealthy individuals to ProPublica.

Littlejohn, who worked through Booz Allen Hamilton under a Treasury Department contract, was sentenced to five years in federal prison. Prosecutors described the breach as “unprecedented in its scope and scale,” and said the contractor acted on his own without external help.

In a 2024 deposition, Littlejohn confirmed that the records he leaked included tax data from all of Trump’s business entities. He later invoked the Fifth Amendment when asked to testify before Congress.

Trump Legal Team Claims Political Motivation Behind Leak

A spokesperson for Trump’s legal team told Fox News that the leak was politically motivated. The team described Littlejohn as a “rogue” employee who intentionally targeted Trump. They argue that once the tax information was made public, it spread rapidly and could not be contained.

The lawsuit also states that the leaks led to reputational harm. Trump and his organization claim the media coverage created false perceptions about wrongdoing, although they insist the documents do not prove any illegal conduct.

“The disclosure of this information gave rise to misleading media reports and public speculation,” the complaint reads. The plaintiffs argue that the release damaged both personal and business reputations and exposed them to further scrutiny.

Booz Allen Hamilton Contract Terminated After Leak

Following the exposure, Treasury Secretary Scott Bessent canceled the department’s contract with Booz Allen Hamilton. This occurred before the lawsuit was officially filed. Trump’s legal team says this move shows that the government admitted failures in oversight and security.

The lawsuit points out that existing federal safeguards were not properly followed. This allowed unauthorized access and distribution of private tax data without proper logging or controls in place. The plaintiffs claim this oversight enabled the breach.

They also state that due to the sensitivity of tax records, it is the responsibility of the IRS and Treasury to ensure they remain protected at all times. The complaint argues that the agencies did not meet those standards.

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