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BBC·3 min read·medium

Judge voids Donald Trump's 'improper' $1.8b IRS settlement that gave him immunity from tax audits

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Judge voids Donald Trump's 'improper' $1.8b IRS settlement that gave him immunity from tax audits
✦AI Summary

A US District Judge has voided a settlement between President Trump and federal agencies that provided him with tax audit immunity and a $1.8 billion 'anti-weaponisation' fund. The judge ruled the lawsuit was filed for an improper purpose and referred a Trump lawyer for potential disciplinary action.

Why it matters

This legal decision prevents the implementation of a controversial settlement that critics argued was an abuse of executive power to shield the president from tax scrutiny.

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Image source, Getty Images Image caption, Democrats and some Republicans criticised the creation of an "anti-weaponisation" fund following the initial settlement.

A US judge has voided a legal agreement between President Donald Trump and federal agencies that granted him immunity from tax audits and allowed his administration to create a since-abandoned $1.8bn (£1.3bn) "anti-weaponisation" fund.

The fund, intended to compensate individuals claiming they were unfairly targeted by the government, was unveiled in May in exchange for Trump dropping his personal $10bn lawsuit against the Internal Revenue Service (IRS).

But on Monday, US District Judge Kathleen Williams said the suit was filed for an improper purpose.

She also referred a Trump lawyer to state authorities to determine whether ethics rules were violated and disciplinary action required.

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