Trump Drops $10 Billion IRS Lawsuit, DOJ Confirms Lawfare Compensation Fund
President Donald Trump has voluntarily dismissed his $10 billion lawsuit against the IRS and established a compensation fund for victims of government lawfare. The Department of Justice confirmed the creation of a $1.776 billion fund to address claims of weaponization. This move has drawn criticism from Democrats, who argue it is a political grievance fund.
- ▪Trump's lawsuit against the IRS was dismissed with prejudice, preventing future claims.
- ▪The DOJ announced an 'Anti-Weaponization Fund' to address claims from individuals affected by government actions.
- ▪Democrats have criticized the settlement, calling it unconstitutional and a means for Trump to benefit politically.
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Politics Trump Drops $10 Billion IRS Lawsuit, DOJ Confirms Lawfare Compensation Fund Lucy Spence Contributor May 18, 2026 2:00 PM ET May 18, 2026 2:00 PM ET Lucy Spence Contributor Font Size: const observer = new MutationObserver((mutations) => { const adDivToHide = document.querySelector("#dailycaller_incontent_1"); if (adDivToHide && dc_noads_page) { adDivToHide.classList.add("hide-premium", "hide-free"); observer.disconnect(); console.log("Ad div found and hidden"); } }); observer.observe(document.body, { childList: true, subtree: true }); President Donald Trump voluntarily moved to dismiss a $10 billion lawsuit against the Internal Revenue Service (IRS) on Monday, instead establishing a compensation fund for those targeted by government lawfare, according to a federal court filing.
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