DOJ Gives Trump "Absolutely Insane" Pass From Tax Audits

On Tuesday (May 19), the Department of Justice (DOJ) issued an order granting President Donald Trump immunity from ongoing investigations into his taxes, with the order also covering his family members and his trusts. 

The one-page document for the order, which states that the United States is “FOREVER BARRED and PRECLUDED from prosecuting or pursuing” Trump and his interests, was signed by Acting Attorney General Todd Blanche. It was attached to another statement announcing the creation of a nearly $2 billion fund as part of a settlement of a $10 billion lawsuit filed by Trump against the Internal Revenue Service (IRS), which is expected to benefit his allies.

Critics marveled with outrage at the brazenness of the order, which was posted on the DOJ’s website. Federal law bars the president, vice president and other executives from issuing something of that nature. It appears that Blanche is seeking to take advantage of a carveout provision in 26 U.S. Code § 7217.

The DOJ’s new order would still be illegal, according to New York University senior attorney advisor Brandon DeDot. “The I.R.S. would need to act to make the release of claims effective, which could raise additional questions about whether there has been unlawful political interference in the audit process,” DeDot said. “The settlement and general release of claims is a breathtaking abuse of the tax and legal system.”

The move has also rankled Democrats and some Republicans who were already opposed to the creation of the fund. “This all seems to be an obvious abuse of power by the Department of Justice, by the president. He negotiated essentially with himself. You’re his appointee, the IRS are his appointees, he’s the plaintiff,” Democratic Senator Jack Reed of Rhode Island said. “And the American people, I don’t think, are surprised that suddenly all this money is going to his friends or people that are in his orbit.”

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