President Donald Trump files to voluntarily dismiss his $10 billion lawsuit against the Internal Revenue Service over the 2019 leak of his tax return information to news outlets, according to multiple reports. The motion to dismiss and notice of voluntary dismissal are filed in federal court in Miami, and lawyers inform the judge that the case is being withdrawn. The original civil suit sought an 11-figure payout and cited a federal law that allows individuals to pursue damages against the government for breaches related to the handling of information.
Several outlets report that the dismissal is linked to a planned U.S. Department of Justice compensation mechanism. The government is described as creating an approximately $1.8 billion fund—sometimes characterized as an “Anti-Weaponization” or “lawfare” fund—to compensate people who claim they were persecuted or targeted based on investigations or prosecutions associated with the previous administration. Bloomberg also reports the settlement includes terms under which the IRS agrees not to continue certain legal claims or investigations tied to Trump’s past tax returns, as part of the broader resolution.
Reports also note that the administration is considering the fund to benefit alleged “lawfare” or persecution victims, including Trump’s allies.
