Trump claims his tax return leaks devastated him financially, then names the federal agencies in a $10B suit

President Donald Trump has filed a $10 billion lawsuit against the Internal Revenue Service and the Treasury Department over the disclosure of his personal tax returns in 2019 and 2020. The lawsuit was filed in Miami federal court and alleges the agencies failed to safeguard highly sensitive financial information, as reported by Reuters.

The filing is unusual given that both agencies fall under the Executive Branch that Trump currently leads. The complaint argues the IRS and Treasury failed to take mandatory precautions to prevent an insider from accessing and leaking the records to multiple media outlets. Neither agency offered immediate comment after business hours following the filing.

Trump, his sons Donald Trump Jr. and Eric Trump, and the Trump Organization are all listed as plaintiffs. They allege the disclosures caused significant and irreparable harm to their reputations and financial interests, claiming the leaks negatively affected their public standing and business relationships.

Suing his own executive agencies marks a rare legal move

According to the complaint, the leaked tax information resulted in reputational damage, financial losses, public embarrassment, and what the plaintiffs describe as false portrayals of their businesses. The lawsuit also seeks punitive damages, alleging the disclosures were either willful or the result of gross negligence by the government agencies responsible for protecting the data.

The leaks were traced to former IRS contractor Charles Littlejohn, who prosecutors charged in September 2023. Court filings stated Littlejohn acted out of a political agenda when he disclosed tax records belonging to Trump and thousands of other wealthy Americans. Separate reporting has also tracked the Booz Allen contract fallout.

Littlejohn pleaded guilty to unauthorized disclosure of income tax return information and was sentenced to five years in prison in January 2024. Despite his conviction, the lawsuit argues the agencies remain liable for the security failures that allowed the disclosures to occur.

The complaint notes that one media outlet published at least eight articles based on the leaked data, while another published at least 50 articles derived from the same information. The plaintiffs argue that the volume of publication underscores why they believe a $10 billion judgment is warranted.

The filing is the latest in a series of high-dollar lawsuits Trump has initiated since winning a second term in 2024. He has previously filed multiple suits seeking damages ranging from $10 billion to $15 billion against media organizations and publishers over reporting he claims harmed his reputation or political prospects.

The lawsuit against the IRS and Treasury Department, along with several of Trump’s other recent legal actions, has been filed or assisted by Florida-based attorney Alejandro Brito. Amind broder coverage, there was a focus on the Alex Pretti video dispute.