Trump and the IRS are in talks to resolve his $10 billion lawsuit over leaked tax records

Donald TrumpTrump and the IRS are in talks to resolve his $10 billion lawsuit over leaked tax recordsThe president's lawsuit, filed this year, alleges that the IRS failed to take the necessary steps to prevent the unauthorized release of his tax documents.Listen to this article with a free account00:0000:00A contractor who worked for the IRS pleaded guilty in connection with leaking tax files to news outlets.Wesley Lapointe / The Washington Post via Getty Images fileShareAdd NBC News to GoogleApril 17, 2026, 11:31 PM EDTBy Gary Grumbach and Kyla GuilfoilAttorneys for President Donald Trump and the Internal Revenue Service told a federal court Friday that they’re in talks aimed at resolving a $10 billion lawsuit over leaked tax records tied to the president, his adult sons and his company.Subscribe to read this story ad-free Get unlimited access to ad-free articles and exclusive content.In a joint filing, the parties requested a 90-day pause on proceedings in the case while they “engage in discussions designed to resolve this matter and to avoid protracted litigation.”Trump sued the IRS and Treasury Department this year alleging the tax-collecting agency failed to take the necessary steps to prevent the unauthorized release of his tax documents by a government contractor who shared them with news outlets. The contractor, Charles Littlejohn, pleaded guilty and was sentenced in 2024 to five years in prison.Littlejohn admitted in court that he also stole the tax records of thousands of other wealthy people in 2019 and 2020, including Jeff Bezos and Elon Musk.The IRS in 2024 called Littlejohn's actions “unacceptable.”The agency did not immediately respond to a request for comment Friday night on the status of the potential settlement talks with Trump's attorneys.Add NBC News to GoogleTrump sues IRS, Treasury Department for $10 billion over leaked tax records00:32The lawsuit, which stated that Trump was suing in his personal capacity and not as president, also named...