concern

Court filings have indicated that lawyers for President Donald Trump are seeking a resolution with the Department of Justice over a $10bn lawsuit he filed against the Internal Revenue Service (IRS).

But the trouble, critics say, is that such a settlement would leave Trump essentially negotiating with an executive branch under his control.

Friday’s court filing, however, emphasises the efficiency of seeking a settlement.

In the document, Trump’s lawyers call for the case to be paused for 90 days to allow a resolution to be hammered out.

“This limited pause will neither prejudice the parties nor delay ultimate resolution,” the filing says. “Rather, the extension will promote judicial economy and allow the Parties to explore avenues that could narrow or resolve the issues efficiently.”

How did the case start?

The case stems from an incident that began in 2017, when a worker named Charles “Chaz” Littlejohn was re-hired as a contractor through the government consulting firm Booz Allen.

While working on IRS files, Littlejohn stole copies of Trump’s tax returns, which had been the source of prolonged public scrutiny.

Until Trump, every president since Richard Nixon had released their tax returns as a gesture of transparency. Trump, however, claimed he could not, citing ongoing audits.

The tax returns Littlejohn stole were ultimately released to the media, and in 2020, The New York Times released a series of articles that showed Trump paid no income taxes in 10 of the 15 preceding years.

Other years, he paid relatively small sums, like $750, because he reported more losses than gains. ProPublica also ran stories based on the leaked tax returns, highlighting inconsistencies and Trump’s low tax payments.

Privacy law protects taxpayer information from being released by the IRS without explicit permission. Littlejohn was sentenced to five years in prison in 2024.

But in late January of this year, Trump filed a lawsuit arguing that he, his businesses and his sons Eric and Donald Jr had suffered “significant and irreparable harm” from the leaks.

The defendants in the lawsuit were the IRS and its overseeing body, the Treasury Department, both of which are part of the executive branch.

“Defendants have caused Plaintiffs reputational and financial harm, public embarrassment, unfairly tarnished their business reputations, portrayed them in a false light, and negatively affected President Trump and the other Plaintiffs’ public standing,” the lawsuit reads.

Questions of ethics and legality

But experts have warned that the lawsuit contains flaws that would normally prompt the Justice Department, also under Trump’s control, to seek dismissal.

The lawsuit, for instance, arrives at its whopping $10bn sum by supposedly tallying up media references to Trump’s leaked tax returns.

However, experts say the formula for damages is calculated by the number of unauthorised disclosures by a government employee, not by media re-printings.

Then there is the question of Littlejohn’s employment status. He was an outside contractor, not a government employee.

Trump also has to contend with the two-year statute of limitations in the case. The lawsuit contends that “President Trump did not discover the numerous violations” of his tax returns until January 29, 2024.

But critics point out he had posted on social media about his tax information being “illegally obtained” as far back as 2020, when The New York Times published its series.

Opponents say the lawsuit should be dismissed or at least delayed until Trump is no longer president. Otherwise, they argue it represents a conflict of interest, with Trump fundamentally negotiating with his own administration for a payout.

Controlling ‘both sides of the litigation’

Trump himself has acknowledged that such a payment would “never look good”. But he has justified the sum by saying it would be donated to charity.

“Nobody would care because it’s going to go to numerous very good charities,” he said in February.

Even that, legal experts argue, could run afoul of the Emoluments Clause in the US Constitution, which prohibits the president from profiting off his position, apart from his salary.

Government watchdogs have attempted to stop a settlement from unfolding. On February 5, for instance, the group Democracy Forward filed an amicus brief arguing the court should act to prevent an abuse of power.

“This case is extraordinary because the President controls both sides of the litigation, which raises the prospect of collusive litigation tactics,” the brief explains.

“To treat this case like business as usual would threaten the integrity of the justice system and the important taxpayer and privacy protections at the heart of this case.”

But the $10bn IRS lawsuit is not the only case Trump is seeking to settle with his own government. In 2023 and 2024, Trump filed administrative complaints seeking compensation for federal investigations he considered to be unfair.

One complaint concerns an FBI investigation into alleged Russian interference in the 2016 election, and the other is about the FBI’s raid of Trump’s Mar-a-Lago estate after he refused a subpoena to return classified documents.

For those complaints, Trump is reportedly seeking additional damages to the tune of $230m.

WASHINGTON — President Trump had something urgent to address while flying back to Washington from his Mar-a-Lago estate on a recent Sunday.

It wasn’t the Iran war, nor the partial government shutdown over Department of Homeland Security funding. He was focused on a monumental issue of a different kind, hoisting artist renderings of the $400-million White House ballroom he’s building, complete with hand-carved “top-of-the-line” Corinthian columns.

“I’m so busy that I don’t have time to do this. I’m fighting wars and other things,” Trump said before extensively detailing plans for “the greatest ballroom anywhere in the world.”

His divided attention has become a Democratic point of attack and a concern for some Republicans who worry he’s not spending enough time on issues that voters care most about ahead of November’s midterm races.

The contrast was on full display Thursday, when, as Trump flew to Las Vegas to discuss tax cuts for Americans earning tips, his administration was pushing ahead with another of his splashy projects: Plans to build a 250-foot Triumphal Arch near the Lincoln Memorial replete with a Lady Liberty-like statue and a pair of golden eagles.

The president’s ability to speak to the concerns of working people has always seemed incongruous with his biography as a billionaire real estate developer. Yet his populist policies and emphasis on the economy during his 2024 campaign helped catapult him back to the White House.

Republican strategist Rick Tyler noted that, when Trump first ran for president in 2016, his wealth was a selling point.

“While other people, like Mitt Romney, played down how rich he was, Trump was giving free helicopter rides at the Iowa State Fair,” Tyler said. “People loved it.”

Still, Trump’s preoccupation with some of the gilded trappings of the presidency, as more Americans worry about bills, has drawn accusations that he’s a modern-day Marie Antoinette.

“ ‘Fighting wars’ and surging gas prices, yet Trump has time to brag about his billionaire backed ballroom,” Sen. Andy Kim (D-N.J.) responded on X to Trump’s Air Force One presentation.

Democratic California Gov. Gavin Newsom, a potential 2028 presidential hopeful, has been more direct in comparing Trump to the last queen before the French Revolution, who has come to embody extravagant opulence — even posting an AI-generated image of Trump’s face on her body on social media.

“TRUMP ‘MARIE ANTOINETTE’ SAYS, ‘NO HEALTH CARE FOR YOU PEASANTS, BUT A BALLROOM FOR THE QUEEN!’” Newsom wrote in October 2025, at the start of last fall’s 43-day government shutdown.

White House says Trump’s success benefits all Americans

Asked about opponents invoking Marie Antoinette, White House spokesman Davis Ingle said Trump “is going to go down in history as the most successful and consequential president in our lifetime.”

“His successes on behalf of the American people will be imprinted upon the fabric of America and will be felt by every other White House that comes after him,” Ingle said in a statement.

The president faced similar critiques during his first term. But lately he’s been unabashed about accusations he’s disconnected from Americans’ worries about high costs, which could leave Republicans with an uphill battle to retain control of Congress.

Republicans have been loath to question Trump, though notably there has been little criticism of a federal judge’s ruling that work on the project must stop until it has congressional approval. The GOP-controlled House and Senate also haven’t prioritized legislation to move the ballroom project forward.

“I’m not much into architecture,” Republican Sen. John Kennedy of Louisiana said last fall.

About two-thirds of Americans said Trump is “out of touch” with the concerns of most people in the United States today, according to an ABC News/Washington Post/Ipsos poll from February, though the same percentage said the same about the Democratic Party.

Presidents are usually removed from voters, separated by layers of security and surrounded by adoring subordinates. In her book “Why Presidents Fail and How They Can Succeed Again,” Elaine Kamarck argues that presidents get too focused on their own political narratives rather than the public’s concerns. Yet, when it comes to Trump, “All of this stuff is frankly unique to him.”

She pointed to the ballroom as well as Trump’s other White House renovations, soon adding his signature to paper currency and renaming the Kennedy Center after himself.

“It’s a reflection, I think, of his own background as a businessman and somebody who made his fortune selling his name,” said Kamarck, who worked in Bill Clinton’s White House.

While Trump focuses on the ballroom and other Washington projects, some public work projects in other parts of the country have languished.

Joe Meyer, the former mayor of Covington, Ky., spent years pushing for critical improvements to the Brent Spence Bridge connecting his town with Cincinnati, a project listed as a top federal priority dating back to Trump’s first administration.

Federal funds for improvements were approved under President Biden but held up by a Trump-ordered review. Work is finally set to begin later this year, though delays will likely limit design options and slow the project, Meyer said.

“The ballroom is Washington inside-baseball,” Meyer said. “The bridge is just a wreck. It’s frustration that we’ve been dealing with forever.”

A $100 tip and a golden tractor

Trumpeting new tax deductions for tips, Trump staged ordering McDonald’s to the Oval Office — which he has adorned with gold flourishes — and tipped the grandmother making the delivery $100. When she described large medical bills from her husband’s cancer treatments, Trump said she should bring him to an upcoming UFC fight on the White House lawn.

When hundreds of farmers were invited to the White House for an agricultural policy speech, they stood on the South Lawn beside a tractor that had been painted gold. It drizzled, but Trump stayed dry, addressing them from a covered second-floor balcony.

“You don’t mind rain,” the president told the farmers below.

He then flew to Miami for a conference of Saudi investors who, the president noted, were too rich to be impressed by U.S. families scrounging to save up $5,000.

“I know they’re looking like, ‘What the hell is $5,000?’ ” Trump joked. “Their shoes cost them more than $5,000.”

When asked in February, meanwhile, for his message to young people wanting to buy a home, Trump replied: “Save a little longer. Wait a little longer.”

Members of the Cabinet have also fed the perception that Trump’s promised “Golden Age” may not be arriving for everyone. Health Secretary Robert Kennedy Jr. advised Americans to buy liver instead of beef.

“If you go and buy a steak, it’s still pretty expensive. But if you buy the cheaper cuts, it’s great meat. And it is very, very affordable. Or liver, or, you know, all these alternatives,” he told podcast host Joe Rogan.

Agriculture Secretary Brooke Rollins said people could still afford meals consisting of “a piece of chicken, a piece of broccoli, corn tortilla and one other thing.”

Texas-based Republican consultant Brendan Steinhauser said he thinks that Trump “can kind of get away with” building a ballroom because voters have come to expect that from him as a brash dealmaker and businessman.

But Steinhauser said he worries that dramatic increases in gas prices and a potentially weakening economy could resonate with voters. Ahead of the midterms, Steinhauser said, Democrats could score points “trying to make it more about Trump and his oligarch friends.”

Price and Weissert write for the Associated Press. AP writers Linley Sanders in Washington and Ali Swenson in New York contributed to this report.