President Donald Trump is withdrawing a $10 billion [1] lawsuit against the Internal Revenue Service, according to a court filing on Monday.
The move ends a high-stakes legal battle between the former president and the federal tax agency. This withdrawal removes a significant financial claim from the federal court system and halts the pursuit of a multi-billion dollar settlement.
Attorneys for Trump filed the document in the U.S. District Court on May 18, 2026 [2]. The filing indicates that the former president is officially dropping the case, which sought damages totaling $10 billion [1].
Legal representatives said they did not provide a detailed reason for the decision to withdraw the suit. The case had been centered on disputes with the IRS, but the filing on Monday effectively closes the matter in the federal court.
Because the lawsuit is being dropped, the court will no longer preside over the claims. The $10 billion [1] figure represented one of the largest individual claims ever filed against the agency. The filing was processed by the U.S. District Court on Monday [2].
“President Donald Trump is withdrawing a $10 billion lawsuit against the Internal Revenue Service”
The withdrawal of this lawsuit prevents a potential legal precedent regarding the liability of the IRS for damages. By dropping a claim of this magnitude, the former president avoids a definitive court ruling on the merits of his allegations, while the government avoids the risk of a massive financial judgment.
