Advertisement

Top House Democrat sets new deadline for IRS to turn over Trump’s tax returns

House Ways and Means Committee Chairman Richard Neal (D-Mass.) arrives for a Democratic Caucus meeting at the Capitol in Washington earlier this month.
(J. Scott Applewhite / Associated Press)
Share via

A top House Democrat on Saturday ratcheted up his demand for access to President Trump’s tax returns, telling the IRS that the law clearly gives Congress a right to them. The government’s failure to respond by an April 23 deadline could send the dispute to federal court.

The move by Rep. Richard Neal (D-Mass.), the House Ways and Means Committee chairman, comes after the Trump administration asked for more time to consider his initial requested last week. Neal has demanded six years of Trump’s personal and business tax returns.

Neal argues that a 1920-era law saying the IRS “shall furnish” any tax return requested by Congress “is unambiguous and raises no complicated legal issues” and that the Treasury Department’s objections lack merit.

Advertisement

The letter to IRS Commissioner Charles Rettig is the latest heave in a tug of war over Trump’s returns, which would give lawmakers far greater insight into the president’s business dealings and potential conflicts of interest as it exercises its oversight role.

Trump declined to provide his tax information as a candidate in 2016 and as president, something major party nominees have traditionally done in the name of the transparency. By withholding his tax returns, Trump defied the standard followed by presidents since Richard Nixon started the practice in 1969.

During the campaign, Trump said he wanted to release his tax returns but couldn’t because they were being audited. But there’s no legal barrier to a person under audit releasing their returns. And after the November midterm elections, Trump claimed at a news conference that the filings were too complex for people to understand.

Advertisement

RELATED: Trump won’t publicly release his tax returns. Politicians shouldn’t have to (Column) »

Asked repeatedly at a House hearing Tuesday whether any regulation prohibited a taxpayer from disclosing returns when under audit, Rettig responded, “No.”

The issue appears sure to end up in federal court. With an eye to a legal challenge, Neal told Rettig that he has two weeks to respond — by 5 p.m. on April 23. If Rettig fails to do so, Neal said he will interpret that as denying the request, which could pave the way for a court battle. Neal also could seek the returns through a subpoena.

Advertisement

Treasury Secretary Steven T. Mnuchin, who oversees the IRS, told Neal this past week that he needs more time to consider the unprecedented demand for Trump’s returns and needs to consult with the Justice Department about it.

Mnuchin accused lawmakers of seeking Trump’s returns for political reasons. But he also acknowledged his “statutory responsibilities” and that he respects congressional oversight. Some Treasury watchers observe that Mnuchin’s decision to consult with the Justice Department could suggest that Treasury lawyers believe Neal has a legal right to Trump’s returns.

Neal said Saturday that the administration has no right “to question or second guess” his motivations.

Trump’s acting chief of staff, Mick Mulvaney, has said Democrats will “never” see the returns, “nor should they,” and “they know it.” Mulvaney has tried to frame the issue of the president’s taxes as old news, saying it was “already litigated during the election” and the American people “elected him anyway.”

William Consovoy, whose firm was retained by Trump to represent him on the matter, has written the Treasury Department’s general counsel and said the congressional request “would set a dangerous precedent” if granted and that the IRS cannot legally divulge the information.

Advertisement