The U.S. Justice Department has granted President Donald Trump, his family, and his businesses immunity from any pending IRS audits, dramatically expanding a settlement that also established a nearly $1.8 billion fund for victims of alleged political “lawfare.”

In a one-page addendum posted quietly to the DOJ’s website Tuesday, Acting Attorney General Todd Blanche declared the IRS is “FOREVER BARRED and PRECLUDED” from pursuing claims against Trump, “related or affiliated individuals,” and associated trusts and businesses arising from tax returns filed before Monday’s settlement. The Justice Department said the waiver applies only to existing audits, not future examinations.

The addendum amends a nine-page settlement announced Monday, in which Trump dropped a $10 billion lawsuit against the IRS over the leak of his tax returns to media outlets between 2018 and 2020. In exchange, the DOJ established a $1.776 billion “Anti-Weaponization Fund” to compensate individuals who claim they were unfairly targeted by law enforcement under the Biden administration.

Trump will receive a formal apology but no direct monetary payment.

Democrats immediately condemned the expanded settlement. Senator Adam Schiff (D-Calif.) accused the administration of corruption and “self-dealing”. Richard Painter, White House ethics lawyer under President George W. Bush, said exempting a sitting president from tax obligations could violate the Constitution’s domestic emoluments clause.

Former IRS commissioners also raised alarms. John Koskinen (2013-2017) called it a “terrible precedent” that could generate a “windfall” for Trump. Danny Werfel (2023-2025) said he was “unaware of a single precedent where the IRS has agreed in advance to permanently forgo examination of previously filed tax returns for a specific person or business”.

The Anti-Weaponization Fund, which critics have labeled a “slush fund,” will be administered by a five-member commission, four of whom will be directly appointed by Blanche. Testifying before the Senate Appropriations subcommittee Tuesday, Blanche said the fund is nonpartisan and “anybody in this country is eligible to apply if they believe they were a victim of weaponisation”. Senate Majority Leader John Thune (R-S.D.) has expressed skepticism about the fund’s creation.