IRS Eyes Tax Status Revocation for Harvard Amid Trump Threats

The Internal Revenue Service (IRS) is preparing to revoke Harvard University’s tax-exempt status in a retaliatory move as the Trump administration intensifies pressure on the institution for resisting its demands. Sources indicate that a final decision on this unprecedented action is imminent, following the administration’s blockade of over $2 billion in federal funding aimed at Harvard.

President Donald Trump has explicitly threatened to punish Harvard through social media, stating that the university should lose its tax exemption if it continues to promote what he describes as harmful political ideologies. In a recent post on Truth Social, he characterized Harvard as failing to act in the public interest, an accusation leveled as part of a broader, authoritarian campaign against institutions that challenge his administration’s agenda.

Education Secretary Linda McMahon has suggested that the IRS investigation into Harvard is warranted, indicating that the agency should also scrutinize other elite universities that have large endowments. Her comments echo the administration’s larger strategy of threatening academic institutions with funding cuts unless they align with its narrow definitions of political compliance, revealing a clear disregard for the principles of academic freedom.

The process for revoking tax-exempt status involves an extensive audit and a formal notification to the organization, but Trump’s administration is bypassing traditional procedures by directly threatening prestigious institutions. This approach marks a significant departure from IRS norms, where such actions are usually determined by career staff rather than political appointees. Observers note this trend reflects a dangerous precedent that jeopardizes the basic tenets of higher education.

With Harvard’s unwavering stance against the administration’s demands, the threat of rescinding its tax exemption is a clear move to silence dissent among academic institutions. This tactic not only undermines the principles of free inquiry and expression central to higher education but also reveals Trump’s ongoing efforts to weaponize federal power against those who oppose his authoritarian ideals.

(h/t: https://www.cnn.com/2025/04/16/politics/irs-harvard-tax-exempt-status/index.html)