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Trump Administration Moves to Strip Harvard’s Tax-Exempt Status in Escalating Standoff

The Treasury Department has formally asked the IRS to revoke Harvard’s nonprofit status, intensifying legal and financial tensions over federal authority and academic freedom.

Students, faculty and members of the Harvard University community rally, Thursday, April 17, 2025, in Cambridge, Mass. (AP Photo)
Archon Fung, professor at the John F. Kennedy School of Government, addresses students, faculty and members of the Harvard University community rally, Thursday, April 17, 2025, in Cambridge, Mass. (AP Photo/Charles Krupa)
Students, faculty and members of the Harvard University community rally, Thursday, April 17, 2025, in Cambridge, Mass. (AP Photo/Charles Krupa)

Overview

  • President Trump has called for Harvard University to lose its tax-exempt status, alleging the institution fails to act in the public interest and promotes ideological agendas.
  • On April 17, the Treasury Department officially requested the IRS to revoke Harvard’s nonprofit designation, marking a significant escalation in the administration's actions against the university.
  • Harvard and legal experts argue the move lacks legal basis, citing constitutional protections, nonprofit law safeguards, and prohibitions on ideological targeting by the IRS.
  • Revoking Harvard’s tax-exempt status would have severe financial consequences, including diminished student aid, reduced research funding, and challenges to donor contributions.
  • The legal precedent for such a revocation is limited, with only one prior case—Bob Jones University in 1983—where tax-exempt status was removed for violating fundamental public policy.