Decision on Harvard’s tax-exempt status expected soon – reports
The Internal Revenue Service (IRS) is making plans to rescind Harvard University’s tax-exempt status, with a final decision expected soon, according to multiple reports.
Some IRS officials have told colleagues that the treasury department asked the agency on Wednesday to consider revoking Harvard’s tax exemption, the New York Times reported.
Linda McMahon, the education secretary, said she doesn’t know whether Harvard will lose its tax-exempt status but argued “it was certainly worth looking into.”
“We’ll see what IRS comes back with relative to Harvard,” McMahon told CNN.
I certainly think, you know, in elitist schools, especially that have these incredibly large endowments, you know, we should probably have a look into that.
Donald Trump on Tuesday publicly called for Harvard to lose its tax-exempt status, hours after his administration announced a $2.2bn freeze in federal funds to Harvard.
“Perhaps Harvard should lose its Tax Exempt Status and be Taxed as a Political Entity if it keeps pushing political, ideological, and terrorist inspired/supporting “Sickness?” Trump wrote on Truth Social. “Remember, Tax Exempt Status is totally contingent on acting in the PUBLIC INTEREST!”
According to the Times, federal law bars the president from either directly or indirectly requesting the IRS to investigate or audit specific targets.
The IRS has previously revoked tax exemptions from organizations for political or commercial activities, but federal law gives non-profits the right to appeal the agency’s decision in court.
“To my knowledge, this is the first time an administration has tried something like this,” R William Snyder, accounting and taxes professor at George Mason University’s Costello College of Business, told CNN.
Key events
White House considering deep cuts to federal housing programs – report
The White House is preparing a budget that could include deep cuts to federal housing, including a sweeping overhaul of aid to low-income families, according to a New York Times report.
The potential changes primarily concern federal housing vouchers, including those more commonly known as Section 8, the paper writes.
Section 8 helps low-income families, elderly persons, veterans and disabled individuals cover the monthly costs of apartments, town homes and single-family residences.
The overhaul would be reportedly included in Donald Trump’s new budget, which is expected to be sent to Capitol Hill in the coming weeks.
Talks between Iran and the US over Tehran’s nuclear program are in a “very crucial” stage, the head of the UN’s nuclear watchdog said.
Iran and US are expected to meet on Saturday in Rome for a new round of talks after last weekend’s first meeting in Oman.
“We know that we are in a very crucial, I would say, stage of this important negotiation, so I want to concentrate on the positive,” International Atomic Energy Agency chief Rafael Grossi said.
There is a possibility of a good outcome. Nothing is guaranteed. We need to make sure that we put all of the elements in place … in order to get to this agreement.
Grossi was speaking during a visit to Iran, during which he met with the country’s foreign minister Abbas Araghchi.
Several international students who have had their visas revoked in recent weeks have filed lawsuits against the Trump administration, arguing the government denied them due process.
The actions by the federal government to terminate students’ legal status have left hundreds of scholars at risk of detention and deportation.
Their schools range from private universities such as Harvard and Stanford to large public institutions such as the University of Maryland and Ohio State University and to some small liberal arts colleges.
At least 901 students at 128 colleges and universities have had their visas revoked or their legal status terminated since mid-March, according to an Associated Press review of university statements and correspondence with school officials.
In lawsuits against the Department of Homeland Security (DHS), students have argued the government lacked justification to cancel their visa or terminate their legal status.
Trump administration to target university investments – report
The Trump administration plans to focus on the financial investments of elite universities as part of the next phase of Donald Trump’s war on top universities, according to a report.
White House officials plan to examine investments in areas disfavored by Trump, including clean energy and China, Semafor reports, citing sources.
It comes after Trump announced pauses in federal funding on some of the top US universities he accuses of antisemitism and pushing progressive ideology, and as the IRS is reportedly preparing to revoke Harvard University’s tax-exempt status.
Semafor cites a White House memo from February that states:
It is past time for American universities to stop supporting foreign adversaries with their investment decisions, much as they should stop granting university access to supporters of terrorism.
Schumer calls for federal hate crime investigation into Shapiro arson attack
Senate minority leader Chuck Schumer has called on the Department of Justice to investigate whether the arson attack on Pennsylvania governor Josh Shapiro’s home constitutes a hate crime.
In a letter to attorney general Pam Bondi, Schumer wrote:
While the local district attorney has not yet filed hate-crime charges, he acknowledged that Governor Shapiro’s religion appears to have factored into the suspect’s decisions.
Schumer referred to revelations contained in search warrants made public yesterday about the arson attack suspect’s comments signaling support for Palestinians.
According to a search warrant in the case, 38-year-old Cody Balmer identified himself by name in a 911 call and said Shapiro “needs to know that he ‘will not take part in his plans for what he wants to do to the Palestinian people’”.
The suspect’s statements, “in conjunction with the timing of the attack during Passover, Governor Shapiro’s visible embrace of his Jewish faith, and the context of rising antisemitism globally and across the country” raise “serious concerns about antisemitic motivation”, Schumer wrote.
Illinois congresswoman Delia Ramirez, a Democrat, has requested a congressional delegation to visit the Salvadorian mega-prison where the Trump administration is sending deportees.
Among those who have been sent to the Terrorism Confinement Center (Cecot) in El Salvador is Kilmar Ábrego García, whom the Trump administration admitted to wrongly deporting but has refused to bring back.
In a statement on Wednesday, Ramirez said she had sent a letter to the Committee on Homeland Security demanding an oversight visit to Cecot, which she described as a “notorious, off-shore prison with a history of gross human rights violations”.
President Trump and Secretary Noem deported Kilmar Armando Abrego Garcia, Andry Hernandez Romero, Jerce Reyes Barrios and hundreds of others to Cecot with no due process, resulting in ‘administrative errors’. Their actions are illegal, unconstitutional and inhumane.
Maryland’s Democratic senator Chris Van Hollen traveled to El Salvador on Wednesday but said his request to visit Ábrego García was denied.
Several other Democratic lawmakers have signaled that they would like to visit El Salvador to check on Ábrego García, including Adriano Espaillat, chair of the Congressional Hispanic caucus, and Robert Garcia and Maxwell Alejandro Frost, both members of the House oversight committee.
Decision on Harvard’s tax-exempt status expected soon – reports
The Internal Revenue Service (IRS) is making plans to rescind Harvard University’s tax-exempt status, with a final decision expected soon, according to multiple reports.
Some IRS officials have told colleagues that the treasury department asked the agency on Wednesday to consider revoking Harvard’s tax exemption, the New York Times reported.
Linda McMahon, the education secretary, said she doesn’t know whether Harvard will lose its tax-exempt status but argued “it was certainly worth looking into.”
“We’ll see what IRS comes back with relative to Harvard,” McMahon told CNN.
I certainly think, you know, in elitist schools, especially that have these incredibly large endowments, you know, we should probably have a look into that.
Donald Trump on Tuesday publicly called for Harvard to lose its tax-exempt status, hours after his administration announced a $2.2bn freeze in federal funds to Harvard.
“Perhaps Harvard should lose its Tax Exempt Status and be Taxed as a Political Entity if it keeps pushing political, ideological, and terrorist inspired/supporting “Sickness?” Trump wrote on Truth Social. “Remember, Tax Exempt Status is totally contingent on acting in the PUBLIC INTEREST!”
According to the Times, federal law bars the president from either directly or indirectly requesting the IRS to investigate or audit specific targets.
The IRS has previously revoked tax exemptions from organizations for political or commercial activities, but federal law gives non-profits the right to appeal the agency’s decision in court.
“To my knowledge, this is the first time an administration has tried something like this,” R William Snyder, accounting and taxes professor at George Mason University’s Costello College of Business, told CNN.
An immigration judge denied bond to a Tufts University PhD student who was detained by US Immigration and Customs Enforcement (Ice) agents outside her Massachusetts apartment because her student visa had been revoked.
Rümeysa Öztürk, a Turkish doctoral student at Tufts University, was targeted by the Trump administration for arrest, detention and deportation in retaliation for an op-ed she co-authored in her student newspaper, according to her lawyers.
Öztürk’s attorneys said the immigration ruling on Wednesday was a “complete violation of due process and the rule of law”.
Ms. Öztürk has committed no crime and DHS has provided zero evidence in their case against her. Despite that, the court yesterday relied on a previously submitted State Department memo that points to nothing that Ms. Öztürk said or did — other than her 2024 school newspaper op-ed — to falsely claim she is a danger to her community.
Öztürk is one of several international university students facing deportation over their involvement in pro-Palestinian protests and activism on college campuses.
Phillip Inman
The European Central Bank cut its main interest rate to 2.25% from 2.5% today in response to slowing growth and Donald Trump’s tariffs.
The Frankfurt-based bank cut its benchmark deposit rate to tackle a slowdown in the bloc and the impact from the border taxes imposed earlier this month on all EU imports into the US.
It marks the third time this year that the cost of borrowing fell across the 20-member euro area.
Financial markets expect central banks in all major economies to cut interest rates this year as tariffs hit global trade and slow growth.
Italy’s Giorgia Meloni to meet Trump amid tariff standoff with Europe
Donald Trump is set to meet with Italian prime minister, Giorgia Meloni, at the White House today, marking the first visit by a European leader since Trump announced tariffs on EU imports.
The EU faces 25% import tariffs on steel and aluminum and cars, and broader tariffs on almost all other goods.
Posting to Truth Social this morning, Trump said he had a “very productive” call with Mexico’s president, Claudia Sheinbaum, and also a “very productive” meeting with the “highest level” Japanese trade representatives.
“Every Nation, including China, wants to meet!” he wrote. “Today, Italy!”
Meloni, the leader of Italy’s most right-wing government in decades, was the only EU leader invited to Trump’s inauguration in January. Trump has previously described her as a “fantastic woman”.
The two leaders are expected to hold talks and have lunch during Meloni’s day visit to Washington. She is then scheduled to host vice-president JD Vance in Rome later this week.
Today’s meeting will be closely watched. On one hand, it is an ideal opportunity for Meloni to demonstrate an affinity with Trump, with whom her natural political tendencies lie, while boosting her credentials as a conduit towards more meaningful dialogue.
On the other, it will be a delicate balancing act for the prime minister, who also knows she must be careful to maintain her allegiance to Italy’s EU partners.
Joe Biden applauds Harvard for standing up to Trump
Joe Biden visited Harvard University on Wednesday, during which he applauded its decision to defy demands from the Trump administration.
According to the Harvard Crimson, the former president attended a private seminar in which he said Harvard had “stepped up in a way no one else has”.
Asked if Harvard should pursue legal action, Biden said he believed it should “just do what it’s doing – lifting everybody up”.
Biden’s comments came after another former US president, Barack Obama, praised Harvard for having “set an example for other higher-ed institutions – rejecting an unlawful and ham-handed attempt to stifle academic freedom”.
Donald Trump said Federal Reserve chair Jerome Powell’s termination “cannot come fast enough”, while calling for the US central bank to cut interest rates.
In a post on his social media platform Truth Social, Trump reiterated his stance on rate cuts, saying that Powell “should have lowered interest rates, like the ECB, long ago, but he should certainly lower them now”.
Dharna Noor
Conservationists on Wednesday sued the Trump administration over its attempts to boost the oil industry by rolling back green policies.
Filed by the environmental non-profit Center for Biological Diversity, the litigation focuses on Trump’s day-one “unleashing American energy” executive order. In an effort to boost already booming US energy production, the emergency declaration directed federal agencies to identify all policies and regulations that “unduly” burden fuel producers and create “action plans” to weaken or remove them.
The lawsuit seeks information about the development of these action plans from four federal agencies: the Department of the Interior, the Department of Commerce, the Environmental Protection Agency (EPA) and the Department of Agriculture’s Forest Service.
Since the executive order was passed, the administration has announced plans to eliminate scores of other green policies. Last week, for instance, it emerged that the EPA plans to eliminate long-standing requirements for polluting companies to collect and report their greenhouse gas emissions, ProPublica reported.
IRS considers revoking Harvard tax-exempt status, reports say
The IRS is considering revoking Harvard’s tax-exempt status, marking an escalation in the Trump administration’s efforts to pressure the university, according to the New York Times.
On Tuesday, Donald Trump called for Harvard to pay taxes, as part of an ongoing push for changes to its hiring, admissions and curriculum.
Sources said IRS officials told colleagues the treasury department requested the agency consider revoking Harvard’s tax-exempt status on Wednesday.
Anna Betts
Donald Trump has declared that Harvard University should no longer receive federal funds, calling it a “joke” that “teaches hate and stupidity”, while his administration said the pre-eminent US university could lose its ability to enrol foreign students.
Harvard made headlines on Monday by becoming the first university to stand up against a series of onerous demands from the Trump administration, setting the stage for a showdown between the federal government and one of the US’s most prestigious institutions.
The Trump administration swiftly retaliated by announcing it would freeze more than $2bn in multiyear grants and contracts with the university. On Wednesday it was also reported by CNN that the Internal Revenue Service (IRS) was planning to take away Harvard’s tax-exempt status.
Numerous Democratic politicians and top universities across the country have rallied in support of Harvard, but the Trump administration has doubled down, threatening to strip Harvard of its tax-exempt status and insisting that the university apologize.
The Department of Homeland Security (DHS) said late on Wednesday that Harvard would lose its ability to enrol foreign students if it did not meet demands the Trump administration demands to share information on some visa holders. The department’s secretary, Kristi Noem, also announced the termination of two DHS grants to Harvard totalling more than $2.7m.
Noem said she wrote a letter to the university demanding records on what she called the “illegal and violent activities” of Harvard’s foreign student visa holders by 30 April. “And if Harvard cannot verify it is in full compliance with its reporting requirements, the university will lose the privilege of enrolling foreign students,” she said in a statement.
A spokesperson for Harvard said it was aware of Noem’s letter and that the university stood by its statement earlier in the week to “not surrender its independence or relinquish its constitutional rights”, while saying it would comply with the law.
Trump says Fed chair Powell’s ‘termination cannot come fast enough’
Donald Trump blasted Federal Reserve chair Jerome Powell on Thursday for not lowering interest rates, calling him “always TOO LATE AND WRONG”.
“Powell’s termination cannot come fast enough,” Trump wrote on his Truth Social platform. “Too Late should have lowered Interest Rates, like the ECB, long ago, but he should certainly lower them now.”
The central bank’s chair warned on Wednesday that Trump’s sweeping tariffs on virtually every trade partner could put the Fed in the unenviable position of having to choose between tackling inflation and unemployment.
Trump’s stop-start tariff policy has unnerved investors and trading partners unsure about the long-term strategy, and what it might mean for international trade.
Agence France-Presse (AFP) reports that Trump has repeatedly urged Powell to cut interest rates, but the US central bank has adopted a wait-and-see attitude, holding interest rates steady at 4.25% to 4.5% since the start of this year.
Jakub Krupa
And we have just heard from Moscow, with the Kremlin welcoming today’s meeting in Paris as a chance for Witkoff to update Europeans on his long conversation with Russian president Vladimir Putin last week.
“The United States is continuing to work in this direction with the Europeans and with the Ukrainians,” the Kremlin spokesperson, Dmitry Peskov, said.
“Unfortunately, from the Europeans we see a focus on continuing the war,” he said, as reported by Reuters.
US secretary of state, Marco Rubio, arrived in Paris on Thursday to meet French president, Emmanuel Macron, about crafting a Ukraine ceasefire, as Washington and Europe seek common ground on ending the fighting.
Top Ukrainian officials were also in the French capital to meet EU and US delegations, president Volodymyr Zelenskyy’s chief of staff said, without saying precisely who they were meeting, reports Agence France-Presse (AFP).
The latest diplomatic initiative comes as Trump’s push for a ceasefire has yet to bear fruit despite his pledges to quickly end the war. Zelenskyy himself urged the Paris talks participants to lean on Russia to agree to a ceasefire.
“Russia uses every day and every night to kill. We must put pressure on the killers … to end this war and guarantee a lasting peace,” Zelenskyy said in a Telegram post.
Rubio and Keith Kellogg, Donald Trump’s special envoy to Ukraine, arrived in Paris mid-morning. US envoy Steve Witkoff is also expected to join them.