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Audit Immunity for Trump Family Puts IRS in a Bind

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“President Trump’s return to office has been an unforgiving crucible for the hidebound Internal Revenue Service. He and his aides have decimated its ranks, fired and replaced its leaders and made repeated attempts to enlist the agency in his quest for political retribution,” the New York Times reports.

“Now, as part of an arrangement drawn up this week by Todd Blanche, the acting attorney general, the I.R.S. faces its most profound legal and ethical test yet: a demand to drop any audits of Mr. Trump, his family members or their affiliates.”

“Tax lawyers and former I.R.S. officials said such expansive protection would cut to the core of the agency’s mission to collect taxes in a disinterested, nonpartisan way — and could potentially run afoul of the laws governing how it does so.”

In a Rarity, Republicans Stand Up to Trump

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New York Times: “Through revenge primary campaigns, bullying social media posts and the threat that he can command the G.O.P. base to go after anyone at any time, Mr. Trump has brought lawmakers in his party under his control like no president in modern history. A single critical word against Mr. Trump or his agenda could result in a full-scale retribution campaign to force a disloyal Republican from office.”

“But this week, in a rarity in G.O.P. politics, Mr. Trump’s taunts, bullying and threats have backfired, at least for now. Senate Republicans, after the president targeted two of their own, stood up to Mr. Trump on two of his biggest priorities: money for his White House ballroom, and a $1.8 billion fund to reward Trump supporters who claim political persecution by Democrats, such as the rioters who attacked the Capitol on Jan. 6, 2021.”

Senate Republicans Hit Their Limit with Trump

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Punchbowl News: “Eventually, Senate Republicans were going to prioritize their own political survival over President Donald Trump’s wants and needs.”

“They have. But it just might be too late.”

“Despite the headwinds they knew they’d face in a midterm year, Republicans were confident their Senate majority wasn’t in real trouble. The 2026 Senate map is favorable to the GOP, and they’re starting with 53 seats. Losing the majority was once inconceivable.”

“Yet less than six months from Election Day, Trump’s approval numbers are historically bad. Many Republicans fear Trump is determined to bring them down with him — along with their shared legislative agenda.”

Limits of Power

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The latest episode of Trial Balloon is live.

Trump’s power over Republicans remains immense in primaries, but it is starting to hit real limits on Capitol Hill.

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Iran and Oman in Talks Over Strait of Hormuz Payments

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“Iran has discussed partnering with the Gulf state of Oman — an American ally — in a system charging fees for vessels passing through the Strait of Hormuz, ignoring the Trump administration’s warnings against demands for payment to pass through the critical international waterway,” the New York Times reports.

“It is unclear whether anything concrete will come out of the discussions. But the talks appear to signal that the United States and Iran are no closer to ending a war that has badly damaged the global economy despite repeated claims to the contrary by President Trump. At least publicly, neither side has shown a willingness to compromise.”

Republicans Say This Mess Is on Trump

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Punchbowl News: “Usually after a calamitous day like today, lawmakers spend hours filling our ears and heads with anecdotes about how their leadership screwed up.”

“But after Senate Majority Leader John Thune and Speaker Mike Johnson sent lawmakers home Thursday for the Memorial Day recess without passing the reconciliation bill, there is shocking unanimity about who is to blame.”

“President Donald Trump and his White House.”

“Republicans have tended to bite their tongue in the past when asked about Trump’s missteps. But not this time.”

Reflecting Pool Renovation Could Now Cost $20 Million

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“President Donald Trump said Thursday the price tag for his Reflecting Pool renovations in Washington, DC, will be ‘less than $20 million’ after he decided the exterior needed more work,” CNN reports. 

Said Trump: “I originally thought I’d do it for $2 or $3 million. Just do a base. But now we are fixing up the exterior of it so we will probably be in it for less than $20 million.”

Maine Could Be the Key to the Senate Majority

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Just for members: The latest Inside Elections.

This issue includes a deep dive into one of the most important Senate races in the country: Maine.

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DNC Chair Disowns His Party’s Own Autopsy Report

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DNC Chair Ken Martin disowned the leaked “autopsy report” for the 2024 election calling it not “ready for primetime,” NOTUS reports.

Said Martin: “I could not in good faith put the DNC’s stamp of approval on the report that was produced. After last November’s massive Democratic wins, I didn’t want to create a distraction, but by not putting the report out, I ended up creating an even bigger distraction. For that, I sincerely apologize.”

CNN obtained and published the report earlier today and then the DNC released it as well.

Trump Will ‘Try’ to Attend His Son’s Wedding

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President Trump said he’s going to try to make his eldest son Don Jr.’s wedding to Bettina Anderson this weekend, the New York Post reports.

Said Trump: “He’d like me to go, but it’s going to be just a small little private affair, and I’m going to try and make it.”

He added: “This is not good timing for me. Everything called Iran and other things.”

Thune Sends the Senate on Recess Early

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Senate Majority Leader John Thune (R-SD) is sending senators home until June, unable to chart a path forward on their reconciliation bill, Punchbowl News reports.

Senate Republicans are furious about President Trump’s plan for a $1.8 billion fund to compensate people who believe they were targeted by the government. Senators want to put restrictions on the fund as part of the reconciliation bill, which funds ICE and CBP.

The House is expected to send members home as well.

Fed Minutes Show More Officials Warned of Rate-Hike

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Bloomberg: “A majority of Federal Reserve officials warned the central bank would likely need to consider raising interest rates if inflation continued to run persistently above their 2% target.”

“In response to the same worries, ‘many’ officials during last month’s policy meeting called for the Fed to drop its easing bias and signal its next move could be an interest-rate increase, according to a record of the gathering.”

About Political Wire

goddard-bw-snapshotTaegan Goddard is the founder of Political Wire, one of the earliest and most influential political web sites. He also runs Political Job Hunt, Electoral Vote Map and the Political Dictionary.

Goddard spent more than a decade as managing director and chief operating officer of a prominent investment firm in New York City. Previously, he was a policy adviser to a U.S. Senator and Governor.

Goddard is also co-author of You Won - Now What? (Scribner, 1998), a political management book hailed by prominent journalists and politicians from both parties. In addition, Goddard's essays on politics and public policy have appeared in dozens of newspapers across the country.

Goddard earned degrees from Vassar College and Harvard University. He lives in New York with his wife and three sons.

Goddard is the owner of Goddard Media LLC.

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