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Harvard sues Trump administration, alleging unlawful actions in freezing funding

Last updated: April 21, 2025 5:55 pm
Oliver James
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2 Min Read
Harvard sues Trump administration, alleging unlawful actions in freezing funding
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Can IRS remove Harvard’s tax-exempt status?



Does the IRS have the power to revoke Harvard’s tax-exempt status?

02:05

Harvard University on Monday said it has filed a lawsuit against the Trump administration, alleging that it unlawfully froze billions in federal funding. 

In announcing the suit, Harvard President Alan Garber wrote in a letter to the Harvard community that the university is taking action after the Trump administration announced an initial funding freeze of $2.2 billion and later signaled its intention to suspend an additional $1 billion in grants. 

The lawsuit comes after weeks of escalation between the Trump administration and Harvard, which had rejected the administration’s demands to change many of the school’s policies and leadership, including auditing the student body and faculty for “viewpoint diversity.” After Harvard announced its decision, the Trump administration moved to freeze $2.2 billion in grants for Harvard, while Mr. Trump had suggested the IRS strip Harvard of its 501(c)(3) tax-exempt status. 

“These actions have stark real-life consequences for patients, students, faculty, staff, researchers and the standing of American higher education in the world,” Garber wrote.

The lawsuit alleges that the Trump administration violated Harvard’s constitutional rights by halting federal funding, claiming that the withholding of funds “part of its pressure campaign to force Harvard to submit to the Government’s control over its academic programs.” 



Harvard fights back as Trump administration freezes funding

03:18

“Defendants’ actions threaten Harvard’s academic independence and place at risk critical lifesaving and pathbreaking research that occurs on its campus. And they are part of a broader effort by the Government to punish Harvard for protecting its constitutional rights,” the lawsuit claims.

The Trump administration didn’t immediately respond to a request for comment. 

More from CBS News

Aimee Picchi

Aimee Picchi is the associate managing editor for CBS MoneyWatch, where she covers business and personal finance. She previously worked at Bloomberg News and has written for national news outlets including USA Today and Consumer Reports.

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