James R. Gadwood Nominated as Chief Counsel of IRS

The nomination of James R. Gadwood as the chief counsel of the Internal Revenue Service (IRS) by President Trump has garnered significant attention. Gadwood is affiliated with Miller & Chevalier, a law firm that has represented Trump’s holding company in tax-related matters.

The announcement came from the White House on Tuesday, stating that Gadwood, a tax lawyer, would take the helm as IRS’s top attorney. Miller & Chevalier serves DJT Holdings LLC, Trump’s holding company in tax issues, as confirmed by multiple sources.

Gadwood’s experience includes representing large corporations and affluent individuals in IRS audits. However, his role in handling Trump’s taxes through his firm remains undisclosed.

The Trump administration has already attracted scrutiny following a recent decision to grant the president immunity from IRS audits last month. This development is likely to be a focal point of Gadwood’s confirmation process.

Observers are closely watching how the Trump administration’s unprecedented move to halt audits for Trump, his family, and related entities will be addressed. Todd Blanche, acting attorney general, ordered this protective measure, encompassing already filed tax returns, as part of a lawsuit settlement Trump initiated against the IRS earlier this year.

The administration’s stance extends beyond audits. It involves retracting a $1.8 billion fund aimed at compensating individuals claiming to be victims of federal overreach, which was initially part of the lawsuit resolution against the IRS.

Blanche’s order poses significant legal challenges for the IRS. Concerns exist regarding potential criminal repercussions for IRS agents complying with this directive, especially with unresolved tax disputes that could have significant financial implications for Trump.