In a bold move to hold academia accountable, the Trump administration is taking significant steps to challenge the tax-exempt status of Harvard University. According to a report by CNN, President Trump has directed the IRS to explore revoking Harvard’s tax-exempt privileges, a decision that could cost the institution billions of dollars annually.
Gary Shapley, recently appointed by Trump as the acting commissioner of the IRS, has the authority to rescind such status if an organization violates federal nonprofit guidelines. Tax-exempt entities face losing their status if they partake in certain political activities, which are strictly prohibited.
The urgency of this issue cannot be overstated, with a conclusive decision anticipated shortly. On Tuesday, President Trump also ordered a freeze on approximately $2.3 billion in federal funding allocated to Harvard. This decision stems from Harvard’s non-compliance with federal directives to eliminate DEI initiatives and race-based admissions, as well as its refusal to address campus antisemitism.
Harvard’s President, Alan Garber, has pushed back against these demands, emphasizing the university’s stance on maintaining academic freedom. In his statement, Garber asserted:
We have informed the administration through our legal counsel that we will not accept their proposed agreement. The University will not surrender its independence or relinquish its constitutional rights.
The administration’s prescription goes beyond the power of the federal government. It violates Harvard’s First Amendment rights and exceeds the statutory limits of the government’s authority under Title VI.
And it threatens our values as a private institution devoted to the pursuit, production, and dissemination of knowledge.
No government—regardless of which party is in power—should dictate what private universities can teach, whom they can admit and hire, and which areas of study and inquiry they can pursue.
In response, the Trump Administration’s Joint Task Force to Combat Anti-Semitism criticized Harvard’s response, highlighting the persistent issue across prestigious institutions:
The statement emphasized the importance of holding universities responsible when federal funding is involved, especially concerning civil rights compliance. The Task Force declared:
The disruption of learning that has plagued campuses in recent years is unacceptable. The harassment of Jewish students is intolerable.
It is time for elite universities to take the problem seriously and commit to meaningful change if they wish to continue receiving taxpayer support.
