Senate panel delays Blanche AG vote over IRS settlement demands

Two Republican senators have blocked a scheduled committee vote on Todd Blanche’s nomination to become attorney general, demanding written changes to a May settlement between the IRS and President Trump. The Senate Judiciary Committee postponed its markup, originally set for July 30, after Sens. John Cornyn of Texas and Thom Tillis of North Carolina said the Justice Department had not met their requests for binding assurances.

The settlement ended Trump’s $10 billion lawsuit against the IRS over the leak of his 2019 and 2020 tax returns by a convicted contractor. It created a now-canceled fund of roughly $1.8 billion for people claiming political weaponization by the Justice Department and barred the IRS from audits or enforcement actions tied to returns filed before the agreement. Blanche, serving as acting attorney general, oversaw the deal. Cornyn and Tillis want explicit language confirming the fund cannot be revived and that the audit protections apply only to returns filed before May 19, matching Blanche’s testimony that the settlement offers no prospective immunity.

The committee’s 12 Republicans and 10 Democrats require a majority to advance any nominee. All Democrats are expected to oppose Blanche. If either Cornyn or Tillis votes no, the nomination cannot move to the full Senate. Chairman Chuck Grassley’s office stated the delay allows continued work to secure support and described Blanche as highly qualified. A DOJ spokesperson said the department remains in communication with senators.

Cornyn canceled a second meeting with Blanche on July 29 after the department failed to provide the requested written clarifications. He told reporters he was “not prepared to vote yes” and accused the department of stonewalling. Tillis has raised parallel concerns. Both senators are retiring in January. Trump told reporters the nomination was “going through quite nicely.”

A federal judge had already blocked the anti-weaponization fund on grounds of collusion before the postponement. The senators’ demands focus on altering the signed settlement document itself rather than relying on Blanche’s hearing statements alone.