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According to reports from The Washington Post, the Trump administration has urged an Internal Revenue Service (IRS) attorney to revoke Harvard University's tax-exempt status as part of an ongoing effort to change some hiring and academic policies. Donald Trump has expressed his disappointment over the institution's attitude toward antisemitism and its diversity practices.

Although no official announcement has been made regarding the decision, reports say one could be forthcoming. Meanwhile, the administration has already suspended more than $2 billion in federal funding to the university. Harvard has pushed back, asserting its right to run its programs and make its own decisions.

President Donald Trump alleged that punishment should be granted to the university. On Truth Social, the statement read, "Perhaps Harvard should lose its Tax Exempt Status and be taxed as a Political Entity if it keeps pushing political, ideological, and terrorist inspired/supporting ‘Sickness?’ Remember, Tax Exempt Status is totally contingent on acting in the PUBLIC INTEREST!" However, Harvard has not responded to the claims.

This would be considered a very exceptional case if they took away Harvard’s tax-exempt status. In terms of law, the acting IRS commissioner, Gary Shapley, appointed by Trump, could do so, but this is not something that happens every day. The last time anything like this happened was back in the 1980s, when the IRS pulled the tax exemption from a Christian college for following an admissions policy that was considered racially discriminatory.

Tax exemptions are almost always granted to non-profit organizations such as schools and charities. But if they appear to intervene in politics too much, they can lose tax exemptions. The IRS would very rarely revoke tax-exempt status from Harvard, although one of Trump's appointees, Gary Shapley, who serves as acting IRS commissioner, does have the legal authority to do so.

The social media is backlashing the Trump administration for such a decision. Shilpa Ahuja, Thoxt founder/editor and Harvard alumna, mentions, 

"The Harvard community is speaking out on social media against the decision, forming a coalition inviting other universities and institutions, some are discussing its legal possibilities."

Some people from Harvard University have been protesting through their perspectives. Many comments are from outsiders who are aware of this unwanted thing. Kyle K. Courtney, Director of Copyright and Information Policy, wrote,

"Can a president strip a university’s tax-exempt status—or freeze billions in funding—just because he doesn’t like what students or faculty are saying? No. That’s not how tax law works. That’s not how federal funding works. And it’s definitely not how constitutional democracy works".

John Palfrey, Professor of Law at Harvard Law School, wrote, "In addition to a freedom to speak, freedom to give, and a freedom to invest, there are essential freedoms that private non-profit organizations have under the First Amendment. This right must be honored and vindicated".

Nick Anderson, Vice President at the American Council of Education, wrote,

"Many takes tonight on Harvard University. Here’s mine: It stood up not just for itself but for all of higher education. Then it suffered a wholly unjustified $2.2 billion funding freeze as a result. Amazingly, Harvard probably knew something like that would happen when it made the statement. Pretty gutsy, IMO. Time for all friends of higher education to join together. Now. Coalitions matter. We at the American Council on Education are fighting for all colleges and universities—public or private, large or small, wealthy or not.
I say this all the time of colleges and universities across the country, and I will say it tonight of the one in Cambridge, Mass., that happens to be the oldest: Harvard, building America.

If the government succeeds in taking away Harvard’s tax-exempt status, it could have a big impact on colleges and universities across the U.S. It might encourage more political involvement in how schools are run and could weaken their independence. Many experts believe this move will lead to legal battles. Whatever the outcome, it could set important new rules about how much control the government has over what schools can say and do.

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