Trump vows to strip Harvard of tax-exempt status

Harvard University's tax-exempt status hangs in the balance as President Donald Trump suggests its removal. The university has come under scrutiny by the IRS and for reports of antisemitism on campus.

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National News

May 2, 2025 - 2:07 PM

A woman holds a Palestinian flag as Harvard graduating students protest at the university’s commencement in May of 2024. Photo by Nancy Lane/Boston Herald/TNS

Harvard University could be stripped of its tax-exempt status.

President Donald Trump posted to his Truth Social feed early Friday: “We are going to be taking away Harvard’s Tax Exempt Status. It’s what they deserve!”

He did not elaborate. The post comes just days after Harvard was already under scrutiny by the IRS, and two reports were released on antisemitism on campus and Muslim students fearing reprisal for speaking out about the war in Gaza.

Harvard President Alan Garber said this week “Harvard cannot — and will not — abide bigotry” after the two reports hit on strife on campus following the merciless Oct. 7, 2023, terror attack on Israel.

THE CAMBRIDGE university has sued the Trump administration, stating in part: “Harvard filed a lawsuit Monday against the Trump administration, arguing its freeze on research funding is unconstitutional and ‘flatly unlawful’ and calling on the court to restore more than $2.2 billion in research dollars.”

Garber said Monday the suit was prompted by steps the government took over the last week, after the University rejected administration demands for changes to Harvard’s governance, hiring, and admissions policies.

As the Herald reported last Sunday, Harvard is among the tax-exempt colleges and hospitals that left $30 million in cash on the table for Boston’s PILOT program. The Payment in Lieu of Taxes non-binding deal, first negotiated under the Menino administration, allows tax-exempt schools and hospitals to make “community benefits” contributions or cash payments on taxes.

HARVARD University, per city data, was at 79% PILOT compliance last year. While the Ivy League institution contributed roughly $4 million in cash and $7 million in community benefits credits, it was about $3 million short of its requested payment.

“Harvard engages with the City of Boston in a variety of important ways, including participating in the city’s PILOT voluntary program and delivering community programs to Boston residents, paying municipal taxes on the University’s non-exempt property, as well as leading meaningful initiatives and outreach,” Harvard spokesperson Melissa Monahan said in a statement.

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