Harvard is hoping court rules Trump administration's $2.6b research cuts were illegal
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A second lawsuit over the cuts filed by the American Association of University Professors and its Harvard faculty chapter has been consolidated with the university's.
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Harvard's lawsuit accuses President Donald Trump's administration of waging a retaliation campaign against the university after it rejected a series of demands in an April 11 letter from a federal antisemitism task force.
The letter demanded sweeping changes related to campus protests, academics and admissions. For example, the letter told Harvard to audit the viewpoints of students and faculty and admit more students or hire new professors if the campus was found to lack diverse points of view. The letter was meant to address government accusations that the university had become a hotbed of liberalism and tolerated anti-Jewish harassment on campus.
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Harvard President Alan Garber pledged to fight antisemitism but said no government 'should dictate what private universities can teach, whom they can admit and hire, and which areas of study and inquiry they can pursue.'
The same day Harvard rejected the demands, Trump officials moved to freeze $2.2 billion in research grants. Education Secretary Linda McMahon declared in May that Harvard would no longer be eligible for new grants, and weeks later the administration began canceling contracts with Harvard.
As Harvard fought the funding freeze in court, individual agencies began sending letters announcing that the frozen research grants were being terminated. They cited a clause that allows grants to be scrapped if they no longer align with government policies.
Harvard, which has the nation's largest endowment at $53 billion, has moved to self-fund some of its research, but warned it can't absorb the full cost of the federal cuts.
In court filings, the school said the government 'fails to explain how the termination of funding for research to treat cancer, support veterans, and improve national security addresses antisemitism.'
The Trump administration denies the cuts were made in retaliation, saying the grants were under review even before the April demand letter was sent. It argues the government has wide discretion to cancel contracts for policy reasons.
'It is the policy of the United States under the Trump Administration not to fund institutions that fail to adequately address antisemitism in their programs,' it said in court documents.
The research funding is only one front in Harvard's fight with the federal government. The Trump administration also has sought to prevent the school from hosting foreign students, and Trump has threatened to revoke Harvard's tax-exempt status.
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Finally, last month, the Trump administration formally issued a finding that the school tolerated antisemitism — a step that eventually could jeopardize all of Harvard's federal funding, including federal student loans or grants. The penalty is typically referred to as a 'death sentence.'
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Until the end of the year, taxpayers can claim up to $3,200 per year for eligible improvements to their primary residence under the energy efficient home improvement credit. The credit covers 30 percent of qualified expenses, such as for installing energy efficient doors and windows. The residential clean energy credit allows taxpayers to claim 30 percent of the cost for new qualified clean energy property — including solar panels, solar water heating systems, geothermal heat pumps and more. These credits are nonrefundable, meaning they cannot reduce your tax bill below zero. Learn more: Tax credits are a valuable tool to trim your tax bill — here's how they work Bottom line Carney recommends that taxpayers review both expiring tax provisions and new ones that may apply to their situation. 'Whether it's making qualified home improvements to lower your tax liability or maximizing overtime pay this year, being strategic with your tax planning can lead to big savings when you file your 2026 return,' she says. More: These 9 states have no income tax — that doesn't always mean you'll save money Sign in to access your portfolio
