# US president Donald Trump has suggested that Harvard University could lose its tax-exempt status and be taxed as a political entity. The university is exempt from federal income tax as an educational institution under the 1986 Internal Revenue Code. The Trump administration recently froze around 41.4-billion-rand in multi-year grants for the university. This is after it defied demands made by the government including shutting down all its diversity, equity, and inclusion programmes. Trump has accused Harvard of pushing political, ideological, and terrorist-inspired ideas.
Trump threatens Harvard University that it could lose tax-exempt status