Harvard and President Donald Trump have been at war. Last Friday, the Trump administration sent a letter demanding that Harvard put an end to diversity and equity programs, ban masks at protests on campus, and change its admissions process, among other things.
The Trump administration said its demands on Harvard come from what it called a failure to “live up to both the intellectual and civil rights conditions that justify federal investment.”
The administration said that Harvard should comply if they want to maintain a good financial relationship with the government. In response, Harvard put out a statement this week saying, “The University will not surrender its independence or relinquish its constitutional rights.”
The Trump administration retaliated by cutting over $2 billion in funding for Harvard, and President Trump took to social media, calling for the IRS to take away Harvard’s tax-exempt status.
On Thursday, the administration threatened to ban international students from enrolling in the university.
Some have wondered what kind of precedent this sets for other private universities that receive funding from the government.
Melanie Brady is a master lecturer of education here at USC, which falls into this category.
“I think that all eyes are on Harvard. Given their status and traditional high ranking across the board, as a major research institution in education, well-attended and produced many leaders. They’re in the throes of showing how this might play out for other organizations and other educational entities and potentially non-profits,” Brady said.
Brady said for Harvard specifically, a change in tax-exempt status could impact the university’s other forms of revenue.
“It could impact donations. Donations are write-offs for that very reason, to donate to those entities that are able to provide those possibilities of reducing the amount of tax you’re paying, especially when you’re a larger player in terms of finances. And that could also impact scholarship funds, that can impact the research, it could impact basic operations,” Brady said.
There is a law that prohibits the president from telling the IRS whom to investigate. However, according to a CNN news report, the IRS is already making plans to rescind Harvard’s tax-exempt status.
There’s been speculation on college campuses around the country as to where this will all lead. Professor Brady says that it’s important to stay hopeful.
“I don’t think that we can live in a place of fear. You know, we have to come from a place of strength and planning and expect the best and prepare for the worst,” she said.
This is something that many universities have already begun to do.