Harvard University may lose its tax-exempt status as the IRS considers a highly unusual action in coordination with the Trump administration. Tensions have escalated between the university and the administration over Harvard's refusal to amend its hiring and governance practices. The administration froze over $2 billion in federal funds allocated to the school due to its failure to handle antisemitism on campus. President Trump has publicly criticized Harvard, suggesting it should be taxed as a political entity. Education Secretary Linda McMahon believes the matter merits investigation and suggests other universities may also be under review.