A bill in Congress would increase the endowment tax for Harvard and other schools to 21%, the equivalent of the corporate tax rate.

A New York University School of Law professor on tax policy called the news a “lawless action by the President.”

After the university rejected his administration’s demands, President Donald Trump threatened to tax Harvard as a "political entity," following his move to freeze $2.2 billion in federal funding to the school. He doubled down on his ultimatums three weeks later, insisting that Harvard losing its tax-exempt status was "what they deserve."