In an unexpected turn of events, Sen. Jim Justice of West Virginia and his wife Cathy have agreed to pay over $5 million in federal back taxes shortly after the Department of Justice’s Tax Division filed a lawsuit against them. The legal action, initiated just hours earlier, aimed to collect unpaid income taxes dating back to 2009.

Sen. Justice, who assumed office in January 2025 after Joe Manchin did not seek reelection, had previously served as the governor of West Virginia. His political journey has seen him switching from the Democratic to the Republican party. The complaint, lodged on November 24, 2025, states that the Justices owe a sum of $5,164,739.75 for taxes assessed in 2015 related to earnings from 2009 when Justice sold a coal company to Russian firm Mechel.

The timing of the tax assessment and the subsequent collection efforts raise questions about the usual procedures. Typically, taxes are assessed the year following the filing of a return, but in this case, the assessment came six years later, suggesting a possible audit or delayed filing. The law permits the IRS a 10-year window to collect assessed taxes, which in the case of the Justices was nearing expiration, prompting the federal lawsuit.

This 10-year limit can be extended under specific circumstances such as bankruptcy or when an Offer in Compromise is filed. However, extending this period through a civil lawsuit is rare and indicates a significant step by the IRS to ensure compliance.

Sen. Justice has labeled the lawsuit as politically motivated, though he has not provided further details to support this claim. The IRS, guided by policies outlined in the Internal Revenue Manual, likely saw the lawsuit as a necessary action to reinforce the importance of tax compliance, especially given Justice’s public profile.

While the lawsuit was settled swiftly, details regarding the timeline for the tax payment remain unclear. This case underscores the complexities of tax law enforcement and the measures the IRS and Department of Justice are willing to take to ensure compliance with tax obligations, particularly from high-profile individuals.