Boris Johnson has denied briefing against Rishi Sunak, as the chancellor came under pressure to “come clean” about his finances.
The chancellor was reported by Sky News to have been a holder of a US green card while serving in No.11.
Sunak’s millionaire wife, Akshata Murty, was revealed by The Independent to also currently hold the tax-reducing non-domiciled status.
Speaking at a press conference on Friday afternoon, the prime minister revealed he did not know about Murty’s tax status until it was made public.
Asked about Sunak having held a green card, he said: “As I understand it the chancellor has done everything he was required to do.”
The prime minister said his chancellor, who was seen as the leading candidate to take over as Tory leader should Johnson be ousted, was doing an “absolutely outstanding” job.
“I don’t think people’s families should be should be dragged into this,” he said.
“If there are such briefings they are not coming from us in No.10 and heaven knows where they are coming from.”
Sunak has blamed Labour for the briefing against him and his wife.
But the Daily Telegraph reported that unnamed allies of the chancellor claimed the prime minister’s office was behind the leaks – an allegation No.10 and No.11 strongly denied.
The US inland revenue says anyone who has a green card is treated as a lawful permanent resident and is considered a “US tax resident for US income tax purposes”.
Labour leader Keir Starmer has said Sunak could be guilty of “breathtaking hypocrisy” if his wife was reducing her own tax bill as the chancellor increased national insurance for millions of Britons.
In an interview with The Sun, Sunak accused his critics of trying to “smear my wife to get at me”.
“Every single penny that she earns in the UK she pays UK taxes on, of course she does,” he said.
“And every penny that she earns internationally, for example in India, she would pay the full taxes on that.”
Ed Davey, the Lib Dem leader, has written to cabinet secretary Simon Case and the independent adviser on ministers’ interests Lord Geidt, urging them to open an investigation.
How could the man who is responsible for UK tax policy regard any permanent residency status for the United States as acceptable?” he said.
“This would be a huge conflict of interest - and a serious breach of the ministerial code. Rishi Sunak must come clean about his own financial arrangements and whether he has ever held a green card.”