Trump Says Taxes are "Fake News": He Has an Easy Way to Prove It

Mish

Are Trump's taxes fake news? That's what Trump says.

Fake News?

Trump Taxes Fake News

New York Times Bombshell

The above set of Tweets is in response to a New York Times bombshell on Trump's taxes released yesterday.

Please consider LONG-CONCEALED RECORDS SHOW TRUMP’S CHRONIC LOSSES AND YEARS OF TAX AVOIDANCE.

The tax returns that Mr. Trump has long fought to keep private tell a story fundamentally different from the one he has sold to the American public. His reports to the I.R.S. portray a businessman who takes in hundreds of millions of dollars a year yet racks up chronic losses that he aggressively employs to avoid paying taxes. Now, with his financial challenges mounting, the records show that he depends more and more on making money from businesses that put him in potential and often direct conflict of interest with his job as president.

The New York Times has obtained tax-return data extending over more than two decades for Mr. Trump and the hundreds of companies that make up his business organization, including detailed information from his first two years in office. It does not include his personal returns for 2018 or 2019. This article offers an overview of The Times’s findings; additional articles will be published in the coming weeks.

The tax data examined by The Times provides a road map of revelations, from write-offs for the cost of a criminal defense lawyer and a mansion used as a family retreat to a full accounting of the millions of dollars the president received from the 2013 Miss Universe pageant in Moscow.

The Charges

The article is very long and very detailed. Excerpts do not do the article justice. 

If you can get a copy, please read it. Perhaps the New York Times will remove its paywall on this one.

$700 Million Casino Break

One of the more damning claims is that Trump abandoned property (walked away from a casino partnership) to take a business tax credit. 

The language required by the IRS is very specific and Trump used that language. 

If the I.R.S. learns that the person walking away received anything of value, the allowable losses are reduced to just $3,000 a year.

Trump got a $700 million break but when the casino bankruptcy concluded, Trump got 5 percent of the stock in the new company. If accurate, this is a criminal violation.

$26 Million in Consulting Fees

Another point the article makes regards a curious pattern between 2010 and 2018. Mr. Trump wrote off some $26 million in unexplained “consulting fees” as a business expense across nearly all of his projects. It appears Trump reduced his taxable income by treating a family member as a consultant, and then deducting the fee as a cost of doing business.

Tax Deductions for Personal Use

One of the more amusing is that Trump paid more someone over $70,000 to style his hair during “The Apprentice.” Together, nine Trump entities have written off at least $95,464 paid to a favorite hair and makeup artist of Ivanka Trump.

What About the Debt?

In 2012, Trump took out a $100 million mortgage on the commercial space in Trump Tower. Nearly the entire amount went as a payout. Trump has paid $15 million in interest but the full $100 million comes due in 2022.

He is personally responsible for loans and other debts totaling $421 million, with most of it coming due within four years.

18 Revelations

National Security Issue?

Follow the Money

Brief Synopsis

Ad Hominem Attacks Coming

The Ad Hominem attacks are underway. Trump fans question the sources dismissing the massive number of detailed charges. 

Question of the Day

Not Fake News

The tax issue is real, not fake. But that does not mean the charges are all true.

However, there is a simple way this could have been solved years ago.

The easy way for Trump to prove the charges are false is for him to release the tax returns.

He could have put this behind him after the election in 2016. 

He didn't.

As Trump himself says "Gee, I wonder why."

Avoidance Addendum

Three Points

  1. Avoidance is not a concern, legally. 
  2. The public may see paying no taxes differently however. 
  3. The big news is illegal writeoffs and illegal payments to family, not avoidance. Trump could easily wind up in jail.

Mish

Comments (77)
No. 1-30
KidHorn
KidHorn

If he broke the law then the IRS should investigate and possibly charge him. Otherwise, it's all hearsay. Without any evidence presented, why should anyone believe the NYT? It's not like they're above lying to push a political motive.

lol
lol

He's broke,winning reelectionwill buy him some more time,if he loses it's back in bankruptcy court.

Greenmountain
Greenmountain

Probably the most accurate part of the story is the legal fees. I think we have all seen Trump's love of using the legal system to delay, tie in nuts and ultimately wear down the opposition.

Rocky Raccoon
Rocky Raccoon

Trump is a girly man who plays the victim card and cries "fake news." He could easily put this story to rest if it was fake news.

Thus this is the typical way things play out with Donald Trump. Sadly about 40% of our population thinks he can do no wrong and will cry "fake news" too and allow him to play the Jesse Jackson victim card. This is what conservatism is today...

Not my conservatism, but for the most part...

davebarnes2
davebarnes2

But, what about Hunter Biden's tax returns? Wasn't Hunter president of Ukraine or something similar?

PecuniaNonOlet
PecuniaNonOlet

It is curious Trump didnt threaten to sue the NYT for defamation if the information is untrue which is his first instinct. I guess the judge in the case would demand the release of the tax returns too to decide the case.

Eddie_T
Eddie_T

It was always my belief that Trump hid his tax returns because he often managed to pay little or no income tax. That simple. And yeah, if it ain't true, prove it by showing some evidence.

I don't like the NYT anymore....and their agenda is rather obviously biased. but I suspect the gist of this story is true.

Trump is just like Leona Helmsley. He thinks only little people pay taxes. And like every problem he ever had, he deals with tax problems the same way....by lawyering up.

LouMannheim
LouMannheim

Tax avoidance is really expensive. Think of all of the receipts his organizations must collect daily! That must be a miserable job, seeing all the extravagant stuff he has the taxpayers fund.

Casual_Observer
Casual_Observer

Any supporter of Trump in 2020 is an idiot or a criminal.

Augustthegreat
Augustthegreat

Expect tRump to nominate a new Director of the IRS, in the same vein he did with the US Postal Services which will deliver mail-in ballots.

Augustthegreat
Augustthegreat

tRump may not be the greatest president since Lincoln, but he certainly is the greatest con man in the US history: his art of conman-ship won him the american presidency and support of about 40% of Americans.

Sechel
Sechel

It's fake news. The Times obtained them illegally. He paid his taxes. He's entitled to take deductions. That's the word salad I got out Trump's statement

Wonder if Forbes revises the 400 rankings now.

Very apparent that Trump is a failed businessman who is still living off his father's wealth and Apprentice money based on a false narrative, success.

Casual_Observer
Casual_Observer

Trump draft deferments - fraud
Trump University - fraud
Trump Charitable Foundation - fraud
Trump bank loan applications - fraud
Trump tax deductions - fraud
Trump a self-made billionaire - fraud
Trump a Conservative - fraud
Trump a Christian - fraud
Trump Presidency - fraud

flubber
flubber

If Trump's tax return shows legitimate tax 'avoidance' strategies, good for him and his accountant. If it is tax 'evasion', it is illegal. This is an issue that should have been addressed by the IRS. Complicated tax returns of high net-worth individuals deserve scrutiny to determine if the tax laws are being adhered to.

If some people do not like the certain legal tax write-offs, then they should lobby to have to laws changed to eliminate such loopholes. I think everyone should pay their fair share of taxes, but I think everybody should limit their tax burden to the fullest extent as granted by the existing tax code.

Casual_Observer
Casual_Observer

Team That Guy Is Probably Going To Kill Us All now appears to have another high-profile member. NBC News is reporting that in an overheard phone conversation on a commercial airline flight, Centers for Disease Control and Prevention Dr. Robert Redfield groused to an unknown ally about the Scott Atlas problem. NBC says Redfield suggested Atlas "is arming Trump with misleading data about a range of issues, including questioning the efficacy of masks, whether young people are susceptible to the virus and the benefits of herd immunity."

"Everything he says is false," Redfield complained to his unknown "colleague."

This tracks with Birx's complaints, and with Atlas' own public statements. Despite Atlas denying in forceful terms that he was promoting "herd immunity" during a recent Trump-Atlas press appearance, Redfield and Birx both are reportedly warning that Atlas is feeding Trump known false pandemic claims as he encourages Trump's own anti-mask, anti-lockdown preferences.

And Atlas, of course, is now apparently Trump's favorite and the most influential task forcer because of it.

There's no way this can end well. It's another testament to just how thoroughly committed conservatism has become to television-blustering contrarianism for the sake of contrarianism. Trump botched the handling of the pandemic, grotesquely, through apathy and alternate reality claims that it would simply not become a problem. When it did, Republicans rallied behind the theory that Trump did not fail, and that doing absolutely nothing was, in fact, an act of genius. Fox News hunted for contrarian nonsense-spewers who would back up the notion that whatever Trump was currently doing was in fact The Right Way; Trump sees the contrarian nonsense-spewers and, impressed by their suckuptitude, appoints them to prominent roles. The sycophants now have power to brush aside whichever unpleasant scientists, legal experts, or governmental experts are currently making Donald sad.

When you start out every argument with the claim that Donald Trump is, despite having both arms trapped in vending machines, a sublime genius whose every move is the right move, then work backwards to find new toadies willing to defend whatever it is Trump has done, you end up precisely where Republicanism has ended up: All toadies, all the way down, and an incompetent, bumbling government that cannot muster a sensible response to any crisis.

Where Trump and Atlas are going on this one is obvious. Trump's intent is to pry open as much of the economy as necessary—including schools, sports, and whatever else he can muster—in order to fake a momentary return to normality that will make October and November voters hate him slightly less. Whether that results in massive new surges of cases is of no immediate concern.

If Trump wins the election, his approach to the pandemic becomes irrelevant and he will skate through the next four years, freed from having to defend himself. If he loses, Republicans will spend the period from November to January attempting to intentionally make the pandemic and economy worse, to discredit Biden before his arrival. There's no scenario in which Republicans are spurred to treat the pandemic seriously after November—at least not nationally. Each state will be on its own.

TimeToTest
TimeToTest

Sounds like this story is more about our broken tax system than what Trump did or didn’t do.

Sechel
Sechel

Trump never countered with the amount he claims to have paid in income taxes.

What I'm wondering about is the state of Trump's audit and whether its stalled. He's President for 3.5 years. Did he or an acolyte interfere in his audit

TCW
TCW

Some definitions in tax law everyone should know -

26 USC § 3401(c) Employee For purposes of this chapter, the term “employee” includes an officer, employee, or elected official of the United States, a State, or any political subdivision thereof, or the District of Columbia, or any agency or instrumentality of any one or more of the foregoing. The term “employee” also includes an officer of a corporation.

26 USC § 7701) (26) Trade or business The term ''trade or business'' includes the performance of the functions of a public office.

26 USC §7701(c):(c) Includes and including The terms “includes” and “including” when used in a definition contained in this title shall not be deemed to exclude other things otherwise within the meaning of the term defined.

Under this rule, the term “includes” provides for what courts have described as a “calculated indefiniteness”. This is the expand-ability of the meaning of a statutory term to things not listed in the definition (indefiniteness), but only things of the same character as those listed(calculated).

Sechel
Sechel

With a record like that why are we putting him in charge of economic and trade policy? What results are we expecting?

njbr
njbr

The same guy who cannot understand why people are willing to die to defend their country for its beliefs ("suckers" and "losers") is the guy that owes hundreds of millions of dollars due in the next few years.

Do you think it would be a difficult decision for him to sell out his country to get out from under his debts?

magoomba
magoomba

Ha ha! I KNEW IT!
Trump is flat broke. Has been for years!
Pure genius.
Thanks NYT for clearing this up!
Trump has my vote for sure now!

magoomba
magoomba

Ha ha! I KNEW IT!
Trump is flat broke. Has been for years!
Pure genius.
Thanks NYT for clearing this up!
Trump has my vote for sure now!

MOW3235
MOW3235

How low can the bar get for Republicans before they bail out. Every single day there's another reason to toss this guy out of office and, yet, Trumpers just keep drooling all over him. Lower the bar, lower the bar, lower the bar...just keep it going down. Pretty soon, it'll be so low that I'll be able to run for President on the Republican ticket and I'm a Democrat. Why not?

Sechel
Sechel

The truth is Trump is highly leveraged, asset rich and cash poor. He would have been broke this last time around had it not been for the Apprentice which helped him earn $427,000,000. But he took that money and plowed it back into his core businesses which are still losing money and he's now spent it. If he were to win a 2n term lenders would have the uncomfortable task of having to decide on foreclosure and calling in personal loans.

Louis Winthorpe III
Louis Winthorpe III

You can read the full article here: https://archive.is/1Tp2s

https://archive.is/1Tp2s
FromBrussels
FromBrussels

INCREDIBLE , all that pure nonsense, guessing and wishful thinking I ve been reading and hearing since yesterday ....HEY, sick Trump bashers , Trump is a fckn billionaire, he can and will pay back all that insignificant debt, and YES he used legal loopholes to avoid taxes, wouldn t you if you could ??

nlightn
nlightn

Trumpalina is correct it is fake news. His entire IRS forms are laced with fake numbers downplaying his wealth to avoid paying the taxes he should have to pay. He like other wealthy individuals have more than enough tax loopholes to use to diminish their taxes. But,.he can't help his narcissistic ego mind laced with a 12 year olds mentality,..he has to lie.

But when he applies for a loan from Duestche Bank he pumps up his numbers displaying the great wealth he has. More fake news,...more fake numbers.

All that was done was a simle comparison of what his tax forms displayed for any given year based on what he wrote in was his bloated and exaggerated wealth to secure a loan.

The numbers are different for the same year.

DUDH !

Trumalina is far from a genius finanacially but I won't agrue that he is a genius being the biggest creator of fake news that history has provided.

Michael Cohen is exactly correct. All Trumpalina does is project what he is doing to the other.

Trumpalinas gig is up.

Orange is the new color for relief from this imbecile !

Nigerian Prince
Nigerian Prince

Keep it going Mish!


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