Trump Says Taxes are "Fake News": He Has an Easy Way to Prove It
New York Times Bombshell
The above set of Tweets is in response to a New York Times bombshell on Trump's taxes released yesterday.
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 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.
National Security Issue?
Follow the Money
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.
As Trump himself says "Gee, I wonder why."
- Avoidance is not a concern, legally.
- The public may see paying no taxes differently however.
- The big news is illegal writeoffs and illegal payments to family, not avoidance. Trump could easily wind up in jail.