Trump's taxes are a gold mine of fraud
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Re: Trump's taxes are a gold mine of fraud
True enough as far as not turning large profits goes, but these year after year HUGE losses that he claims, the companies that indeed only seem to exist on paper don't imprint him as the successful business tycoon he has claimed to be. The proof of what he is and what he did will surface when and if he is able to show the receipts for his returns, so far without any audits where the backup documentation would be required, everyone is still only seeing the tip of his personal iceberg.
- mister_coffee
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Re: Trump's taxes are a gold mine of fraud
I'd be very careful using his tax returns as an argument that he is not very good at business. We know that there is false information in those tax returns.
Also, for the most part the only reason a properly ran corporation should ever show a profit is if they want to pay their shareholders back with dividends. Otherwise you are better off pouring any "profit" back into the corporation and grow it further. If the company is a privately held operation with a small number of shareholders and all of those shareholders are employees, there is even less of a reason to ever show a profit and pay dividends. Since earnings (salaries) and dividends are taxed at the same rate (it gets a bit complicated, but on the average that is true) there is no tax advantage to your shareholders to pay them via dividends.
To be clear, none of that means that Trump was a competent businessman. For myself, I kind of doubt he was. But on the other hand, all of those losses might be "paper" losses and for all we know he might have enormous accounts in the Cayman Islands or Cyprus that we don't know about. Again, what we do know is that the information in his tax returns (and probably the tax returns for his thousands of corporations and LLCs as well) is not correct.
Also, for the most part the only reason a properly ran corporation should ever show a profit is if they want to pay their shareholders back with dividends. Otherwise you are better off pouring any "profit" back into the corporation and grow it further. If the company is a privately held operation with a small number of shareholders and all of those shareholders are employees, there is even less of a reason to ever show a profit and pay dividends. Since earnings (salaries) and dividends are taxed at the same rate (it gets a bit complicated, but on the average that is true) there is no tax advantage to your shareholders to pay them via dividends.
To be clear, none of that means that Trump was a competent businessman. For myself, I kind of doubt he was. But on the other hand, all of those losses might be "paper" losses and for all we know he might have enormous accounts in the Cayman Islands or Cyprus that we don't know about. Again, what we do know is that the information in his tax returns (and probably the tax returns for his thousands of corporations and LLCs as well) is not correct.
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Re: Trump's taxes are a gold mine of fraud
And his promise to donate his Presidential income to charity proves false because he doesn't list any charitable donations.
Seems the only thing Trump learned from his multiple bankruptcies was simply to lie bigger and more. He is an abject failure at business and now we find that not only did he have political enablers but the IRS's Commissioner who was a California accountant specializing in rich clients avoiding taxes and who didn't believe Trump should have to be audited played a big role.
How can the American public not be outraged?
Seems the only thing Trump learned from his multiple bankruptcies was simply to lie bigger and more. He is an abject failure at business and now we find that not only did he have political enablers but the IRS's Commissioner who was a California accountant specializing in rich clients avoiding taxes and who didn't believe Trump should have to be audited played a big role.
How can the American public not be outraged?
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Re: Trump's taxes are a gold mine of fraud
Good piece on NPR on Friday eve….
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https://www.npr.org/2022/12/30/11463677 ... ax-returns
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Basically, guilty donnie is as useless and bad as business as we all thought….
“…..but that's not how Trump generated all of his losses to soak up his income. He generated his losses by losing money from his businesses year after year. All six of these years, Trump lost between $8 million and $20 million. Go back a couple of decades. Trump's businesses lost tens and hundreds of millions of dollars. He only pays taxes when he's had some investment gains for '18 and '19. So the real explanation for why Trump doesn't pay much in taxes is because of his large losses. Either genuine or inflated, it's somewhat of a mystery to figure out how he pulls it off. But it's not a lawful application of the tax rules.”
Guilty donnie is bad - real bad - at business and has just been churning his inherited wealth from his father, until he pisses it all away.
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https://www.npr.org/2022/12/30/11463677 ... ax-returns
.
Basically, guilty donnie is as useless and bad as business as we all thought….
“…..but that's not how Trump generated all of his losses to soak up his income. He generated his losses by losing money from his businesses year after year. All six of these years, Trump lost between $8 million and $20 million. Go back a couple of decades. Trump's businesses lost tens and hundreds of millions of dollars. He only pays taxes when he's had some investment gains for '18 and '19. So the real explanation for why Trump doesn't pay much in taxes is because of his large losses. Either genuine or inflated, it's somewhat of a mystery to figure out how he pulls it off. But it's not a lawful application of the tax rules.”
Guilty donnie is bad - real bad - at business and has just been churning his inherited wealth from his father, until he pisses it all away.
.
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Re: Trump's taxes are a gold mine of fraud
Such good points and what it all comes down to is that the IRS has not been doing its job; time to recognize that the budget for the IRS has been slashed by Rep's year after year and nearly 80,000 employees have exited. There's been a lack of expertise among the agents that could tackle the complex returns which has left the richest free to game the system.
- mister_coffee
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Re: Trump's taxes are a gold mine of fraud
When you dig into the details, I find it fascinating that he appears to have completely fabricated business activity and expenses using Schedule C.
Amongst the things he did was claim more expenses than income and try to apply a loss to his taxable income, which you can't legally do with Schedule C. Apparently he got busted for exactly the same thing over thirty years ago.
He also claims a "consulting" business on Schedule C, with no or very little revenue and apparently can't name the clients. So it is probably imaginary.
If you are a normal person and using Schedule C, you are at pretty high risk to be audited. Apparently that doesn't apply if you are rich and powerful.
Amongst the things he did was claim more expenses than income and try to apply a loss to his taxable income, which you can't legally do with Schedule C. Apparently he got busted for exactly the same thing over thirty years ago.
He also claims a "consulting" business on Schedule C, with no or very little revenue and apparently can't name the clients. So it is probably imaginary.
If you are a normal person and using Schedule C, you are at pretty high risk to be audited. Apparently that doesn't apply if you are rich and powerful.
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Re: Trump's taxes are a gold mine of fraud
Best commentary about the revelations of Trump's tax returns -
"He paid more for sex than he paid in taxes'
"He paid more for sex than he paid in taxes'
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Trump's taxes are a gold mine of fraud
Bottom line, tax cheating by the wealthy in America that have gone unchecked by the IRS because of severe lack of agents as well as the expertise to audit the complicated returns of the wealthy and, of course in Trump's case the lack of will by his hand picked commissioner have translated into huge amounts of taxes left unpaid so that the middle class has been left holding the bag. Trump's tax returns will make America's blood boil.
https://www.rawstory.com/trumps-tax-break/
https://www.rawstory.com/trumps-tax-break/
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