In the Presidential Debate HRC again made a pitch to get Donald to release his taxes.
“Why won’t he release his tax returns?” Clinton asked.
“Maybe he is not as rich as he says he is,” she continued. “Maybe he is not as charitable as he claims to be,” “Maybe he doesn’t want the American people to know that he has paid nothing in federal taxes.”
Clinton concluded, saying “There is something he is hiding.”
Lets break this down:
- Releasing his taxes – He has repeatedly said “on advise of council” or something to that effect, because he is under IRS audit.
- His audit status can’t be verified, since IRS won’t disclose such information publicly. But it is likely and I suspect that if it wasn’t true there would have been a “leak” by now.
- There have been numerous interview with lawyers who confirm that they would advise their clients not to release under the same circumstances.
- As someone who took a lawyer with you to an FBI interview, I am sure you would urge Donald to listen to his lawyer.
- Not as rich as he says – Hillary, in case you missed it these are INCOME taxes not WEALTH taxes. Nowhere on the tax form do you disclose you net worth, or a least any form I have filed in my lifetime.
- Not as charitable – You may have a point here, but just to put a fine point on this not all donation are tax deductible.
- Paid no taxes – There are two ways to legally pay no taxes; 1) not make the threshold income, 2) have deductions that offset your income. Therefore since IRS has/is auditing his taxes we can assume he is taking legal deductions, and he is paying his legally due taxes. This may not conform to your ideal “fair share” but like you and your endorser Warren Buffet he has chosen not to volunteer to kick in a donation to pay his “fair share”.
Speaking of hiding things in a tax return, your 2015 taxes disclose a $42,000 donation to Desert Classic Charities but not that Desert Classic Charities donated $700,000 to the Clinton Foundation.
OBTW: HRC when was your last tax audit? Reportedly Donald has been audited annually for the last 12 years.
I will close with an example of Media Bias, Donald replied to HRC’s comment about paying no taxes with “That makes me smart.” which CNN reported as “Trump: I’m ‘smart’ for paying no taxes”, implying that he agreed that he had paid no taxes, not quite what he said.
PS: since this was written the New York Times has published “Donald Trump Tax Records Show He Could Have Avoided Taxes for Nearly Two Decades, The Times Found” which show that in 1995, after various business loses, he claimed a net operating loss of $915,729,293. Which they report “Under I.R.S. rules in 1995, net operating losses could be used to wipe out taxable income earned in the three years before and the 15 years after the loss.”
They also confirmed my assertion that tax returns don’t report net worth. “The tax documents also do not shed any light on Mr. Trump’s claimed net worth of about $2 billion at that time. This is because the complex calculations of business deductions that produced a tax loss of $916 million are a separate matter from how Mr. Trump valued his assets, the tax experts said.”
They also reported “But the most important revelation from the 1995 tax documents is just how much Mr. Trump may have benefited from a tax provision that is particularly prized by America’s dynastic families, which, like the Trumps, hold their wealth inside byzantine networks of partnerships, limited liability companies and S corporations.”
It should be noted that the Clinton’s also “hold their wealth inside byzantine networks of partnerships, limited liability companies and S corporations”, and in 2015 took a $699,540 capital loss carryover.
- The Clinton Family Foundation
- William J. Clinton (no separate business name)
- WJC, LLC
- ZFS Holdings
- William Jefferson Clinton Irrevocable Life Insurance Trust
- William J. Clinton 2010 Irrevocable Trust
- William J. Clinton 2010 Residence Trust
- Hillary Rodham Clinton Residence Trust
- Estate of Dorothy E. Rodham
- Article 4 Trust Created Under the Dorothy E. Rodham Rev. Trust
- Bill Hillary & Chelsea Clinton Foundation
In 2015 their W-2 income was $93.00.
Just for the record, the old curmudgeon is also was one of those “dynastic families, which, like the Trumps, hold their wealth inside byzantine networks of partnerships, limited liability companies and S corporations.” My brothers and I held the properties we had inherited from our father, our family home and 20+ acres in NC which had been owned by our grandfather, in an LLC. Contrary to NY Times reporting this was something done by many ordinary individual and family business, to gain the liability protections offered by an LLC. Your could go to any office supply store and purchase a LLC kit for $20.
In the past I also took advantage of another IRS tax benefit, income averaging after graduating from college. Too bad today’s college graduates no longer have access to this tax saving regulation. Congress removed it in the Tax Reform Act of 1986, you might remember this was the act that also took away the consumer loan and credit card interest deduction.