The New York Times released a lengthy feature story article yesterday on how Trump was given hundreds of millions of dollars ($413) from his daddy Trump–contradicting Trump’s claim he built his New York property empire on a ‘mere’ $1 million given him by his father. The NYT article reveals how the super rich manipulate the tax system (gift, estate, and, in particular, real estate tax loopholes) to transfer millions to their offspring.
Listen to my explanation how the ‘big 3’ institutions of Congress, Corporations, and private Family Foundations enable the transfer–legally and often fraudulently (in the case of Trump)–of millions and billions of dollars among family members.
Congress has passed more than $14 trillion in tax cuts–mostly to corporations, investors and wealthiest 1% households–since 2001. As part of their share of the $14T, US corporations have been transferring more than a $1 trillion a year in the form of stock buybacks and dividend payments to their shareholders since 2010 (this year’s totals will be more than $1.3 trillion), as corporate and business profits have doubled and tripled since 2010. Studies show 49% of Trump’s 2018 massive tax cuts (totaling $4 to $5 trillion over next decade) are going into stock buybacks and dividend payouts. (The remainder directed to mergers & acquisitions and cash hoarding, with only 4% to 7% going to wages for their workers, according to just released Mercer LLC, Just Capital, and other business research sources)–awith most of that going to one time bonuses, pension contributions, and other non-wage forms in which senior management largely benefit.
Trump’s tax cuts for corporations, non-corporate business and wealthy investors means wealthiest 1% households and investors now keep trillions of dollars more for themselves. They then plow back much of it into stocks and other financial markets worldwide, making themselves still richer.
Private Foundations are a key institution to ‘keep the money in the family’, moving it around between family members to avoid and defraud paying taxes. My main point in the radio interview: while the NYT article reveals how income was transferred from ‘daddy Trump’ to ‘the Donald’ boy Trump in the 80s and 90s, it fails to go deeper and expose how Foundations for the wealthy in general all do the same–serving as tax avoiding (and tax-defrauding) slush funds for the rich.
Listen to ‘Loud & Clear’ radio discussion yesterday, in which I participated.
GO TO:
https://www.spreaker.com/user/radiosputnik/how-trump-amassed-his-fortune-an-insight
Self-made man? Yo ho ho!