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Key Takeaways and Reaction to the NYT Report on Trump’s Tax Returns

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  • A bombshell report from The New York Times detailed 18 years’ worth of information regarding President Donald Trump’s federal income taxes. 
  • In both 2016 and 2017, Trump paid only $750 in federal income taxes each year, according to the report. 
  • Among other claims, it also alleges that for 11 of the years between 2000 and 2018, Trump paid no federal income taxes because he reported losing more money than he made at many of his signature businesses.
  • Trump has since dismissed the report as “fake news,” arguing, “I paid many millions of dollars in taxes but was entitled, like everyone else, to depreciation & tax credits.” 

NYT Releases Data from Trump Tax Returns

The New York Times published a bombshell report on Sunday, which outlines decades of information relating to President Donald Trump’s federal income taxes.

Trump’s tax records have been fiercely sought after for years, dating back to when he refused to release them as a presidential candidate in 2016.

According to The Times, which claims to have obtained Trump’s tax records dating from 2000 to 2018, Trump paid just $750 in federal income taxes in 2016. The next year, his first in office, he paid another $750 in federal taxes.

Even more significantly, in 11 of those 18 years, The Times alleges that Trump paid no federal income taxes at all.

As for how he was able to do that, it was largely because he reported losing much more money than he made at many of his signature businesses.

For example, The Times reported that Trump made $427 million from “The Apprentice,” as well as licensing and endorsements deals associated with his name. Trump then invested much of that money in a collection of businesses, mainly golf courses that steadily became money holes.

In fact, since 2000, Trump has reported losses of more than $315 million at his golf courses, losses of $55 million between 2016 and 2018 at his D.C. hotel, and losses of $134 million at Trump Corporation since 2000.

“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,” The Times reports. “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.”

“Consulting Fees” Paid to Ivanka Trump

The Times reported that the filings showed a laundry list of business expense write-offs, including more than $70,000 paid to style Trump’s hair during “The Apprentice.”

Notably, Trump entities also wrote off at least $95,000 that was paid out to a hair and makeup artist of his daughter, Ivanka Trump. The media outlet added that Mr. Trump wrote off expenses like meals and fuel associated with the aircraft he used “to shuttle him among his various homes and properties.”

Among other claims, between 2010 and 2018, Trump wrote off around $26 million in unexplained “consulting fees” as business expenses.

While The Times notes that there’s no evidence Trump engaged in bribes or kickbacks to middlemen, it also notes that Trump may have reduced the amount of his income that could be taxed by treating a family member as a consultant.

The Times believes that that family member was Ivanka. That’s because in 2017, Ivanka reported receiving nearly $750,000 from a consulting company she co-owned — the exact amount the Trump Organization also claimed as tax deductions for hotel projects in Vancouver and Hawaii.

The big kicker is that Ivanka is also an executive officer of the Trump companies that led those projects — “Meaning she appears to have been treated as a consultant on the same hotel deals that she helped manage as part of her job at her father’s business.” 

The Times added that if the payments to Ivanka were compensation for work, it’s unclear why Trump would do it in this form “other than to reduce his own tax liability.”

The “consulting fees” also raise another possibility: that this could have been a method for Trump to transfer assets to his children while avoiding a gift tax.

There, The Times points back to a 2018 Times investigation which discovered that Trump’s father had “employed a number of legally dubious schemes decades ago to evade gift taxes on millions of dollars he transferred to his children.”

The Times also pointed to a situation where a person directly involved in developing two Trump Towers in Istanbul said that there was never any consultant or other third party in Turkey paid by the Trump Organization. That’s despite The Times’ finding that Trump’s records “show regular deductions for consulting fees over seven years totaling $2 million.”

Trump’s Foreign Investments

The Times reported that they were “able to take the fullest measure to date of the president’s income from overseas, where he holds ultimate sway over American diplomacy.”

The outlet goes on to note that Trump said he wouldn’t pursue new foreign business deals when he took office in 2017, but during his first two years in office, his revenue from abroad was $73 million.

While much of that money was from his golf properties in Scotland and Ireland, some came from licensing deals in countries with authoritarian-leaning leaders or thorny geopolitics — for example, $3 million from the Philippines, $2.3 million from India and $1 million from Turkey,” the outlet reported. 

Notably, The Times explicitly stated that the documents it obtained did not “reveal any previously unreported connections to Russia.”

How Much Trump Owes

According to The Times, Trump is personally responsible for loans and other debts totaling $421 million, with most of that due within the next four years.

“Should he win re-election, his lenders could be placed in the unprecedented position of weighing whether to foreclose on a sitting president,” the outlet reported. 

On top of that, Trump reportedly has $100 million due in 2022 for a mortgage on the commercial space in the New York Trump Tower. Up to 2018, he had only paid interest on the loan but not the loan itself. 

To round it off, confidential records show that starting in 2010, Trump “claimed, and received, an income tax refund totaling $72.9 million.” That’s the sum total of all the federal income tax he had paid for 2005 through 2008, plus interest.

That refund is actually already the subject of a long-standing and widely-known IRS audit, but if Trump is ultimately forced to pay back this refund, he’ll also be forced to return that money with interest and possible penalties. That could ultimately cost him $100 million.

Trump Responds to Bombshell Report

Alan Garten, a lawyer for the Trump Organization, told The Times that “most, if not all, of the facts appear to be inaccurate” and requested to see documents in question. 

The Times reported that when they declined his request in order to protect their sources, Garten “took direct issue only with the amount of taxes Mr. Trump had paid.”

“Over the past decade, President Trump has paid tens of millions of dollars in personal taxes to the federal government, including paying millions in personal taxes since announcing his candidacy in 2015,” Garten said. 

In response to that statement, The Times noted that Garten seemed to conflate “personal taxes” with other federal taxes Trump paid for his household employees. It added that Garten claimed Trump paid some of what he owed with tax credits, but it argued that was a mischaracterization of how those credits work.

As for Trump himself, in response to a reporter at a press conference, Trump dismissed the report as “fake news.”

“No,” Trump said on Sunday. “Actually, I paid tax. But — and you’ll see that as soon as my tax returns — it’s under audit. They’ve been under audit for a long time. The IRS does not treat me well.” 

“But they’re under audit. And when they’re not, I would be proud to show you. But that’s just fake news.” 

When asked if he could give people an idea of how much he was actually paying, he said, “Yeah, basically — well, first of all, I’ve paid a lot, and I paid a lot of state income taxes, too. The New York State charges a lot, and I paid a lot of money in state.” 

On Twitter Monday morning, Trump again called the report fake news and added, “I paid many millions of dollars in taxes but was entitled, like everyone else, to depreciation & tax credits.” 

“Also, if you look at the extraordinary assets owned by me, which the Fake News hasn’t, I am extremely under leveraged – I have very little debt compared to the value of assets.”

He then said he may release those financial statements, which he called “very IMPRESSIVE.”

Critics of the President

Soon after The Times article, Joe Biden’s campaign tweeted an ad that showed how much tax American workers like teachers and firefighters pay compared to the $750 Trump allegedly paid.

It is “the latest reminder how clear the choice is here in this race between Park Avenue and Scranton,” Biden’s deputy campaign manager, Kate Bedingfield, said. “You have in Donald Trump, a President who spends his time thinking about how he can work his way out of paying taxes, of meeting the obligation that every other working person in this country meets every year.”

Many others, including celebrities and politicians like Sen. Bernie Sanders (D-Vt.), echoed that point.

“Trump’s tax returns tell us that he’s either a very bad businessman or a tax cheat—likely both,” Sanders tweeted. “But more importantly, it shows how the wealthy, unlike most Americans, are able to avoid paying taxes.” 

Others also argued that Trump’s debts made him a threat to national security, with a Bloomberg columnist writing in a heavily circulated opinion piece: “Due to his indebtedness, his reliance on income from overseas and his refusal to authentically distance himself from his hodgepodge of business, Trump represents a profound national security threat – a threat that will only escalate if he’s re-elected.” 

Defense of the President

Others, particularly supporters of the president, condemned The Times for reporting the story, including Sen. Ted Cruz (R-Tx.).

“Well, I don’t know how accurate the story is. The New York Times didn’t release any of the underlying documents,” the senator said in an interview with The View.

“Apparently somebody illegally gave them a copy of something, some tax return documents. I don’t think it’s an issue that frankly impacts a whole lot of Americans.”

“But the point is I don’t know if it’s accurate or not. I don’t think it’s an issue that frankly impacts a whole lot of Americans.” 

Conservative commentator Candace Owens also reiterated that point on Twitter.

“It’s time for our Department of Justice to begin looking into the New York Times,” she wrote.  “I don’t care what you think of Trump— if government officials are turning over an individual’s federal documents in an effort to sway an election—it is a federal crime of epic proportions.”

Others claim the story was intentionally dropped two days before the first debate between Trump and Biden, which is set for Tuesday.

See what others are saying: (The New York Times) (Axios) (Associated Press)

Politics

Trump Mocks Florida Gov. “Ron DeSanctimonious” Ahead of Possible 2024 Bid

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The former president may announce a bid to take back the White House on Nov. 14, according to his inner circle.


Trump Concocts His Latest Nickname

From “Little Marco” and “Lyin’ Ted” to “Sleepy Joe” and “Crazy Bernie,” former president Donald Trump’s nicknames for his political opponents have been known for their punchy style, but Republicans found it hard to swallow his latest mouthful for Florida Governor Ron DeSantis.

“We’re winning big, big, big in the Republican Party for the nomination like nobody’s ever seen before,” he said Saturday at a rally in Pennsylvania. “Trump at 71, Ron DeSanctimonious at 10%.”

The former president drew rebuke from some allies and conservative commentators for driving a wedge through the GOP three days before the midterm elections.

“DeSantis is an extremely effective conservative governor who has had real policy wins and real cultural wins,” tweeted The Daily Wire’s Matt Walsh. “Trump isn’t going to be able to take this one down with a dumb nickname. He better have more than that up his sleeve.”

“What an idiot,” wrote Rod Dreher, a senior editor at The American Conservative. “DeSantis is a far more effective leader of the Right than Trump was, if, that is, you expect a leader to get a lot done, rather than just talking about it and owning the libs.”

In April 2021, Trump said he would “certainly” consider making DeSantis his running mate for a potential 2024 presidential bid. But as DeSantis established himself as a credible rival to Trump, their relationship grew colder.

Last September, sources told The Washington Post that Trump had called DeSantis “ungrateful” in conversations with advisors. The former president reportedly had not spoken with the governor in months.

The Party of Trump or DeSantis?

One day after his “DeSanctimonious” jab, Trump took to the stage in Florida to support Sen. Marco Rubio’s (R) reelection campaign but grabbed more attention when he seemed to endorse DeSantis for governor.

“The people of Florida are going to reelect the wonderful, the great friend of mine, Marco Rubio to the United States Senate, and you’re going to reelect Ron DeSantis as your governor of your state,” he said to the cheering crowd.

The brief moment of support was overshadowed, however, by the conspicuous absence of DeSantis himself.

Both men held competing, contemporaneous rallies in the same state hundreds of miles apart, and multiple sources told Politico that DeSantis was not invited to Trump’s event, nor did he ask to attend.

The governor has repeatedly refused to say whether he will make a run for the presidency in 2024, but national polling consistently puts Trump ahead of him among Republicans by a wide margin.

Some recent polls, however, have shown DeSantis to lead the former president in specific states like Florida and New Hampshire.

A survey last month found that 72% of GOP voters believe DeSantis should have a great or good deal of influence in the future direction of the party, while just 64% said the same about Trump.

Sources told Axios that Trump’s inner circle is discussing a Nov. 14 announcement for his presidential campaign, timing it to capitalize on the expected post-midterm euphoria as vote counts roll in.

See what others are saying: (The New York Times) (Fox News) (Politico)

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The Midterms Are Tomorrow, But We May Not Have Results for a While. Here’s What You Need to Know

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The counting of mail-in ballots and possible legal challenges will almost certainly slow the final results.


Election Delays Expected

As Americans gear up for Election Day on Nov. 8, experts are warning that many races, including some of the most highly anticipated ones, may not have the final results in for days or even weeks.

These delays are completely normal and do not indicate that election fraud or issues with vote counting took place. However, like in 2020, former President Donald Trump and other election-denying Republicans could seize on the slow-coming returns to promote false claims to that effect.

There are a number of very legitimate reasons why it could take some time before the final results are solidified.  Each state has different rules for carrying out the election process, like when polls close and when ballots can start being counted.

There are also varying rules for when mail-in ballots can be received and counted that can extend when those votes will be tallied. That lag could seriously skew early results in many places because there has been a major rise in the number of people voting by mail.

Red Mirage, Blue Mirage

One very important thing to note is that the early returns seen on election night may not be representative of the final outcomes. 

In 2020, there was a lot of talk about a “red mirage,” which is when ballots cast on election day and favoring Republicans are reported first while mail-in ballots used more by Democrats are counted later, creating the appearance that Republicans have a much wider lead.

That phenomenon may very well take place in several key battlegrounds that not only could decide the House and the Senate but also have incredibly consequential state-wide elections of their own.

For example, in Pennsylvania and Wisconsin, election officials cannot start counting mail-in and absentee ballots until Election Day. 

Some experts have also speculated that a similar occurrence could occur in Georiga because the suburbs — which have shifted blue in recent years — report their results later than rural counties.

At the same time, there are also some states where the opposite might happen: a blue mirage that makes it seem like Democrats are doing better than they actually are.

Such a scenario is possible in Arizona, where election officials can process mail-in ballots as soon as they receive them, and where a similar trend played out in 2020.

Other Possible Slow-Downs

Beyond all that, there are a number of other factors that could delay when results are finalized.

For example, in Georgia, candidates need to get at least 50% of the vote to win, and if none do, then the top two are sent to a run-off election on Dec. 6. That is a very real possibility for the state’s closely-watched Senate race because there is a libertarian on the ballot who could siphon enough votes from Republican Herschel Walker and Democratic Sen. Raphael Warnock to keep them both below the 50% threshold. 

In other words: if control of the Senate comes down to Georgia again — as it did in 2020 and which is a very real possibility — voters may not know the outcome until a month after the election.

Meanwhile, experts also say that legal battles over mail-in ballots could further delay results, or even go to the Supreme Court. According to The New York Times, before Election Day, over 100 lawsuits had already been filed.

In Pennsylvania, for example, the State Supreme Court ruled last week in favor of a lawsuit from Republican groups requesting that mail-in ballots that did not have dates on outer envelopes be invalidated, causing thousands of ballots to be set aside. Multiple rights groups are now suing to get that decision reversed. 

See what others are saying: (NPR) (ABC News) (Reuters)

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DHS Confirms Paul Pelosi Attacker is a Canadian National in the U.S. Illegally

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The suspect espoused many political conspiracy theories promoted by the American far-right and told investigators he wished to harm House Speaker Nancy Pelosi to send a message to other U.S. politicians.


Pelosi Attacker’s Immigration Issues

The man accused of attacking Paul Pelosi and trying to kidnap House Speaker Nancy Pelosi (D-Ca.) is a Canadian national currently residing in the United States illegally, according to a statement from the Department of Homeland Security (DHS) late Wednesday.

Law enforcement officials say the suspect embraced far-right conspiracies about U.S. politicians and told investigators he wanted to break the House Speaker’s kneecaps as a lesson to other members of Congress. 

Despite his lack of citizenship, the man also allegedly told police he was on a “suicide mission” and had a list of state and federal lawmakers he wanted to target.

In its statement to the media, DHS said that Immigration and Customs Enforcement (ICE) had lodged a “detainer” on the suspect, which is a notice the agency intends to take custody of an individual who could be deported and requests it be notified before that person is released. The detainer, however, likely will not impact the case against him, because deportations are civil proceedings that happen after criminal cases are resolved.

According to several reports, federal records indicate the suspect came to the U.S. legally via Mexico in March 2008. Canadians who travel to America for business or pleasure are usually able to stay in the country for six months without a visa. DHS told The Washington Post the Canadian citizen was admitted as a “temporary visitor” traveling for pleasure.

Before the confirmation from DHS, there was some mixed reporting on how long the suspected attacker has been in America. On Monday, an anonymous U.S. official told the Associated Press the man had legally entered in 2000 but stayed way after his visa expired.

One day later, The New York Times reported he was registered to vote in San Francisco County from 2002 to 2009, and even voted once in 2002. 

Heightened Security Concerns

The new revelation comes as lawmakers are facing increased threats, prompting conversations about safety and security with a specific focus on the role of the U.S. Capitol Police (USCP).

On Tuesday, multiple outlets reported that USCP security cameras trained on the Pelosi’s house actually captured the attack, but no one was watching. In a statement Wednesday, the agency said its command center has access to around 1,800 cameras and not all are watched constantly.

The Capitol Police also said that the Pelosi’s home is “actively” monitored “around the clock” when the Speaker is there, but not when she is in Washington.

As a result, many argued that there should be more security and surveillance for the second person in line for the presidency — especially given the threat of violence after the Jan. 6 insurrection and warnings from law enforcement ahead of the midterms.

That was echoed in a scathing letter yesterday sent to Capitol Police by Rep. Zoe Lofgren (D-Ca.), who is one of the most senior Democrats in Congress and heads the Administration Committee.

In her letter, Lofgren noted that the agency “has previously reported to the committee that the speaker receives the most threats of any member of Congress,” and asked why that protection was not extended “to the spouses and/or other family members of the congressional leaders in the presidential line of succession.”

She questioned why the USCP had turned down an offer from the FBI for some of its officers to be part of terrorism task forces investigating threats against Congressmembers and why it had not made a formal agreement with San Francisco police for a car to be posted at the Pelosi’s home 24-hours a day as had been done in the months after Jan. 6.

Lofgren also inquired why the Capitol Police did not direct more threats against lawmakers for prosecution. She noted that members of Congress received at least 9,625 threats in 2021, but just 217 were referred.

Editor’s Note: At Rogue Rocket, we make it a point to not include the names and pictures of mass murders, suspected mass murderers, or those accused of committing violent crimes who may have been seeking attention or infamy. Therefore, we will not be linking to other sources, as they may contain these details.

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