i think this is different. the original sin of america is slavery. the modern gop was formed directly around race relations and the resentment of the dixiecrat south about civil rights.
the gop couldn’t directly use race resentment as it’s call, so they cultivated resentment of the federal government for other reasons. things like environmental regulations, gun regulations, and of course taxes.
no taxation without representation became no taxation at all. the complexity of the irs was born, i think, entirely out of trying to make taxes as painful as possible and to make people feel that the federal government was giving advantages to people everyone but you.
the tax prep industry grew to address that need. ( one thing government excels at is creating new markets. healthcare, insurance, property, colonial expansion, tax avoidence lawyers, you name it. )
to the extent there is capture, i think it’s primarily around businesses like apple and amazon seeking to keep and create corporate tax loopholes big enough to drive trillions through
That’s not the same as what’s going on here. Both an employee and a gig contractor are being paid income. Either a W-2 or 1099, and the person getting it is paying income taxes on it.
To work the way Trump’s taxes indicate, the gig employee needs to create a company, Gig E LLC. Gig E LLC can then sell services to Uber, DoorDash, whomever, and Gig E LLC will be paid creating a revenue stream for Gig E LLC. Gig E LLC will have one employee or sub contractor Gig E, and Gig E LLC will pay Gig E almost nothing. If that was it, Gig E LLC would have profits and need to pay taxes on them. But, we’re not done, Gig E LLC has other expenses besides paying Gig E. Gig E LLC pays for housing office space, food, entertainment, travel, all kinds of stuff to keep Gig E happy. Since Gig E wouldn’t work for Gig E LLC for just the crap pay. Now, that money is no longer income for Gig E, pays no income tax on it. Gig E LLC spends so much that it makes no profit from selling services, just breaks even. Hence, pays no tax on profits that don’t exist.
The GOP has been anti-government since Ronald Reagan, and anti-tax at least since then.
This is completely at odds with the first Republican president who told us we were a “government of the people, by the people, for the people.”
We should all pitch in our fair share of taxes to make everything work for everybody. But the wealthy would rather keep the money and still reap the benefits-- even if you take away programs that benefit the poor and working class the wealthy will still do everything they can to avoid paying taxes, even if it means paying accountants to hide assets instead of just paying the taxes on them.
Maine’s got ranked-choice voting this tome around. That’s the best way to break the Democratic / Republican duopoly. I’m hoping it catches on (ALSO! GERRYMANDERING)
Interesting. Although on the three points, (1) I have nothing but besides the amount and the fact this has been outstanding for so long there’s nothing odd about a diaper over whether a tax credit applies, (2) the Times article says $26 million to consultants but only identifies $767k to family, (3) I don’t know that the personal/business distinction is that clear cut. The Times article also suggests that his personal celebrity is the thing keeping his other businesses afloat.
I do agree with Warren that the tax system is broken although the answer always seems to be to have more of it.
I like your full explanation of Trump’s tax maneuver. Thanks.
I realize that a corporation taking advantage of unincorporated contractors in order to avoid employee protections and payroll taxes isn’t the same as an individual who creates a 1-person corporation in order to avoid paying income taxes, but in many ways they represent the same approach to tax avoidance.
If you read the criminal code with an eye toward occupying that enormously profitable space between what is immoral and what is illegal, you might be a corporate entity.
He probably thinks he can pardon himself. Also, most criminals don’t include getting caught in their planning.
At 74 and obese, it has nearly worked his entire life. Another four years and he’s going to get some kind of court mercy to serve out his sentence under house arrest with full time nursing.
