- Nov 15, 2013
- Reaction score
This explanation only flies if the company owns one property. Yes, in year 1, you might have a large amount of bonus depreciation and show a loss. But in years 2+ you will make more because the depreciation is lower. Someone with a yuge real estate empire would not be showing losses because they would have mature properties producing far more income than they would lose on the 1-2 new properties each year.Great explanation. Thank you.
You idiot. That's obvious. You still posted it, and you don't understand the post. It's legal spin.It’s the statement from Trump’s attorney. If you have an issue, you have it with him. Or maybe it’s just your personal mental health issue.
Certainly. Let's say you decide you want to purchase a $100,000 investment property. You have $100K in cash, so you could buy it debt free, or you could put a certain percentage down and borrow the rest. Assume we plan to make $5K in operating income before depreciation in year 1. The investor that borrows and puts down 10% will make a higher percentage return on their investment (5k/10K = 50%) than the person that paid $100K in cash (5k/100K = 5%). You've made a higher return because you've leveraged your investment.
I have no idea what Trump's financial position is. But a good real estate investor should always be able to take advantage of the generous tax rules and never show a profit after depreciation on real estate. The public is financially illiterate and doesn't understand this, which is why Trump releasing his tax returns was never going to be the enlightenment that some thought it would. Although I believe he should have released his taxes back in 2016.
This explanation only flies if the company owns one property. Yes, in year 1, you might have a large amount of bonus depreciation and show a loss. But in years 2+ you will make more because the depreciation is lower. Someone with a yuge real estate empire would not be showing losses because they would have mature properties producing far more income than they would lose on the 1-2 new properties each year.
Any one year could be an exception to this of course. But if you're showing losses or no income year after year you're either a tax cheat or a bankrupt moron. Period.
Not the primary purchase, but leasehold improvements and retail improvements qualify. And this was increased from 50% to 100% in the Trump tax cuts. Coincidence I'm sure.Just a technical point: Section 179 and bonus depreciation normally don't apply to real estate. Real estate still has to be depreciated straight line over pretty long lives.
So is your accusation that .....You believe his BS. Wow. SMH - I have a bridge in Brooklyn I can sell you - very inexpensive
Duh, he's a Fing criminal - he shows a loss so he doesn't have to pay taxes.(Ask your HR Block Rep to explain it), Do you get that? This is a person who lies like normal people breath and values money and his image as a mogul above everything else.
"Ultimately, Mr. Trump has been more successful playing a business mogul than being one in real life." - From the NYT article.
If your think his returns are accurate then he is is a total and complete failure as a businessman. If I am correct then he is a fraud. Based on the numerous things he's lied about/downplayed - i.e. the virus, it is obvious that my supposition is the correct one.
The correct answer is Trump is a tax cheat at the state and Federal level. Donny Boy needs dummies like you to keep the gravy coming and to keep the chains at bay for another few years.So is your accusation that .....
A- You think the returns are inaccurate the IRS despite annual audits of him cannot figure it out?
B- Do you think he is a stupid dotard who loses money every year?
C- Due you think he is smart and he is raking in tons of "revenue" every year?
D- Do you just hate Trump and have a severe case of TDS and have no clue about his finances?
I am going with D here.
It's a BS argument. Trump's qualification was "he's such a successful businessman." "He'll run the country like a business." But he's not and things like this prove it. If his taxes showed he made 250/year million and paid 50-75 million in taxes, no one would be outraged.