While not on the scale of Trump’s business “operating loss”, Hillary Clinton – like many ‘wealthy’ individuals is taking advantage of a legal scheme to use historical losses to avoid paying current taxes.
As Bloomberg notes, this federal tax break is among the wealthy’s most used avoidance schemes…
Those 1.1 million folks in the 1 percent, as measured by the TPC, have annual income that averages a little less than $700,000. The top one-tenth of that group, some 110,000 households, average about $3.6 million, according to Howard Gleckman, a senior fellow at the TPC.2
The middle of the pack, some 33 million people, have pretax income ranging from $45,000 to $80,000. The lowest one-fifth of taxpayers, a universe of about 47 million Americans, have income up to about $24,000.
Among the biggest of these givebacks, courtesy of the Internal Revenue Service (well, really Congress), are capital gains and dividends—these are the biggest way the wealthiest benefit.
In the words of Hillary Clinton’s campaign manager, “this bombshell report reveals [Hillary Clinton’s] past business failures… and may show just how long [Hillary Clinton] may have avoided paying taxes.”
See, this is one of those “holier than thou” moments, and I’m not talking about Clinton here. I’m talking about all the people who are apparently outraged and appalled by what Trump did with his taxes.
Was it crappy? Yes. Would every single one of these people having fits right now do the same damn thing if they had the chance? You better believe it!
And I don’t want to hear a damn person say they wouldn’t. Every year we do our taxes. And every year we do everything we possibly can to pay as little in taxes as we possibly can. If we stumbled on this… yes, every last one of us would take advantage of it. Heck, Hillary herself makes most of her charitable donations to herself and then uses those donations as a tax write off! And the media labels her as “so giving!”
Does this portion of the tax law need to be changed? I think it does. But I’m not going to get mad at someone for using it while it is there. Because we all try to find whatever loophole we possibly can to get out of taxes.