[trident1000]

None of them are serious. NY Times made a big deal out of trumps taxes when everyone knows depreciation offsets revenue in real estate, its 101 stuff. You get taxed when you sell the asset which happens infrequently but in large magnitude. Most people in the industry were laughing at the gaslighting they did on that story but they fooled their little pawn readers. Just one example out of many. Every news source is full of shit even the ones that are supposed to be reputable.

[zpeti]

I feel sorry for you for getting downvoted, anyone with a basic understanding of accounting and tax should know this. Also the issue picked on in later comments, yes you absolutely can report different valuations to different entities, in the US, UK, and probably everywhere else too.

Tax accounting is completely different to accounting you show to a bank for a loan. This is normal because they are used for different things, and are accounting for different things. For example - the tax rate and taxes paid have a real impact on cashflows which would impact your eligibility for a loan. In tax returns taxes paid are not included in profit and loss, because that would lower the tax paid by businesses.

So yes, NYT was absolutely gaslighting.

[MisterBastahrd]

Reporting one set of finances to the government and another to banks is a crime.

[trboyden]

No it is not. Inventory, for example, can have two basis values, taxable inventory, and fixed asset inventory value. One is what the IRS requires via GAAP reporting, and the other is used to secure lines of credit.

[aksss]

Yeah, that’s not true, though you may wish it were. Many industries operate essentially three sets of books - one for the IRS, one for regulators, and one for the street. The requirements for valuation and burdening can be different based on audience. I don’t know whether it applies in trumps case but the headlines and righteous talking points got pretty silly. “Trump offset gains by losses” - yep. Meanwhile let’s talk about how many of these senators (particularly some of the most self-righteous) after decades of only federal employment have somehow become multimillionaires.

[trident1000]

We have no information on this except what the NYT's reports in half truth. For instance if there was a time gap between reporting that could cause a mismatch as finances change over time. You can also have retroactive amendments as almost every major company has which are reported in different years. I havent dug deep into this as its not an important topic for me but I just wouldnt take the around the edges reporting at face value from a source as biased as the times.

[microtherion]

One way to get a more complete picture of the tax situations would be for Trump to release his tax returns, as he had promised repeatedly in 2016, and as every other president since Nixon has done.

[trident1000]

This story is exactly why he hasnt released his taxes

[whateveracct]

You realize the real story re: Trump's asset depreciation is that he reported one valuation to the govt and one to his banks when seeking loans, right?

[skinkestek]

I do the same:

In my tax report I think my house is valued at 400 000 NOK.

When I talk to the bank it will probably be worth 4 200 000 NOK.

Tax authorities here know as banks update them every year.

Also in accounting it is common. I remember asking my teacher about it when we had basic accounting and it is simple: if you depreciate (?) an item to less than it is worth you just have to report a profit when you sell a "worthless" asset. (I'm not an accountant and English is not my first language but I think it should be possible to understand.)

[whateveracct]

I am fairly sure that is tax fraud lol. I don't think I could take out a loan on a property by giving one valuation and in the same year give a vastly different one for my taxes.

[skinkestek]

No, it is even the tax office who came up with the much lower number in my case.

It is like this for everyone!

Same with depreciation rules, when I learned the rules here my teacher was actually working with the tax authorities.

Depreciation in accounting is a technicality. And if you happen to sell a thing that is technically worth 0 in the books that just becomes an extra inflow of money to the company, which is taxable and so the tax authorities get their money.

Unless you have learned accounting, be careful :-)

[trident1000]

The story headline that was coordinated and gaslight was "trump didnt pay any tax". Everything else was anecdotal, I didnt look into this specific matter because I was rolling my eyes from the start. If they cant be honest about the main story I'm not following them for the rest of the allegations.