My Question To The IRS

[gab13by13]

I have an appointment for my taxes on the 14th, if I claim a 48 million dollar loan, without documentation, to get a better return, will you audit my return?

IF the answer is yes, why the fuck haven't you been auditing Trump?

[Silent Type]

1. Claiming such a loan probably won't reduce your taxes. Now, if you have a loan for say $100 Million and bank forgives

half of that loan, you MIGHT owe taxes on the $50 Million or so. But there are exceptions to that.

Remember when Biden was talking about student loan reductions/forgiveness, there was concern that the forgiveness could be taxed.

Usually student loan forgiveness would be treated as taxable income. However, the American Rescue Plan Act (ARPA) of 2021 temporarily exempted student loan forgiveness under IDR plans from federal taxation through 2025.

Here's a discussion about the loan and investigations as far back as 2020.

[gab13by13]

3. Yeah but,

if I take 48 million off my income and claim it is a loan I should get a good tax break, I think?

Didn't Trump basically take out a loan from himself?

[Silent Type]

5. No. Unfortunately, the folks writing the articles about this don't really know what they are talking about, other than

we all despise trump and hope he gets skewered.

This matter occurred in 2012. Has been investigated a few times, plus investigative reporters haven't found anything (could be there, though). Interestingly, the origianl loan was by an entity that George Soros was involved in.*

Here's what IRS website says about forgiven loans. Notice the last line. If I am not mistaken, trump had a bunch of properties in bankruptcy, reorgization, refinancing, etc., back then. My guess is trump's accoutants will claim original loan was cancelled as part of reorganization and forgiveness should not be taxed. Of course, 90 million of us will disagree.

"The tax impact of debt forgiveness or cancellation depends on your individual facts and circumstances. Generally, if you borrow money from a commercial lender and the lender later cancels or forgives the debt, you may have to include the cancelled amount in income for tax purposes. The lender is usually required to report the amount of the canceled debt to you and the IRS on a Form 1099-C, Cancellation of Debt. There are several exceptions to the taxability of cancelled debt, such as insolvency or bankruptcy. "


From Chicago Times story in 2020:

"The original investors in the Fortress loan included Grove Capital LLP, the hedge fund controlled by George Soros. The involvement of the progressive billionaire may be seen as ironic in hindsight, given that Soros is a frequent target of Trump’s most ardent conservative supporters. Another reported early investor was the real estate arm of Cerberus Capital Management, another New York hedge fund. Trump later appointed Cerberus co-chief executive Stephen Feinberg to chair the President’s Intelligence Advisory Board.

It is unclear who else invested money in the loan, but the deal was made at a time when Trump was having difficulty borrowing money from traditional banks because of the number of times he had defaulted on large loans."

[The Roux Comes First]

2. I Have a Different Question

How many internal contortions do you have to go through to continue to preserve the tax-exempt status of religious organizations who are increasingly obviously intruding in major ways in politics and putting large weights in the scales of justice? Or is that even a consideration these days?

[brooklynite]

4. Depends on whether you claim it as an expense or loss on your tax return.

Do you have evidence that Trump did? (hint: he didn't because he hasn't filed his tax return yet).