October 10, 2016
There have been many high profile businesses and individuals caught up in tax scandals recently, from Apple to Google and Jimmy Carr to Take That. But perhaps the most shocking case is that of Donald Trump.
Press coverage surrounding the Presidential candidacy has recently heavily focused on Trump’s historical tax payments, or lack thereof. It was suggested in documents released by The New York Times earlier this month that the construction mogul potentially avoided tax due to the declaration of losses totalling £916million in 1995. The majority of this allegedly came from his Atlantic City Casinos, a suggestion which his rival Hilary Clinton was quick to debunk:
“How anyone can lose a dollar, let alone a billion dollars, in the casino industry is beyond me. The whole story tells us everything we need to know about how Trump does business.”
The Republican candidate, however, made it clear that he felt his actions were brilliant and demonstrated the extent of his business acumen, telling supporters “I understand the tax laws better than almost anyone.”
For someone in the running to become the most influential individual in the United States to be so openly brass about working the system in order to pay less taxes is quite simply jaw-dropping. It’s also deplorable that an individual with the potential to become the next American President would call these tactics ‘smart’.
While Trumps current situation and financial backing means he doesn’t currently face any penalties for his actions (though how long this will remain the case is anyone’s guess) such tactics are certainly very risky for the rest of us. Anyone working across the globe must ensure they remain compliant with local tax laws in order to avoid potentially hefty fines.
Speak to the team to find out how we can help you stay on the right side of the law in your chosen location.
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