Showing posts with label IRS. Show all posts
Showing posts with label IRS. Show all posts

Friday, April 17, 2020

Trump’s War on the States

Armed protesters in Michigan - Photo/Paul Sancya.
With each passing day of the Covid-19 pandemic, several things become clear to mentally functioning Americans: (i) the extent of Donald Trump's malignant narcissism, (ii) Trump's ignorance of and contempt for America's constitutional government as he claims all power to himself, and (ii) the ignorance and idiocy of his base which he and provocateurs at Fox News and right wing "news" outlets are protesting against state lock-down orders that are successfully slowing the virus. Tellingly, at many of such protesters, the Trump faithful are showing up waiving their guns thus demonstrating a need to compensate for their infinitesimally small male endowments and equally small brains.  Through it all, Trump rails at state governors who he cannot control and who, under the constitutional system have the power to protect their states even if the result is an economy that will not be helpful to Der Trumpenführer's re-election prospects.  A piece in New York Magazine looks at Trump's unhinged war on the states which hopefully will blow up in his face.  Here are highlights:

After weeks of disappointment with the White House’s pandemic response, a group of governors in the Northeast and one on the West Coast have announced plans to coordinate the reopening of businesses and schools regionally. Could this bring an escape from Trump’s policy shortcomings, or will it simply escalate his attempts to grab power?
Nothing will stop Trump’s attempts to grab power. His novel theory of presidential governance, as he himself has defined it, is to seize “total” authority while bearing no responsibility. He will throw any power move against the wall to see if it sticks. When the coastal coalitions of governors chose to flatly ignore or, in Andrew Cuomo’s case, mock his bid to set himself up as a king, he pivoted in a blink to his dead-on-arrival push to adjourn Congress so he could staff governmental vacancies with a new round of C-list hacks who wouldn’t be subject to Senate approval.
Every day a new tantrum, a new search for scapegoats for his catastrophic mismanagement of America’s public-health catastrophe, and a new attempted end run around the rule of law. The daily Trump show is the most predictable daytime television series since Romper Room.
Yesterday Trump again threatened to use his power to wreak vengeance against states who don’t do his bidding: “If we’re not happy, we’ll take very strong action against a state or a governor … But many governors — and not exclusively those in the coastal coalitions — will refuse to obey Trump’s much-hyped decision to “open” America by May 1. (For the first time, May Day may prove synonymous with Mayday.) Already, some of the Wall Street tycoons he strong-armed into White House conference calls yesterday told him that most Americans won’t return to work without a wholesale testing regimen to assure them their lives are not at risk. Since Trump continues to claim that America now has “the most expansive testing system anywhere,” a desperately needed federal testing initiative will continue not to happen and much of the country will continue not to reopen. But while Trump doesn’t have the power to “close down” states that defy him or to force private businesses to open with a “big bang,” he does have one kind of power — political power. And he will wield it. Not with the goal of defeating the coronavirus — he’s convinced himself that war is won — but with the goal of arousing his base to a red-hot pitch of rage that will guarantee its massive turnout in November. You see it in the internet fever swamps, where Anthony Fauci is a deep state traitor and #FireFauci is a battle cry that Trump retweeted for a reason, despite his subsequent claim that he won’t fire Fauci. You see it in the pronouncements of Republican politicians like the Texas lieutenant governor Dan Patrick, the Indiana congressman Trey Hollingsworth, and the Louisiana senator John Kennedy, who have prioritized a reopened economy over the lives of their constituents. . . . .  And of course you see it on Fox News, where the prime-time lineup is trying to foment this street theater into a national phenomenon, social distancing be damned. “ Where will this lead? There’s no way to predict what will happen on Election Day. But unless you choose to ignore what’s already happening in other nations that lifted restrictions too early, there will be new waves of the virus, including in rural America, among religious congregations that abandon social distancing, and at MAGA venues where Trump hopes to rekindle his rallies. Even now, we are seeing a rise in hot spots in states like Florida, governed by mini-Trumps who were tardy in shutting down as the virus hit — and are, in Trump’s language, “chomping at the bit” to reopen. It’s been clear this week that Trump has hit a new level of berserk since last weekend’s epic Times report documenting in meticulous detail that he squandered at least six weeks to inaction, as the virus cut its lethal swath across America. He even used a coronavirus press briefing to unveil a Goebbels-esque propaganda video (produced at taxpayers’ expense) to try to rewrite that history. Trump has ordered that his own name appear on the Treasury’s stimulus checks, an addition that will likely delay payment for many recipients who need it most. . . . The benefits of this stunt will be short-lived in any case. The Washington Post reports today that the IRS’s first distribution of these payments, by direct deposit, is another major screwup that has affected millions of Americans. Whenever the cash arrives, with or without Trump’s signature, it won’t last long for the struggling recipients. Trump’s refusal to endorse any emergency aid for an already challenged postal system — as of last weekend 19 employees had died, and roughly 1,000 had tested positive or were presumed positive for the virus — could further slow the checks’ arrival . . .
As an added insult, the federal relief program to shore up small businesses that retain their employees has now run out of money altogether.
But like that proverbial rooster who would take credit for the sunrise, Trump can always be counted on to take credit for any good news, even if he had little or nothing to do with it. And to blame everything that goes wrong on someone else. If Americans don’t get their $1,200 promptly, that will be Nancy Pelosi’s fault. The immediate crisis for Trump is that the failures are rapidly outpacing the list of handy scapegoats as this pandemic marches on.

Friday, September 20, 2019

Christian Activist Group Demands Criminal Probe of Jerry Falwell Jr.

This blog has previously noted stories concerning Jerry Falwell, Jr.'s possible use of Liberty University's assets to enrich himself, his family and friends - especially two young and very attractive young men - who have received sweetheart deals worth millions of dollars. Now, Falwell finds himself with a liberal Christian activist organization calling on the IRS - which polices non-profits spinning off wealth to corporate board members and officers - and Virginia Attorney General Mark Herring to investigate Falwell and the potential misuse and misappropriation of Liberty University assets. In the process, the organization also accuses Falwell of un-Christian conduct and perverting the Christian message.  Frankly, Falwell business transactions involving Liberty assets would seem to deserve a thorough investigation. NBC News looks at the continuing scandal following Falwell.  Here are story excerpts:

An activist Christian group has launched a petition drive to get the Virginia Attorney General’s office and the IRS to open criminal investigations into Liberty University President Jerry Falwell Jr.
So far Faithful America has collected 10,875 signatures and hopes to reach their goal of 15,000 by this weekend.
“The response has been great so far, more than we expected,” said Rev. Nathan Empsall, the organization’s Campaigns Director. “But that shouldn't come as a surprise given how fed up so many Christians are with the way Falwell and others have hijacked the Gospel to represent their hypocritical own self-interests rather than Christ's teachings of love and justice.”
The drive comes in the wake of exposés by Politico, The Miami Herald and other news outlets which have accused Falwell of, among other things, using the influential and ultra-conservative Christian college to enrich himself and his cronies.
Falwell is also alleged to have engaged in activities that run counter to the Christian college’s ethos like sharing photos of his wife, Becki, in French maid costume with employees, graphically describing their sex life, and drinking and dancing in Miami Beach nightspots.
Empsall, who is also a priest associate at the Episcopal Church of St. Paul & St. James in New Haven, Connecticut, said Faithful America has been critical of Falwell before “when he’s made, for example, anti-Islamic statements.”
“The difference is now we are calling for a criminal investigation because there has been this snowball of stories that point out that there is a potential pattern of criminal self-dealing at Liberty University,” he said. “We’ve always known this guy is an extremist and a hypocrite and he should face social consequences for that. This is the first time we’re calling for legal consequences.”
NBC News has reached out to Liberty University spokesman Scott Lamb and Liberty University Board of Trustees chairman Dr. Jerry Prevo for a response.
Faithful America is a left-of-center group that was founded in 2004 and affiliated with the National Council of Churches of Christ.
Previously, it launched a petition drive demanding the resignation of Franklin Graham from the Billy Graham Evangelistic Association for “preaching hatred and Trumpism” and another urging publisher HarperCollins to drop Focus on the Family founder James Dobson “for his discrimination against women, immigrants, and the LGBT community.”

Tuesday, February 12, 2019

Trump Tax Cuts Are About to Become a Political Disaster

Trump and GOP leadership grinning as they screwed millions on taxes.
Anyone who paid attention to the details of the Trump/GOP tax cuts should have known that the middle class and small business owners were going to get screwed over royally as almost all of the significant cuts when to the extremely wealthy and large corporations.  Add the scam of juggling payroll withholding to artificially inflate take home pay by small to modest amounts with the GOP knowing full well that come April, 2019, the taxpayers would finally realize that they had been had and its a recipe for political disaster.  Yet many in the GOP base in particular bought the GOP lie  since they have become a group immune to facts and the real truth.  A piece in New York Magazine looks at the political reckoning that may be about to hit.  Here are excerpts:
At about this time one year ago, things weren’t looking good for the GOP. In the wake of a special Senate election in Alabama — in which the Republican Party had rallied behind the failed candidacy of a theocratic ephebophile — Democrats had jumped out to a commanding lead in the congressional generic ballot. Money was flooding into Team Blue’s campaign coffers. Republican incumbents were heading for the revolving doors.
But GOP operatives insisted that the “blue wave” on the horizon would crest long before November — because the Trump tax cuts were about to kick in. Once voters saw fatter paychecks, Republicans would see better poll numbers. And just to be sure that voters noticed all the good Paul Ryan had done for them, the Trump administration reportedly pressured the IRS to err on the side of withholding too little from Americans’ paychecks “so people will see big increases in their take-home pay ahead of this year’s midterm elections.”
This did not work out as planned. Even with (allegedly) light withholding, the the tax bill’s breaks for middle-class people weren’t large enough to attract much notice. Between changes in salaries, health-care premiums, and 401(k) contributions, most Americans didn’t detect much tax relief in their paychecks. The Trump tax cuts actually became less popular after they took effect. And, of course, Paul Ryan’s majority drowned in a blue wave.
Now, the bill for the GOP’s (reported) withholding shenanigans is coming due: The average American’s tax refund was 8.4 percent lower in the first week of 2019 than it was one year ago (under the pre-Trump tax code). And while Americans have trouble noticing tax changes when they’re dispersed across 12 to 24 separate paychecks, they do typically pay very close attention to the size of their refunds. . . . for many of those households, that check from the IRS is the largest lump sum they’ll receive all year.
In other words: It looks as though the Republican Party implemented their signature tax bill in a manner that will lead many people who received tax cuts to believe that Donald Trump raised their taxes.
[I]t isn’t 100 percent certain that the IRS’s withholding tables were way off. But current evidence suggests they were. And if that’s the case, then the GOP’s efforts to game withholding won’t just lend credence to the Democrats’ most hyperbolic attacks on the Trump tax cuts — they could also depress economic growth as the 2020 campaign gets underway.
Running for reelection on the strength of a failed attempt to throw millions off of health insurance — and a tax cut that did a lot for the rich, and only a little for the middle class — seems hard. Doing so after you’ve accidentally led millions of Americans to (falsely) believe that you raised their taxes seems harder.

Thursday, November 29, 2018

Kansas Voters Rejected Failed GOP Tax-Cut Experiment

Brownback, architect of Kansas' disastrous tax cuts.
Since the days of Ronald Reagan, the Republican Party has pursued the myth that tax cuts "pay for themselves" and result in a surge in the economy.  It's the same myth that Republicans used in arguing to pass their 2017 Trump/GOP give away to the very wealthy and corporations. Now, the deficit has exploded and no promised surge in investment or economic growth has taken place,  Most of the tax give away went to stock by-backs and shareholders who have stockpiled the money.  This same formula was used in Kansas to disastrous results.   In the last election, voters in Kansas did the unbelievable: they elected a Democrat as governor.  A piece in The Hill looks at Kansas voters' rejection of GOP voodoo economics which ought to send a message nationally - especially when millions of taxpayers find themselves unexpectedly owing money to the IRS in April, 2019, thanks to deliberate IRS under withholding guidelines.  Here are article highlights:
Former Kansas Governor Sam Brownback’s failed “red state experiment” has truly come to an end.
In rejecting Republican gubernatorial candidate Kris Kobach, who advocated restoration of the Brownback experiment, Kansas voters on Election Day put the final nail in the coffin of what even Republican leaders had come to see as a disastrous set of tax and spending cuts that ruined the Kansas economy. 
Kansas’s 2018 election should serve as a political lesson to our national leaders, and the experience of Kansas over the past several years should serve as a policy lesson. 
In 2012 and 2013, Republican Gov. Sam Brownback signed into law the largest tax cuts in Kansas history. The top state income tax rate fell by nearly one-third and passthrough taxes that affected mainly relatively wealthy individuals were eliminated. With the decline in revenues came significant spending cuts in numerous areas. 
“Our new pro-growth tax policy,” Brownback predicted, “will be like a shot of adrenaline into the heart of the Kansas economy.” The theory, one that should sound familiar, was that cutting taxes and regulations on the wealthy would lead to greater investment and innovation, new jobs, more rapid economic growth and a stronger middle class.
Brownback also called his plan “a real live experiment.” . . . But experiments can go badly wrong, and unfortunately Kansans were guinea pigs for one of the worst. It soon became clear that the Brownback experiment had failed to deliver on his promises.
Analysis by Menzie Chinn, a professor of public affairs and economics at the University of Wisconsin-Madison, found that after the enactment of the tax cuts, economic growth in Kansas fell well below its pre-Brownback trend and, by the spring of 2017, the rate of job growth in Kansas was not only lower than the rates in most of its neighboring states but less than half of the national average.
Brownback’s experiment was such a failure that his party turned against him. In 2017, the Republican-dominated legislature, overriding the governor’s veto, rolled back the tax cuts.
But some were not convinced, including Kris Kobach, who made a resumption of the Brownback experiment (with even deeper spending cuts) a fundamental part of his platform in the just-ended campaign. The voters of Kansas, however, had had enough, and his advocacy of the tax and spending cuts was critical to his defeat.
The same arguments used to sell the Brownback experiment were used to sell the $1.5 trillion tax cut signed into law by President Trump last year. Most of the benefits of the cuts went to those at the top of the income spectrum.
This is reminiscent of Kansas, where the extensive cuts in everything from education, health care and transportation to agriculture and higher education dragged down the state’s economy while the money that was accruing to the rich wasn’t being used to ramp up investment. 
The reason for the failure of the Brownback experiment, and the likely failure of the Trump tax cuts, is that they didn’t account for the ways that economic inequality today obstructs, distorts and subverts the pathways to economic growth that is strong, stable and broadly shared.
They ignore extensive evidence of what — in fact — drives economic growth and stability and can deliver improvements in living standards.
Instead, they reflect supply-side economics, as trumpeted by Arthur Laffer, who was a paid consultant for the Brownback plan and a volunteer cheerleader for the Trump tax cuts. Laffer’s theory of growth has been a foundation for economic policies since the 1980s.  
There is an alternative explanation for how the economy grows. . . . . It comes from ensuring that economic inequality doesn’t subvert our institutions — undermining our democracy, our government and the way the market works to the benefit of the few at the top of the income and wealth ladders, rather than the majority.
The voters of Kansas learned a bitter lesson and made sure history did not repeat itself. Leaders in Washington need to learn that lesson and look for ways to invest in a strong middle class for sustained and balanced economic growth.
Of course, the GOP will not heed this advice.  It will be up to voters and Democrats to repair the damage.

Tuesday, February 20, 2018

False Churches - Focus on the Family Declares Itself a "Church"

FOTF founder and Trump BFF, James Dobson
I have long believed that all churches that are not putting the vast majority of their revenues toward true charitable purposes -e.g., feeding the hungry, housing the homeless, aiding the poor, etc. - should not be afforded tax-exempt status. Now, another glaring example of the manner in which taxpayers are being forced to indirectly financially underwrite non-charities is provided by Focus on the Family ("FOTF") which has annual revenues of over $89 million has declared itself a "church."   Where does FOTF spend its money?  One one, it is a leading purveyor of anti-gay lies and disinformation.  It also seeks to control elected officials who will push its Christian dominionist agenda.  And, of course, its leadership cadre laughs all the way to the bank. Very little of the moneys reach what most people would consider true charitable works.  Right Wing Watch looks at this latest abuse of the Internal Revenue Code and IRS rules.  Here are highlights:
Focus on the Family, the behemoth Religious Right organization founded by James Dobson, has declared itself to be a church, thereby avoiding a requirement that it file public tax documents, according to IRS records and a document available on the organization’s website.
Focus on the Family filed as a non-church 501(c)(3) nonprofit as recently as the 2014 fiscal year, submitting to the IRS a publicly available Form 990 as most tax-exempt nonprofits are required to do. But when the group posted a Form 990 for the 2015 fiscal year on its website—dated October 26, 2017, and reporting a massive budget of $89 million—it was emblazoned with the message “Not required to file and not filed with the IRS. Not for public inspection.”
On the part of the form on which it is required to identify the reason for its public charity status, the group indicates that it is a “church, convention of churches or association of churches.”
Focus on the Family declaring itself to be a church is puzzling. While the Colorado Springs-based organization has somewhat softened its image since it was led by the firebrand Dobson, it remains active in political debates and advocacy (even in a nominally nonpartisan way). A “social issues” section on the group’s website currently features information on a supposed threat to bathroom safety posed by transgender people thanks to LGBTQ activists fighting in politics, churches and popular culture, and contains an update on “cultural issues in the courts.” 
Gail Harmon, an attorney who has advised nonprofits on tax law for more than 30 years, said that she had never before seen a nonprofit organization declare itself a church. “I just found it shocking,” she said.
“There’s nothing about them that meets the traditional definition of what a church is,” she said. “They don’t have a congregation, they don’t have the rites of various parts of a person’s life. There’s a whole system for what a church is.”
The IRS lists a number of factors that it considers in determining whether an organization is a church, including whether it has a “definite and distinct ecclesiastical government,” “established places of worship” and “regular religious services,” but notes that an organization “need not have all of the characteristics” listed in order to be considered a church.
We have requested documents on the tax status change from Focus on the Family and from the IRS. Focus on the Family has not responded to our request for comment.



Wednesday, January 10, 2018

New GOP Tax Withholding Could Leave Taxpayer's Owing Money for 2018


Behind the scenes a battle is going on where Republicans are pressuring the IRS to withhold as little as possible from taxpayers' pay checks to fulfill the claims that the tax cut benefits more than the very wealthy.  The problem is that such a move would leave many taxpayers finding out a year from now that either (i) they will get little or no refund, or (ii) they owe money, with many not having the funds to pay the taxes due.  Of course, all Republicans care about is giving a false picture until the 2018 midterms have passed and then it will be a case of "tough sh*t" for those who find themselves owing money a year from now.  A piece in Politico looks at the subterfuge being pushed by Republicans.  Here are highlights:
The IRS is facing its first big challenge implementing the new tax law: deciding how much in taxes to withhold from millions of Americans’ paychecks.
The agency is under pressure to take as little as possible so people will see big increases in their take-home pay ahead of this year’s midterm elections.
But that would come at a cost: smaller or even nonexistent refunds next year, though millions rely on them to plug holes in their family budgets. Democrats are already accusing the Trump administration of plotting "phantom windfalls" ahead of the November contest that will come back to haunt taxpayers next tax season.
“We oppose any attempts by the administration to systematically under-withhold income taxes during the 2018 tax year, knowing that in 2019 taxpayers may find they owe taxes when they were expecting a refund,” Sen. Ron Wyden and Rep. Richard Neal, the top Democrats on congressional tax committees, wrote to acting IRS Commissioner David Kautter.
“You’re going to start seeing a lot more money in your paycheck,” Trump said Monday during a speech to the American Farm Bureau Federation. The IRS did not respond to a request for comment.
There is a history of politicians trying to manipulate withholding, through obscure tables issued by the IRS, with an eye toward providing a short-term boost to the economy. President George H.W. Bush tried it ahead of the 1992 election, and the 1986 tax overhaul attempted, unsuccessfully, to quash refunds altogether.
Most of the new tax law took effect Jan. 1 because Republicans want it to boost growth before voters head to the polls this fall.
As Wyden and Neal pointed out, bigger paychecks now could mean a nasty surprise in 2019. Some accustomed to receiving annual refunds could potentially find themselves suddenly in arrears to the IRS.
“This is not something you want to fool the American taxpayer about — you don’t want to have them feeling good because they’re getting a big bump in take-home pay only to be surprised next year,” said Larry Gibbs, a former IRS commissioner.
“People ought to be able to understand what is being withheld from their paycheck and what that means — not just in terms of a bump in take-home pay, but also whether they’re still going to get a refund,” he said.
Taxpayers have long prized their tax refunds. The share receiving money back from the IRS at tax time has been firmly lodged at 70 percent or more since the 1960s, despite complaints from experts that it amounts to giving the government an interest-free loan.

So what should taxpayers do who receive larger paychecks?  Probably start setting much of it aside to make sure they don't find themselves in a huge mess come April 15, 2019.   Interest and penalties can quickly run up one's bill to the IRS.   As for Republicans, this effort is part of their campaign of lies and deceit, something that is the norm in today's Republican Party. 

Friday, September 01, 2017

Trump, Putin and Russiagate's Growing Web


On Wednesday we learned that special counsel Robert Mueller is now working with the Attorney General of New York with a likely plan to force Trump sycophant Paul Manafort to go state's evidence on Trump given the reality that Trump cannot pardon Manafort of a state law conviction that could send him to prison for many years.  Then last night, we learn Mueller is also working with the IRS's financial crimes unit particularly on the issue of money laundering, something that Trump's real estate projects could have served to further. Follow the money and the wire transfers and often what was obscure becomes very clear. But there are other aspects to the growing Russiagate web as we learn of Trump's efforts to build a Trump Tower Moscow during the 2016 presidential election campaign - something some told him would help him  win the election. Never in my life time has there been a president so mired in scandal and likely illegal activities.  Only by sticking one's head in the sand can anyone pretend that Trump isn't toxic - 56% of respondents in a Fox News poll believed Trump was tearing the nation apart.  A column in the Washington Post looks at the growing web. Here are excerpts:
Just so there’s no confusion: Donald Trump’s longtime personal lawyer emailed Vladimir Putin’s personal spokesman? Seeking help from the Kremlin on a deal to build a Trump Tower in Moscow? During the presidential campaign?
Yes, this really happened. While most attention was rightly focused on the devastating flood in Houston, there was quite a bit of news on the Russia front — all of it, from President Trump’s perspective, quite bad.
The revelations begin with a Trump business associate named Felix Sater . A Russian émigré who bragged about his Kremlin connections, Sater was a principal figure in development of the Trump Soho hotel and condominium project in lower Manhattan. Sater wrote a series of emails to Trump’s lawyer, Michael Cohen, touting the Moscow Trump Tower project as a way to help Trump win the presidency.
 
In November 2015 — five months after Trump had entered the race for the Republican presidential nomination — Sater wrote to Cohen that he had “arranged” for Trump’s daughter Ivanka, during a 2006 visit to Moscow, “to sit in Putins private chair at his desk and office in the Kremlin.”
 
The email went on, “I will get Putin on this program and we will get Donald elected. We both know no one else knows how to pull this off without stupidity or greed getting in the way. I know how to play it and we will get this done. Buddy our boy can become President of the USA and we can engineer it. I will get all of Putins team to buy in on this.”
 
There is no evidence that Cohen, one of Trump’s closest associates, found anything improper in Sater’s pledge to get Putin “on this program.” Nor did Cohen or anyone in the Trump Organization bother to disclose the emails — or the Trump firm’s effort, even during the campaign, to profitably emblazon the Trump name on the Moscow skyline — until the correspondence was turned over to the House Intelligence Committee on Monday.
 
And there’s more: In January 2016, with the Moscow project apparently stalled, Cohen went straight to the top to get it back on track — or at least tried to. He sent an email to Dmitry Peskov, Putin’s longtime personal spokesman, “hereby requesting your assistance.”
 
So Trump was lying when he tweeted, shortly before his inauguration, that “I HAVE NOTHING TO DO WITH RUSSIA — NO DEALS, NO LOANS, NO NOTHING!” The truth is that in October 2015, on the same day he participated in a GOP candidates’ debate, he signed a letter of intent for the Moscow Trump Tower project.
 
That is a “deal,” and Trump’s hunger to keep it alive may explain his reluctance to say anything critical about Putin. Or it may tell just part of the story.
The other part involves the whole question of collusion between Russian officials and the Trump campaign to meddle with the election and boost Trump’s chances. Sater’s boasts, by themselves, are hardly definitive. But of course there is the larger context, which includes the infamous meeting that Donald Trump Jr. convened in New York at which he hoped to receive dirt, courtesy of the Russian government, on Hillary Clinton.
Thus far we have the president’s son, son-in-law Jared Kushner (who was at that meeting), then-campaign manager Paul Manafort (also at the meeting) and now his personal lawyer all seemingly eager for Russian help in the election. Who in the campaign wasn’t willing to collude?
Some have suggested that Trump’s pardon of Joe Arpaio, the unrepentant “birther” and racial profiler, might have been a message to Trump associates facing heat from prosecutors: Hang tough and don’t worry, you’ll get pardons.
But there was more bad news for the president: Politico reported that Mueller is now cooperating and sharing information with New York Attorney General Eric Schneiderman. Presidents can only issue pardons for federal offenses, not state crimes. Uh-oh.
To understand Trump, one must think in terms of a Mafia don willing to use any illegality to further the crime family's business.  The only difference is that Trump is more amoral than the worst Mafia don.  That Trump occupies the White House is truly frightening.

Saturday, March 25, 2017

It's Time to Follow the Russian Money


I have worked with the FBI on several occasions in the past.  All of these cases involved real estate and financial improprieties and what ultimately constituted wire fraud and receipt of illicit funds.  On one occasion I was a witness in a federal court trial and in the others, I was the real estate expert that literally gave FBI special agents and .attorneys in the U. S. Attorneys office a tutorial, if you will, on real estate transactions and who money and document recordings should be done if a transaction is above board. One of the targets received a 30 year sentence. When all else fails, often wire fraud can be the hook to take down crooked real estate players.

All of this brings me to the topic of Russian money and how it flowed into numerous Trump properties - a post from  roughly a week ago noted the almost $100 million that had flowed into Trump properties in South Florida - and how Trump associates are alleged to have been swimming in Kremlin directed monies.  As in the cases I worked on with the FBI, often the flow of monies can build a fuller picture of what is really going on and who is receiving illicit funds, often knowingly by those who viewed themselves as smarter than everyone else and above the law.  Sound like Donald Trump?  A column in the Washington Post looks at the need for the FBI and IRS to "follow the money."  Here are excerpts:
As the Watergate probe was heating up in the summer of 1973, the special prosecutor’s office gained a silent partner: the Treasury Department’s Internal Revenue Service. The Watergate scandal had engulfed the activities of corporations and corporate officials. An IRS investigation found tax violations committed with campaign contributions to the 1972 presidential campaign of Richard M. Nixon.
With information gained from the IRS, the special prosecutor’s probe resulted in 18 corporate officials and 17 corporations pleading guilty to violations of campaign contribution laws.
This week, FBI Director James B. Comey told Congress that the bureau is “investigating the nature of any links between individuals associated with the Trump campaign and the Russian government, and whether there was any coordination between the campaign and Russia’s efforts.”
Based upon what has come to light thus far, expect the FBI to be joined by Treasury’s Financial Crimes Enforcement Network and the IRS. They are the agencies best equipped to conduct financial investigations into any possible crimes dealing with or motivated by money — as in money laundering.
Case in point: The Post’s March 21 article on a Ukrainian lawmaker’s release of financial documents allegedly showing that former Trump aide Paul Manafort laundered payments from the party of an ex-leader of Ukraine with ties to Russia using accounts in Belize and Kyrgyzstan.
If the financial documents are accurate and, as alleged by Ukrainian lawmaker Serhiy Leshchenko, Manafort falsified an invoice to a Belize company to legitimize a $750,000 payment to himself, then the FBI and Treasury may come calling. . . . . Treasury agents, the Associated Press reported , have already obtained information about offshore transactions involving Manafort in connection with a federal anti-corruption investigation into his work in Eastern Europe.
The Financial Times reported in October that an investigation that it conducted had turned up evidence of ties between one Trump venture and an alleged international money-laundering network. Title deeds, bank records and correspondence showed that a Kazakh family accused of laundering hundreds of millions of dollars bought apartments in a Manhattan building part-owned by Trump and pursued business ventures with one of his partners.
Real estate provides a safe haven for overseas investors. It has few reporting requirements and is a preferred way to move cash of questionable provenance. Amid the turmoil, buyers found a dearth of available projects. Trump World Tower, opened in 2001, became a prominent depository of Russian money.”
Trump may be correct when he says he has no money in Russia and has never invested there. He can’t say, however, that Russians haven’t invested in his real estate properties.
His son Donald Jr. said no less, claiming in 2008 that Russian investments were “pouring in” to Trump’s business ventures.
So the feds must “follow the money trail” wherever it leads. Check records, bank accounts and real estate files where laundered money can ooze like water through a sponge. Who gave it, who got it, and when? Where is it now? And what was received in return?
Can federal agents under Treasury Secretary Steven Mnuchin count on Mnuchin’s defense against outside interference?
Congress strongly protected the integrity of federal investigations into Watergate. What about now?

Tuesday, October 13, 2015

Bishop of Richmond Fires Assisted Living Home Director for Being Gay

Bishop DiLorenzo - anti-gay and anti-woman bigot who seems to have never missed a meal
I have noted before that Bishop Francis Xavier DiLorenzo of the Catholic Diocese of Richmond is a foul and nasty piece of work.  He is among the most reactionary appointments made by the late and anything but saintly John Paul II.   During his years in Honolulu where he served as bishop and since his installation as the Bishop of Richmond, DiLorenzo has demonstrated himself to be virulently anti-gay, anti-woman, and against any accommodation for divorced and remarried Catholics.  Whether these vicious tendencies arise from his own psycho-sexual issues or from the fact that he is a misogynist in general is anyone's guess.  Wikipedia has a good summary of DiLorenzo's reactionary and anti-women actions, as well as his long history of anti-gay efforts.  I know for a fact that he has blocked the hiring of an well qualified individual from a teaching position because the individual was divorced and remarried - the individual's spouse had come out as gay and hence the divorce - despite the desire of the school to hire the individual.  Now,  DiLorenzo has brought on a U.S. Equal Employment Commission complaint against the Richmond Diocese for the firing of the gay director of Saint Francis Home assisted living center.  ABC News and GayRVA are reporting on the firing which to me underscores the need to revoke the tax-exempt status of ALL religious institutions except those that are houses of worship.  Taxpayers should not be compelled to indirectly subsidize bigotry.  If church entities are forced out of business because they have lost the indirect public dole, so be it.  First, highlights from ABC News:
[John Murphy claims that Bishop DiLorenzo] forced his removal from the top job at a diocese-owned assisted living home because he's gay and married to his partner of 30 years.

John Murphy filed a discrimination claim against the Catholic Diocese of Richmond with the Equal Employment Opportunity Commission last month. He said he served as executive director of the Saint Francis Home in Richmond for about a week before two deputies of Bishop Francis Xavier DiLorenzo told him that he was being fired because his marriage goes against church doctrine.

Murphy was terminated without severance pay and he and his husband, a retired clinical social worker, are relying primarily on Social Security benefits to get by, he said.

At least one board member has resigned out of frustration with the bishop's actions.

"I didn't want to be a part of that decision — not in this day and age," said Sam Dibert Sr., who had been vice president of the board and served on it for more than 20 years. Dibert said he didn't know that Murphy was gay until after he was hired, but it didn't affect his opinion of him or whether he thought he could do the job.

The board's president didn't immediately respond to a request for comment.

Dozens of openly gay employees at Catholic institutions in the U.S have reported losing their jobs since 2010 over their same-sex relationships or support for gay marriage and gay rights, according to New Ways Ministry, which advocates for gay and lesbian Catholics.

The Equal Opportunity Employment Commission ruled in July that Title VII of the Civil Rights Act — which bars employers from discriminating against someone because of their sex, race and religion — also prohibits discrimination on the basis of sexual orientation.

There is a religious exemption in the law, but it goes only so far as to allow organizations from refusing to hire people who aren't part of their religion, said Samuel Bagenstos, a professor at the University of Michigan who specializes in constitutional and civil rights law.

If the Equal Employment Opportunity Commission finds that Murphy was discriminated against, it will try to negotiate a settlement between the two sides. If it finds that there has been no discrimination or a settlement can't be reached, it will likely end up in federal court, where the potential outcome is unclear.
 GayRVA has additional details.  Here are highlights:

The former Executive Director of Saint Francis Home in Richmond, a nonprofit, assisted living facility for persons of limited financial means, was hired in March of this year and claims he had received praise for his handling of the job. But after filing his employee benefits paperwork, and marking the forms with his same-sex spouse, he found himself on the receiving end of a pink slip.

Murphy said he spoke with his employers before being hired, he mentioned his marriage and they told him it wouldn’t be a problem. But according to a press release by Equality Virginia, Virginia’s leading LGBTQ activist organization, when the Bishop of the Catholic Diocese of Richmond, Francis X. Di Lorenzo, noticed the same-sex relationship, he ordered the St. Francis Board to fire Murphy.

“I expect to be judged by my job performance, but I am appalled and deeply hurt that the Bishop of the church I grew up in would suddenly fire me solely because of the gender of the person I share my life with – a person to whom I am lawfully married according to the U.S. Supreme Court,” said Murphy in the EV statement. “It is shocking to me that this can happen in 2015 in America, and I fear for my financial survival if any employer can do this to me at any time.”

According to EV, the board unanimously refused, and some members resigned over the order. It took Bishop Di Lorenzo personally deputizing someone to go to Murphy’s house and fire him.

The state of Virginia lacks protections in employment based on sexual orientation, however a claim of sex discrimination can be filed with the U.S. Equal Employment Opportunity Commission (EEOC). The EEOC handles investigations into these claims, and can make decisions based on federal law.

The use of a sex discrimiantion claim is one used by a few LGBTQ Americans in recent years as it relates to Title VII of the Civil Rights Act of 1964 which prohibits discrimination by covered employers on the basis of race, color, religion, sex, or national origin.
DiLorenzo is a douche bag and is a prime example of why the Roman Catholic Church is losing members at an accelerating rate.  He also is a poster child for why the IRS needs to start revoking tax exempt status for so-called religious institutions that are not directly related t worship services.  The Founder never envisioned allowing schools, hospitals, and many other types of facilities getting a tax free ride at the expense of those targeted by religious based bigotry.   Sign the petition to force DiLorenzo to rescind Murphy's firing.

Thursday, October 23, 2014

Federal Cout Throws Out Lawsuits by Tea Party Groups Against the IRS

Remember the hysteria in Teabagistan and among GOP political whores over the IRS's questioning or denial of far right groups seeking tax-exempt status, many under the guise of "educational" organizations even though the organizations' main goals was to either (i) engage in banned political activity and/or (ii) enrich the organizers (much like how Sarah Palin's PAC spends less than 6% of revenues on candidates).   Having filed numerous applications for non-profit clients for tax exempt status, the fury was always misguided, in my view.  The IRS always assumes that something is amiss and asks countless questions and/seeks further clarification even for organizations that ultimately gain tax exempt status.  Well, the IRS found away to turn the tables (at least for now) by granting the Tea Party organizations tax-exempt status.  The result?  Their lawsuits were thrown out and the IRS will still have the option of revoking their tax exempt status down the road when they violate the Internal Revenue Code and associated regulations.  Politico looks at the IRS's court win:

The IRS may have inadvertently figured out how to win its legal battles against aggrieved tea party groups: Give them what they wanted in the first place — tax-exempt status.

That was a major reason a Republican-appointed federal judge on Thursday threw out two lawsuits brought by more than 40 conservative groups seeking remedies for being singled out in the tea party targeting scandal, a victory for the IRS.

Judge Reggie Walton of the U.S. District Court of the District of Columbia dismissed almost all counts brought against the tax-collecting agency in two cases, ruling that both were essentially moot now that the IRS granted the groups their tax-exempt status that had been held up for years.

Walton, a President George W. Bush-appointee, also said individual IRS officials could not be fined in their individual capacity for allowing such treatment because it could hurt future tax enforcement.

Republicans said they were outraged at Walton’s decision. . . . You get targeted and harassed for three years but, oh, because you finally get [tax-exempt status], the three years of harassment doesn’t mean anything?” asked Rep. Jim Jordan (R-Ohio), who heads a congressional subpanel investigating the controversy. “I find that argument lacking tremendously in light of what these people went through.” 
But others said the agency needs to do more — not less — to scrutinize nonprofit groups that don’t follow the rules and over-engage in political activities. To obtain the status in question, political activity must not be the groups’ primary activity — a vague and difficult-to-administer test.

“Judge Walton got it right — there is no ongoing injury to these groups,” said Paul S. Ryan, senior counsel at the Campaign Legal Center, which backs tighter rules on political nonprofits. “The IRS needs to enforce tax law with respect to nonprofit political groups more aggressively.”

Tuesday, August 26, 2014

"Christian" Pastor Call for Imprisonment of Gays


While we see the dangers of religious extremism in the Middle East, here at home in America almost everyone turns a blind eye to the pernicious hate and extremism that conservative Christianity  typifies.  Worse yet, Christianity continues to receive undeserved deference and all Americans are forced to subsidize religious crack pots and hate mongers through the tax-exemptions granted to religious organizations regardless of the poison that is there stock in trade.  Part of the problem, of course is the IRS's reluctance to enforce the Internal Revenue Code and withdraw tax exempt status to organizations that improperly engage in political activities be they the Roman Catholic Church, the Southern Baptist Convention, or the rag tag "ministries" set up as money making propaganda machines of the professional Christian crowd.   An example of such improper conduct is Pastor Michael V. Williams (pictured above) who is advocating for a constitutional amendment to impose 10 years imprisonment for gays.  The Raw Story looks at this batshitery that ought to prompt IRS action against this douche bag.  Here are highlights:
A pastor who uses his Internet platform to teach political lessons based on conservative Christian ideology has proposed a constitutional amendment to punish LGBT people for “ten years in prison at hard labor.”

In a video posted to his PreachingPolitics.com website last month that was flagged by the Good As You blog on Monday, Pastor Michael V. Williams asserts that Christians have been “increasingly tolerant” of gay people over the last 50 years.

“Whereas homosexuality used to be a felony in every state — referred to as sodomy — it has now been decriminalized, and homosexuality is allowed to be openly expressed in public,” he notes. “While Christians are becoming increasingly tolerant of homosexuals, homosexuals are becoming increasingly intolerant of us.”

“It’s time for Christians to resume obeying God and his word, and to re-criminalize homosexuality, outlaw it again,” the pastor continues. “The only way to do this and keep it beyond the reach of activist judges and unaccountable bureaucrats is to create a constitutional amendment.”

Williams’ proposed amendment to the U.S. Constitution declares that the “United States of America is a Christian nation with Judeo-Christian ethics, morals, principles and values.”

And it decrees that the “practice of homosexuality in the United States of America and in all its territories and possessions, and in all its States, Counties and Cities shall be a felony punishable by ten years in prison at hard labor.”

Williams recommends that his viewers “incessantly” contact lawmakers until they agree to outlaw homosexuality. . . . only vote for those who promise to adopt this amendment.”

“We’re in a fight for survival and only one side can win,” the Internet preacher concludes. “Let’s make sure it’s our side.”
As I have said the only difference between American Christofascists and the members of ISIS is one  of degree and the level of violence they are willing to inflict against those with differing religious beliefs.  At the core, both groups are based on hate, the embrace of ignorance and extremism towards others.

Friday, June 20, 2014

Obama Administration to Extend Array of Marriage Benefits to Gay Couples

While many federal agencies and departments are now recognizing same sex marriages performed in states where such marriages are legal, new regulations backed by the Obama administration will further expand equal treatment for all married couples under the law.  It's a safe bet that this move will further prompt Christofascists to depict Obama as the Anti-Christ or as waging a war on Christians.  In reality, of course, it has always been the Christofascists who have waged a relentless war against gays and others who reject the hate and fear based religious beliefs of the self-anointed "godly folks."  Given Hampton Roads' large number of military personnel, the changes by the Department of Defense will be significant for the region.  A piece in the New York Times looks at the additional recognition to be afforded to married same sex couples.  Here are highlights:

The federal government on Friday will extend a wide range of marriage benefits to same-sex couples, making good on a promise by President Obama after the Supreme Court struck down the Defense of Marriage Act last year.

After decades of blocking gay married couples from receiving the same benefits as their heterosexual counterparts, most federal agencies will now treat married couples alike, regardless of gender. The changes in regulations across the federal government will be announced Friday.

The action is important, officials said, because of differences in how states treat same-sex marriage. Without the regulatory changes, gay couples could be blocked from receiving federal benefits in states that do not recognize their marriages. Same-sex marriage is legal in 19 states and the District of Columbia.

“In almost all instances, federal benefits and obligations for same-sex married couples will be provided, regardless of where the couple lives,” a White House official said late Thursday before the agencies’ formal announcements.

Under the changes, same-sex spouses of Defense Department employees will receive all the benefits of heterosexual husbands and wives. Federal immigration law will apply equally to gay and straight married couples. The Internal Revenue Service will recognize the marriages of all gay couples. The spouses of gay federal employees will get health insurance, life insurance and flexible spending accounts.

In addition, federal employees will be able to take leave to care for a same-sex spouse, something that has long been limited to heterosexual married couples.

The actions are the latest examples of Mr. Obama’s embrace of equality for same-sex couples following what he called his evolution on the issue.

“This is a country where no matter who you are, or what you look like, or how you came up, or what your last name is, or who you love — if you work hard and you take responsibility, you should be able to make it,” Mr. Obama said. “That’s the story of America. That’s the story of this movement.”

While he was at the event, Mr. Obama announced that he had directed his staff to develop an executive order that would ban federal contractors from discriminating in hiring decisions on the basis of sexual orientation or gender identity. And he vowed to keep pressuring Congress to pass a law that would extend those protections to all workers.