Trump, taxes, and sarcasm

With Donald Trump’s recent announcement that he is a candidate for the Presidency, I thought it might be of interest to reprint my article from a decade ago (March 1, 2005) titled:

Trump, taxes, and sarcasm

Donald Trump was married for the third time while our nation’s debt soared towards its new limit of $8.2 trillion, the elderly quaked in fear of a Social Security cut, and the value of our currency slid faster than a bobsled. The 58-year-old billionaire chose as his third wife Malania Knauss, a 34-year-old Slovenian model. The couple said their forever I–do’s in a 30-minute ceremony in Palm Beach, Florida.

The Donald’s newly unveiled 11,000 square-foot, $42 million ballroom at his Mar-a-Lago estate was the opulent setting for their reception. It featured 24-karat gold moldings, custom-made crystal chandeliers, and marble flooring. About 400 guests dined on a three-course dinner and were entertained by a 36-piece string ensemble.

Malania, we’re told, looked lovely in her 50-pound, $180,000 Christian Dior original gown comprised of 300 feet of satin. A $1 ½ million engagement ring sparkled on her finger.

With that kind of extravagant spending, it’s no wonder there’s a need to make the tax-cuts permanent for the wealthy. Beyond that, surely we can understand why the death tax must be eliminated. It’s just a patriotic thing to assure that this kind of wealth is protected and passed tax-free from generation to generation.

Even if the lucky heirs decide to sell off some of the assets immediately after inheriting them, they pay no tax. The inheritance is established at its present value, and no consideration is given to the original purchase price. Thus, the assets (ballroom, limo, aircraft, yacht, stocks, mansions, etc.) can be sold with no capital gains paid.

Of course, that doesn’t work for us little guys and gals if we must sell our assets before we die in order to pay the doctor or nursing home bills. Then the value of the assets is compared to the purchase price, and capital gains taxes must be paid on the difference. Therefore, the moral of this story is that the good deal only works if you’re rich enough so you don’t have to sell your assets before taking the last breath.

How could anyone deny that passing on all this wealth tax-free is good for America, since the accumulated inheritance can be invested in new technology and jobs? That was the argument for making dividends tax-free, but in my opinion it would just make longer lines waiting for luxury yachts.

Of course, our federal government can’t operate only on a credit card, even though it appears that’s what happening. So, with less taxes coming in from billionaires, it must get money somewhere, and that’s why the little folks’ savings accounts paying less than the rate of inflation are taxed as regular income.

I suppose one could question where the rich folks are investing their money to modernize plants and create jobs, since so much is outsourced overseas. However, at least as far as little people’s jobs are concerned, all we have to do is look around. Think of all those folks doing the catering at the Trump wedding. Then there are the limo drivers, those who sew the gowns, the 36-member string ensemble, even the laborers who built the $42 million ballroom. Well, the ballroom, seamstress, limo, and catering jobs may be a problem what with the illegal, undocumented immigrants working in the trades. They may have taken some of those jobs that we’re told Americans are unwilling to fill.

But don’t despair—let’s look to the future. If Donald tells Malania she’s fired, as he did to Ivana and Maria, there will be a whole bunch of lawyering work. This, in turn, will create work for TV crews and reporters as they follow the ensuing courtroom drama. Then there will be a lot of jobs for accountants as they try to work out the intricacies of splitting up the couple’s assets. Well, on second thought, those jobs might go to India, since that’s the latest outsourcing area for accounting work. The prenuptial agreement they signed should help to facilitate proceedings, allowing Donald and Malania to concentrate on establishing separate houses and ballrooms, so we’re back to more jobs in the trades.

Maybe permanent tax cuts for the very wealthy and eliminating the death tax are the right way to go. After all, they earned it. Why shouldn’t they be allowed to keep it? But, then, why can’t we keep ours, too? I guess it’s just not patriotic to question leadership decisions, and, after all, “death tax” really does sound sinister. In the end, it all comes down to how the word-folks spin the message. Word doctors spinning messages is one area where there should be plenty of jobs.

Note: Although this was written ten years ago, my one man‘s opinion hasn’t changed. I bet the R party would like to ship Donald to Mexico.