The Bidens avoided paying more than $500,000 in payroll taxes by exploiting S corporations

Discussion in 'Political Issues' started by cbetts1, Sep 30, 2020.

  1. cbetts1

    cbetts1

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    One of the many facts that Trump should have brought up during the debate.

    While the Joe Biden campaign was quick to leap on a New York Times story that President Donald Trump paid a small amount in personal income taxes in recent years, it is clearly a case of the pot calling the kettle black.

    Joe and his wife Jill Biden funneled millions in income through a pair of S corporations they set up in Delaware as a way to circumnavigate paying Social Security and Medicare taxes, according to an August opinion article in The Wall Street Journal.

    Of the nearly $13.3 million the couple took in primarily through speaking fees and book royalties during the 2017 and 2018 tax years, they claimed just $750,000 in income.

    https://www.wnd.com/2020/09/bidens-avoided-paying-500000-payroll-taxes-exploiting-s-corporations/
     
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  2. jeanderson

    jeanderson Making America great again! Platinum Member

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    This was another thing Trump had to have known when the subject of his taxes came up last night. Why didn't he go after Biden on this?
     
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  3. Colt M-4

    Colt M-4 AK-74 Silver Member

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    Does really anybody here think all subjects of the last four years would be touched and and talked about and answered with pure truth and fact in 90 minutes. w.t.f. Galaxy are you in?

    They could talk about each item for 90 minutes alone.

    Undecided yet... 46zbe3.jpg
     
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  4. Khufu

    Khufu Pharaoh

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    Your premise and source is wrong.

    "The other 94 percent of the money passed through the corporations as a direct distribution to the Bidens, preventing it from being subject to the up to 15.3 percent combined Social Security and Medicare tax rate, according to CNBC."

    https://www.irs.gov/taxtopics/tc751
    Only the social security tax has a wage base limit. The wage base limit is the maximum wage that's subject to the tax for that year. For earnings in 2020, this base is $137,700. Refer to "What's New" in Publication 15 for the current wage limit for social security wages; or Publication 51 for agricultural employers.

    There's no wage base limit for Medicare tax. All covered wages are subject to Medicare tax.


    So it is not close to 15%. After $137K (each) it is only medicare portion of the tax. Medicare tax is 2.9% + 0.9% for wages above $200K (each).

    So it would be essentially 3.8%

    3.8% is no where close to 15%.

    And whether you agree or not, they can legally do this, just as you can, to reduce legal tax burden.

    Are you personally paying more in taxes than you are required to?
     
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  5. cbetts1

    cbetts1

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    I disagree, it would have taken 30 seconds out of his two minutes to address the issue.

    Tump: How does a person living off the public for 47+ years all of a sudden make 13 millions dollars as soon as he leaves office? How much in taxes did you pay on that Biden? That's less than 30 seconds.
     
  6. Colt M-4

    Colt M-4 AK-74 Silver Member

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    Biden it would take him 2 minutes to dig out the notes and 2 minutes to fumble a answer....And the minute usage to stare into the camera and say Vote you know he lies he is a clown c'mon man feel the hair i fought Cornpoop.

    Being from Austin you should remember the Alamo...The Defenders got surrounded Like TRUMP.. And all you can do is stand and fight back.

    When you fail to do that.
    you know the End. 0DD9EFD5-9E77-4655-BC4C-0F38DF2D1B13.jpeg
     
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  7. cbetts1

    cbetts1

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  8. Butch_Coolidge

    Butch_Coolidge

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    Crazy old man bad.


    Sent from my iPhone using Tapatalk
     
  9. Jonesee

    Jonesee

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    You guys do know that is exactly what Sub S are for.
    Right? right???

    I've taught and shown newbie analysts the why and how. Anyone need a lesson?

    What they did is common. I have no doubt we have members here using a Sub S for similar purposes.

    It's actually legal to use a Sub S as a pass through, even to the point of filing your company taxes within your own personal 1040. (as long as you qualify and do it correctly)

    I used to own 2 Sub S corporations (sold them). I still hold a clean shell of a third Sub S.
     
    Last edited: Sep 30, 2020
  10. Khufu

    Khufu Pharaoh

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    And don't forget that with an s-corp many things are tax deductible.

    The schedule 179s can be great.
     
  11. bfg1971

    bfg1971

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    Exactly why I'm starting a business next year.