Republican presidential hopeless Donald Trump is quick to call himself “brilliant”.
However, it doesn’t require a “genius” to find and interpret IRS publication 536, which simply states that if your deductions for the year are more than your income for the year, you may have a net operating loss (NOL). An NOL year is the year in which an NOL occurs.
You can use an NOL by deducting it from your income in another year or years. That’s what Trump did, – all he needed was a tax accountant with some basic understanding of the tax code, – perhaps that’s all he needs to feel like a “genius”.
However, one of the big mysteries about Trump’s 1995 tax returns is how he managed to run up such an insane tax loss ($916 million), when so many of the losses related to his business implosion of the early 1990s ended up being borne not by himself, but by banks and other creditors that forgave Trump’s debts or otherwise didn’t get paid back. In other words, did he himself really lose some $916 millions, or did someone else incur the losses, or are they simply paper losses? That’s the question that IRS investigators really ought to look into.
In my humble opinion, when past losses are used to offset future taxable income, the dollars must be of the same kind, – real, and relating to the same person or business entity, and not imaginary, fake or carried by others.
Could that be the reason why Trumpy is so afraid of showing his tax returns?
