Trump made millions from his father's alleged fraud and tax dodges, New York Times reveals
President Trump's infamous $1 million loan may have sparked his real estate business, but the $413 million he reportedly received from his father's own empire probably helped too.
Far from the measly operation Trump has claimed, Fred Trump's real estate business reportedly shunned taxes and engaged in fraud as he funneled millions into his children's pockets, a massive investigation by The New York Times reveals. The president himself has reportedly reaped enormous benefits — far more than his siblings, in fact, because he helped his parents "sharply reduc[e] the tax bill when properties were transferred to him and his siblings," the Times says.
For nearly all his life, Trump has been accruing payments from his father's business in a trust fund that's still growing to this day, the Times' analysis of tax returns and financial records indicates. To minimize taxes as Fred Trump passed that money to his children, he reportedly made them stakeholders in a shell company, All County Building Supply & Maintenance. Fred and his wife Mary "transferred well over $1 billion in wealth to their children, which could have produced a tax bill of at least $550 million," the Times says. But records show they apparently only ended up paying about $52.2 million.
Subscribe to The Week
Escape your echo chamber. Get the facts behind the news, plus analysis from multiple perspectives.
Sign up for The Week's Free Newsletters
From our morning news briefing to a weekly Good News Newsletter, get the best of The Week delivered directly to your inbox.
From our morning news briefing to a weekly Good News Newsletter, get the best of The Week delivered directly to your inbox.
To reap bigger profits, Fred Trump also allegedly undervalued his real estate holdings via "dubious tax schemes" often orchestrated by Trump himself, the Times says. And in one case, Fred Trump reportedly used All County invoices to make it seem as if he'd made improvements on a rent-stabilized apartment complex he owned. Payments for maintenance work from All County were actually going to his children, but the state would still approve rent increases.
A lawyer for Trump denied all the Times' findings as "100 percent false and highly defamatory." Still, they do raise questions about Trump's never-released tax returns.
Read it all — and watch an astounding video illustrating Trump's gain — at The New York Times.
Sign up for Today's Best Articles in your inbox
A free daily email with the biggest news stories of the day – and the best features from TheWeek.com
Kathryn is a graduate of Syracuse University, with degrees in magazine journalism and information technology, along with hours to earn another degree after working at SU's independent paper The Daily Orange. She's currently recovering from a horse addiction while living in New York City, and likes to share her extremely dry sense of humor on Twitter.
-
The Duchy Files: how bad is the scandal for King Charles?
Today's Big Question Making millions in rent from the NHS and armed forces a 'PR disaster' for royal family
By The Week UK Published
-
'A stark choice'
Today's Newspapers A roundup of the headlines from the US front pages
By The Week Staff Published
-
The Vietnamese migrants crossing the Channel
The Explainer 2024 has seen a surge in the numbers of Vietnamese migrants making the illegal passage into the UK
By Richard Windsor, The Week UK Published
-
US economy still strong in final preelection report
Speed Read It grew at a solid 2.8% annual rate from July through September
By Peter Weber, The Week US Published
-
Boeing machinists reject deal, continue strike
Speed Read The rejection came the same day Boeing reported a $6.2 billion quarterly loss
By Peter Weber, The Week US Published
-
Ports reopen after dockworkers halt strike
Speed Read The 36 ports that closed this week, from Maine to Texas, will start reopening today
By Peter Weber, The Week US Published
-
Empty-nest boomers aren't selling their big homes
Speed Read Most Americans 60 and older do not intend to move, according to a recent survey
By Peter Weber, The Week US Published
-
Brazil accuses Musk of 'disinformation campaign'
Speed Read A Brazilian Supreme Court judge has opened an inquiry into Elon Musk and X
By Rafi Schwartz, The Week US Published
-
Disney board fends off Peltz infiltration bid
Speed Read Disney CEO Bob Iger has defeated activist investor Nelson Peltz in a contentious proxy battle
By Rafi Schwartz, The Week US Published
-
Disney and DeSantis reach detente
Speed Read The Florida governor and Disney settle a yearslong litigation over control of the tourism district
By Peter Weber, The Week US Published
-
Visa and Mastercard agree to lower swipe fees
Speed Read The companies will cap the fees they charge businesses when customers use their credit cards
By Peter Weber, The Week US Published