Judge orders Eric Trump to testify before election in New York attorney general probe of President Trump’s company

[JasperL]

There are a lot of variables here. First it’s important to clarify that the issue isn’t the value of the property. The issue is what Trump was claiming as income in the form of property occupancy rates. The rates Trump provided to the lender were much higher than the rates claimed in his tax filings. For example, he told a lender in 2012 that the occupancy rate of Trump Tower was 99% but claimed an occupancy rate of 83% in his tax filing. What he essentially did was claim higher taxable income to the lender than he reported in his tax filing.

OK, I don't think we actually disagree, but I appreciate the explanation. I wasn't aware of how he manipulated the values.

It gets back to my point about what he submitted to defend the values. One of those occupancy rates was likely the true one. If he represented an occupancy rate of 99% to the lenders, I'd guess that's fraud because he'd know it's nowhere near that. The lender should be able to rely on that number without a full blown audit of occupancy of that property.

 

[Integrityrespec]

Interesting... lets see where this one goes shall we?

Judge orders Eric Trump to testify before election in New York attorney general probe of President Trump’s company​

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Eric Trump must testify in response to a subpoena from the New York Attorney General’s office before the presidential election as part of an investigation into whether President Donald Trump’s company improperly valued real estate assets in official statements, a judge ordered Wednesday.​

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Eric Trump, who is the president’s middle son and a top executive in the Trump Organization, must testify no later than Oct. 7, Judge Arthur Engoron ruled after a hearing in Manhattan Supreme Court, where Trump’s lawyers had asked to delay his deposition until after the election.​

So why is this not a politically motivated investigation and one that can't be delayed a month, but the investigations in Biden's son activities in Ukraine, Russia and China are politically motivated and should not be done. Why are investigations into the obviously corrupt Mueller investigation, the spying on the Trump campaign, not politically motivated and should be halted? Sounds like politics to me.

 

[Napoleon]

OK, I don't think we actually disagree, but I appreciate the explanation. I wasn't aware of how he manipulated the values.

It gets back to my point about what he submitted to defend the values. One of those occupancy rates was likely the true one. If he represented an occupancy rate of 99% to the lenders, I'd guess that's fraud because he'd know it's nowhere near that. The lender should be able to rely on that number without a full blown audit of occupancy of that property.

That’s part of what makes this case difficult to judge without more information. I suppose its possible that both could be true if Trump Tower doesn’t have stable occupancy, but 16% seems like a pretty wild swing and it’s suspicious that his occupancy takes that nosedive every year around tax time. Some of the figures involve his own occupancy so at the very least I think it suggests some tax dodge scheme where maybe Trump is annually splitting up or moving his own offices around between properties to improve loan eligibility and then reduce tax liability.

 

[apdst]

" James is investigating whether the New York-based Trump Organization improperly inflated the values of several real estate assets on annual financial statements that were used to obtain loans, as well as to get economic and tax benefits related to those properties. "

How does one get a tax benefit by inflating the value of real estate? As I understand it, commercial real estate can be based in intrinsic, potential income, or perceived value which may yet have nothing to do with how much it sells for.

You don't. Real estate is depreciated. It just goes to show how ignorant of the law these investigstors really are.

 

[Napoleon]

You don't. Real estate is depreciated. It just goes to show how ignorant of the law these investigstors really are.

I think it’s worth investigating why Trump‘s real estate appreciates every time he wants a loan and depreciates every time he hast to pay taxes.

 

[apdst]

I think it’s worth investigating why Trump‘s real estate appreciates every time he wants a loan and depreciates every time he hast to pay taxes.

Because depreciation is a legal tax deduction and has zero to do with the property's actual market value.

How Rental Property Depreciation Works

Real estate depreciation on rental property can lower your taxable income. Find out how it works and how it can save you money at tax time.

www.investopedia.com

If the investigators don't understand the difference, then they're far too stupid to be serving in their current position.