Biden might have inappropriately employed S Corporation to avoid his owed Medicare taxes before taking office. According to a report that Congressional Research Service released, the president could owe the IRS up to $500,000 in back taxes.
— The Daily Wire (@realDailyWire) September 24, 2021
Biden wants the rich to pay their “fair share” while he wrongly exploited S Corporations to avoid taxes
Chairman of the Republican Study Committee, Rep. Jim Banks, highlighted how Biden intends to raise taxes in the country up to $2.1 trillion. He’s insisting the rich have to pay their supposedly “fair share.”
Yet, back in 2017, Biden improperly avoided paying self-employment taxes, the very taxes that fund Medicare and Obamacare. Banks added that according to the criteria provided by CRS to his office, Biden owes the American people and the IRS thousands of dollars in unpaid taxes.
Banks declared that every American should be aware of the president’s “tax hypocrisy.” Banks also added that Biden wrongly abused “S Corporations” as he and Jill Biden pulled in over $13 million in 2017 and 2018.
These funds arrived from speaking fees and book sales. However, the Bidens only declared their salary to be less than $800,000, which was supposedly taxed to fund Medicare and Obamacare.
Biden May Owe $500,000 in Taxes?#Biden routed $13M in speaking fees and book sales thru S corporations – counting less than $800,000 as salary eligible for the Medicare tax —
Thereby exempting the rest from what would have been a 3.8% rate.https://t.co/hwvhjY3iAf
— Tom T. ن® (@VRWCTexan) September 24, 2021
Ironically, Biden is pushing for the $3.5 trillion dollar bills to aid the funding of education, childcare, and healthcare. However, in order to pay for this expensive legislation, the president is tackling tax avoidance. He’s also increasing the taxes for higher-income earners, claiming they must pay their “fair share.”
Based on the draft of the bill, provisions were added to close tax loopholes. These are the same provisions used by the Bidens to avoid paying their “fair share.” However, even though the bill will be passed, the president still owes $500,000 back taxes to the IRS, based on the present rule.
Bogdanski: The IRS does not have the means to investigate thousands of S Corporations avoiding paying taxes
The report did not name the president specifically; yet, it looked at cases where taxpayers improperly used S Corporations. During the recent campaign period, the Bidens released their tax returns.
These returns reflected how they avoided paying the massive $500,000 salary taxes by using the S Corporations tax avoidance scheme.
Despite this fact, the Biden campaign claimed its tax statement shows how “effective” the tax rates of the couple were in 2017 and 2018. According to them, it proves the Bidens are committed to making sure the public pays their fair share of taxes.
On the other hand, John Bogdanski, a member of the Advisory Group of IRS Commissioner, noted that of the millions of S Corporations in the country, half a million are improperly exploiting this scheme to avoid paying salary taxes.
Bogdanski explained that although this fact might be known to the IRS, they do not have enough funds or means to probe and start half-million IRS tax avoidance cases a year.