Trump owes $50 million *to his own Delaware corporation* w/ address in Trump Tower in NYC

[MelissaB]

Weird. Trump owes $50 million to a Delaware corporation with almost no paper trail called Chicago Unit Acquisition, who's address is Trump Tower in NYC.

Link to tweet

[MelissaB]

1. ***Details***

NEW: This story touches on one of the biggest mysteries in @realDonaldTrump's finances -- which only gets more mysterious, the more i dig into it. The mystery is called "Chicago Unit Acquisition, LLC" 1/

Link to tweet

Nobody outside Trump Org. had heard of Chicago Unit Acquisition LLC until @realDonaldTrump submitted his financial disclosures as a candidate. They showed he owed more than $50M to an entity with that name. 2/

That's a big loan, even for a real-estate developer like @realDonaldTrump. So what is this entity that the president owes more than $50M? 3/

Well, it's not a bank. Public records in Delaware (where it's registered) don't list any other loans it's made. It has a pretty thin paper trail, but govt. docs show the company's headquarters is 725 Fifth Avenue, NYC. 4/

...Which is Trump Tower. 5/

In fact, Chicago Unit Acquisition is owned by @realDonaldTrump and managed (now) by Eric Trump. Which means Donald Trump owes more than $50 Million to...himself. Why?6/

As far as I know, @realDonaldTrump has only talked about this loan once, to the @nytimes in 2016. He said it was a loan on his Chicago tower, which he bought back from the lenders. “I have the mortgage. That is all there is. Very simple. I am the bank.”7/

But which loan is he talking about? We checked both of the publicly listed loans on the Chicago tower – a $640M loan from Deutsche Bank, and a $130M “mezzanine loan” from other lenders. And...8/

...And neither one appears to have been sold, to @realDonaldTrump or anyone. Both, in fact, appear to have been paid off and cancelled in 2012. 9/

So...I know more about this debt than I used to. But I still don't understand it. If *you* know something about this loan, or about why @RealDonaldtrump would see an advantage in owing himself $ (as opposed to just paying off the loan)...I'm at [e-mail] END/

[PatSeg]

5. Once again

my head is spinning!

[PoliticAverse]

2. "Follow the money." n/t

[MelissaB]

3. How do you spell "Money Laundering" again?

[BeckyDem]

4. Always scheming.

I am listening to Russ Buettner from the NYT on msnbc now. The schemes seem endless.

[Scruffy1]

6. The FBI will be right on it.

That is as soon as their done with their witch hunts on leftist and and sacary foreigners.

[HopeAgain]

7. Tax evasion, plain and simple

You don't pay income taxes on a loan. He's trying to shelter 50M in income, no doubt...

[fescuerescue]

8. But an LLC is a passthrough entity

So that $50m would be represented in the K1s which flow into the 1040. Just as a loan isn't income on the 1040, a loan isn't an expense to the LLC either.

If he faults on it, then it becomes ordinary income.

Sure would be nice to see his 1040.

[HopeAgain]

11. LLC's are not necessarily treated as pass through entities

That is an election that is made when the Tax ID is applied for. As long as it is a recourse liability it can probably stay on the books as a loan. If it is never paid off, then yes it will eventually be shown as income. But they may have been trying to defer the taxes through this scheme. People avoid taxes by moving money around in all kinds of ways, for some it is a game of cat and mouse with the IRS.

[Scurrilous]

9. ...

[Roland99]

10. Linked to Russian companies indicted by Mueller??

https://www.democraticunderground.com/?com=view_post&forum=1002&pid=11256396

overit
@Stephaniefishm4
15th FLOOR was the damn campaign headquarters.... I've tried to show this before

[salin]

12. Incorporated not long after the last Trump parent's estate was settled.

I am wondering if this is the Donald's vehicle to shelter $$ for his kids ala the shelter Fred Sr. used.