Donald Trump, the presumptive Republican presidential nominee, has declined to release his tax returns citing an ongoing audit. But he may not be able to avoid that forever.
The New York State Department of Taxation and Finance is allowed by law to audit state residents regardless of their profession or status.
This means that the agency has the leeway it needs to investigate Mr. Trump’s tax situation, according to experts on both sides of the aisle with knowledge of state regulations.
“New York State has quite a bit of latitude compared with other states,” said Daniel Hemel, a professor at University Chicago Law School who specializes in federal taxation and public finance.
The federal government has little ability to ensure financial transparency.
Further, although audits are usually only authorized to avoid suspicion of fraud, the state law explicitly authorizes the agency to demand documents and other information about people who have a “substantial business or professional relationship” with New York State.
If i win the election “i will gladly show my tax returns” : Donald Trump
“If the Department believes you have a substantial business or professional relationship with New York State, it can make a formal demand for your returns,” the law states.
The state agency can also cooperate with other jurisdictions in making such requests.
Mr. Trump could attempt to fight the demand, but would be obligated to cooperate if an administrative court ruled that he must hand over his records, according to Mr. Hemel.
The real estate mogul and his lawyers could not be reached for comment on Friday afternoon.
In addition to requests from state officials like Ms Gillibrand, Mr. Trump could also face pressure from members of the federal government.
Earlier this week, Mr. Trump was sued by the ethics watchdog Citizens for Responsibility and Ethics in Washington, which accuses him of violating a clause in the Constitution that prohibits federal officeholders from accepting payments from foreign governments.
Mr. Trump’s “massive business interests around the globe will present massive conflicts of interest when he becomes president,” said Noah Bookbinder, executive director of the organization.
If his returns were to be scrutinized by state officials, they could have a better understanding of the financial issues that will likely hover over his presidency.
New York’s taxing authority amount of leeway to audit President Trump :
1. Trump claims he pays “as little as possible” in taxes but has he ever disclosed his tax returns.
2. Donald Trump: “I don’t think it’s a good idea for me to release them”
3. President Trump’s only comment (so far) on his tax returns
4. Donald Trump has not released tax returns from any of his casinos — despite having received millions in royalties and license fees over the years from their operation of casino games and hotel rooms.
5. Trump on taxes: “I think I’ve been audited every year”
6. Trump on taxes: “There’s nothing to learn from them” because he has paid them “every year except for one and that’s covered by a big liability that I have. It has nothing to do with the tax return”
7. Donald Trump’s net worth is over $10 billion, so he should not have any tax liability coming out of his business activities. And any money he would pay in taxes would be a tiny fraction of his wealth.
8. Donald Trump has yet to release his tax returns
9. Trump has not released his tax returns
10. The release of a person’s tax returns is a matter of public record, and the Internal Revenue Service has made it clear that Americans have the right to view their own tax information.
The only other president who did not release his complete tax returns was Richard Nixon, who released summary data instead of 1040s during his first term.
Nixon’s opponents demanded he release more details about his wealth, but in today’s political environment it would be hard for critics to deny what they already know:
Donald Trump is immensely wealthy and can afford to pay for any level of protection he desires, both financially and physically.
11. Donald Trump has never released his tax returns
12. No, Donald Trump Has Not Released His Tax Returns—and Isn’t Likely To Anytime Soon
13. The only other president who didn’t release his tax returns was Richard Nixon, who released summary data instead of 1040s during his first term.
Nixon’s opponents demanded he release more details about his wealth, but in today’s political environment it would be hard for critics to deny what they already know:
Donald Trump is immensely wealthy and can afford to pay for any level of protection he desires, both financially and physically.
