Tag: taxes

SEC Charges Mormon Church For Concealing $32 Billion Portfolio

The Securities and Exchange Commission (SEC) has charged an investment arm of the Mormon church for disclosure failures and misstated filings.

Ensign Peak, a nonprofit entity operated by the Church of Jesus Christ of Later-day Saints, agreed to pay a $4 million penalty for failing to file forms that would have disclosed the church’s equity investments, and instead filing forms for shell companies that concealed the Church’s portfolio – as well as misstated Ensign Peak’s control over investment decisions, according to the Wall Street Journal.

The church, which requires its members give 10% of their income in the form of tithing, itself agreed to pay a $1 million penalty, according to the SEC.

The SEC’s order finds that, from 1997 through 2019, Ensign Peak failed to file Forms 13F, the forms on which investment managers are required to disclose the value of certain securities they manage. According to the order, the Church was concerned that disclosure of its portfolio, which by 2018 grew to approximately $32 billion, would lead to negative consequences. To obscure the amount of the Church’s portfolio, and with the Church’s knowledge and approval, Ensign Peak created thirteen shell LLCs, ostensibly with locations throughout the U.S., and filed Forms 13F in the names of these LLCs rather than in Ensign Peak’s name. The order finds that Ensign Peak maintained investment discretion over all relevant securities, that it controlled the shell companies, and that it directed nominee “business managers,” most of whom were employed by the Church, to sign the Commission filings. The shell LLCs’ Forms 13F misstated, among other things, that the LLCs had sole investment and voting discretion over the securities. In reality, the SEC’s order finds, Ensign Peak retained control over all investment and voting decisions. -SEC

“We allege that the LDS Church’s investment manager, with the Church’s knowledge, went to great lengths to avoid disclosing the Church’s investments, depriving the Commission and the investing public of accurate market information,” said Gurbir S. Grewal, Director of the SEC’s Division of Enforcement. “The requirement to file timely and accurate information on Forms 13F applies to all institutional investment managers, including non-profit and charitable organizations.”

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President Biden Makes Surprise Visit To Kyiv, Pledges New Military Aid

President Biden departed from Joint Base Andrews in Prince George’s County, Maryland, early Sunday morning. He stopped at Ramstein Air Base in Germany before making an unannounced visit to Ukraine on Monday morning. The visit comes ahead of the first anniversary of Russia’s invasion of Ukraine.

Biden’s visit comes as Russia prepares for a massive spring offensive. Western countries are racing to flood Ukraine with new weaponry, including main battle tanks and armored vehicles. Biden delivered remarks alongside President Volodymyr Zelenskyy at Mariinsky Palace in Kyiv and announced new military aid worth $500 million, according to AP News. The new military aid includes anti-tank missiles, air-surveillance radars, howitzers, shells, ammunition and other support, but no new advanced weaponry.

“I thought it was critical that there not be any doubt, none whatsoever, about US support for Ukraine in the war,” Biden said in joint remarks with Zelenskyy. He said, “I’m here to show our unwavering support for the nation’s independence, sovereignty, and territorial integrity.”

Zelenskyy thanked Biden for coming to Kyiv “at a huge moment for Ukraine.” He said he and the US president would hold talks about the war and what’s happening on the frontlines and also “about the people, about Ukrainians, about Americans . . . what we have to do to stop the war, to have success in this war . . . and how to win this year”.

Biden said, “I am meeting with President Zelenskyy and his team for an extended discussion on our support for Ukraine.” He added that Russian President Vladimir Putin was “dead wrong,” believing he could instantly take Ukraine during the invasion nearly one year ago.

“Over the last year, the United States has built a coalition of nations from the Atlantic to the Pacific to help defend Ukraine with unprecedented military, economic, and humanitarian support – and that support will endure,” he continued.

Biden also said, “We will announce additional sanctions against elites and companies that are trying to evade or backfill Russia’s war machine.”

The president’s social media team was busy tweeting this morning.

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On target? Democrats AND Republicans write to Biden demanding he send F-16 jets to Ukraine so its troops can dominate Russia ahead of Putin’s spring offensive

A bipartisan group of House members wrote to President Biden this week to urge him to send fighter jets to Ukraine in a move that would escalate U.S. involvement in the nation’s war with Ukraine. 

Five House members said modern jets like the F-16 ‘could prove decisive for control of Ukrainian airspace this year.’ Kyiv has long urged the U.S. to provide fighter jets, but President Biden weeks ago told reporters he would not.

The letter was led by Maine Democrat Rep. Jared Golden, with GOP Reps. Tony Gonzales, Texas, and Mike Gallagher, Wis., and Democratic Reps. Chrissy Houlahan, Pa., and Jason Crow, Colo., signing on. All five have military experience. 

The bipartisan group first praised Biden for his continued support for Ukraine, before asking him to send the F-16 Fighting Falcon aircraft or similar fourth-generation aircraft ‘as soon as possible.’ 

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Congressional Republicans Urge Biden to Provide More Military Funding to Taiwan

The authors of the new letter to Biden reasoned that arming and equipping Taiwan “to make it a stronger and more capable partner” would be an improvement for the “national and economic security” of the United States.

Republican members of the US Congress’ foreign relations and defense committees have penned a letter to US President Joe Biden asking him to ramp up military aid to Taiwan, according to a US media outlet familiar with the contents of the missive.

The letter was reportedly authored by Senate Foreign Relations Committee ranking member Jim Risch and House Foreign Affairs Committee Chairman Mike McCaul, as well as Senator Roger Wicker and Rep. Mike Rogers, Republican leaders of the Senate and House armed service committees, respectively.

“Using every authority, we must arm and equip Taiwan to make it a stronger and more capable partner — which will only help the United States’ national and economic security,” the politicians declared in their letter.

They also argued that the United States “must be willing to accept the tension that comes with supporting Taiwan.”

As the media outlet points out, in December the US Congress did authorize foreign military aid financing for Taiwan – $2 billion per year – but that money comes in the form of “US-backed loans,” and the letter’s authors claim that “without FMF grants, loans are not enough to address the scale of this challenge.”

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Stacey Abrams Charity Has a $500,000 Problem In Its Latest Tax Filing

Over half a million dollars is missing from the New Georgia Project, a discrepancy which experts say is grounds for state and federal investigations into the Stacey Abrams-founded group and the woman Abrams tapped to run it.

The New Georgia Project filed its 2021 Form 990 financial disclosure in January, two months after the form was due to the IRS, and three months after the charity’s board chairman fired CEO Nse Ufot, Abrams’s hand-picked leader for the group. In the disclosure, the New Georgia Project reports a $533,846 consulting payment and a $67,500 grant to the Black Male Initiative, an obscure charity run in part by Ufot’s brother, Edima, a former New Georgia Project employee.

But the Black Male Initiative says it never received any such consulting payment. The group provided the Washington Free Beacon with its IRS financial disclosures, which show it collected $0 in consulting income and just $255,000 in contributions from all sources in 2021.

The ethical questions raised by the missing money are the latest stumbling block for the embattled charity. The Free Beacon reported in November that the New Georgia Project was in turmoil as former senior staff accused the group’s leadership of engaging in rampant financial misconduct. And Georgia’s state ethics commission alleges that the group illegally worked to elect Abrams during her failed 2018 gubernatorial bid.

“This is something that the Internal Revenue Service should be interested in,” Alan Dye, a nonprofit attorney, told the Free Beacon, “particularly with the added element of the former officer possibly pocketing the money.”

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Biden Admin to Drop Half a Million on Artificial Intelligence That Detects Microaggressions on Social Media

The Biden administration is set to dole out more than $550,000 in grants to develop an artificial intelligence model that can automatically detect and suppress microaggressions on social media, government spending records show.

The award, funded through President Joe Biden’s $1.9 trillion American Rescue Plan, was granted to researchers at the University of Washington in March to develop technologies that could be used to protect online users from discriminatory language. The researchers have already received $132,000 and expect total government funding to reach $550,436 over the next five years.

The researchers are developing machine-learning models that can analyze social media posts to detect implicit bias and microaggressions, commonly defined as slights that cause offense to members of marginalized groups. It’s a broad category, but past research conducted by the lead researcher on the University of Washington project suggests something as tame as praising meritocracy could be considered a microaggression.

The Biden administration’s funding of the research comes as the White House faces growing accusations that it seeks to suppress free speech online. Biden last month suggested there should be an investigation into Tesla CEO Elon Musk’s acquisition of Twitter after the billionaire declared the social media app would pursue a “free speech” agenda. Internal Twitter communications Musk released this month also revealed a prolonged relationship between the FBI and Twitter employees, with the agency playing a regular role in the platform’s content moderation.

Judicial Watch president Tom Fitton likened the Biden administration’s funding of the artificial intelligence research to the Chinese Communist Party’s efforts to “censor speech unapproved by the state.” For the Biden administration, Fitton said, the research is a “project to make it easier for their leftist allies to censor speech.”

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Yes, Sales Tax is Also THEFT

A group of House Republicans is supporting legislation that would replace federal income, payroll, estate, and gift taxes with a 30 percent national sales tax. The bill also eliminates the Internal Revenue Service, giving states the responsibility to collect the sales tax and send the revenue to DC.

This deputizing of states to act as federal tax collectors violates the principles of federalism, especially since the plan forces states that have chosen not to make their residents pay sales taxes create a mechanism for collecting sales tax.

A 30 percent sales tax on all goods with no exceptions and no deductions will increase taxes imposed on millions of Americans. The sales tax legislation provides a way Americans can receive a monthly “prebate” payment to help offset the cost of the sales tax. Still, many taxpayers would be paying more under the new national sales tax system.

If the sales tax becomes law, Congress may never have to increase the rate above 30 percent. This is because it can rely on the Federal Reserve to increase the sales taxes via inflation. Consequently, this inflation tax will increase the pain inflicted by the sales tax on the American people.

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What Conflict of Interest? California AG’s Wife Appointed to Run House Committee that Oversees His Budget

California Democrats who run the state have decided laws no longer matter nor do ethics.  The AG is fine with his wife leading the committee in the state house that oversees his budget. 

KCRA in California reported on the material conflict of interest:

California Attorney General Rob Bonta’s wife, Assemblymember Mia Bonta, has been tapped to lead a budget committee that oversees and helps determine his agency’s spending, a decision that some political experts say is ethically questionable.

Assembly Speaker Anthony Rendon, D-Lakewood, recently appointed Mia Bonta, as the chairwoman of the Assembly Budget Subcommittee 5, which focuses on how taxpayer dollars are used on the state’s various public safety agencies, including the California Department of Justice. Both Bontas are Democrats.

“It should raise eyebrows,” said Bob Stern, former general counsel for the state’s Fair Political Practices Commission. “What’s going on with them? It seems to me they have a tin ear about ethics.”

“I believe Ms. Bonta will continue to be independent and unbiased in her legislative judgment, as she has been since starting her service in the Assembly,” Speaker Rendon said in a statement, defending his decision. “The Legislature has a robust and transparent budget process, designed with checks and balances to ensure the best possible budget is passed. Our final Assembly budget proposal must be identical to the Senate, and will be approved or vetoed by the governor. Additionally, we can’t set salaries or benefits for state constitutional officers, so no elected official can ever personally or financially benefit from our budget process,” he said.

Democrats and their Deep State don’t believe in conflicts of interest or the law when it comes to their own actions.  This happens over and over again. 

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So Much For Billionaires: Joe Biden’s IRS Is Now Coming For Waiters’ And Waitresses’ Tips

The Biden administration’s lip service about new IRS enforcement only being targeted toward the country’s wealthiest appears to be just that: lip service.

Instead, while we have been distracted with rhetoric about billionaires paying their fair share, the Biden Administration’s IRS is actually looking to stock its coffers with the tips of waiters and waitresses across the country. This newly planned targeting of middle-class Americans was proposed this week.

Earlier this week the IRS proposed a new procedure to “improve tip reporting compliance”, as they so brilliantly put it. Fox News reported:

As part of the program, which wouldn’t go into effect until after a multi-month public comment period, the IRS could withdraw liability protection related to “rules that define tips as part of an employee’s pay” from employers that don’t cooperate.

The program can’t go into effect until it makes it through a multi-month comment period, Fox News reported.

Rep. Mike Kelly, R-Pa., the chairman of the Ways and Means Subcommittee on Tax, told Fox this week: “Washington has a spending problem, not a revenue problem. Now, the IRS is going after middle-income families and working moms and dads who are just trying to make ends meet and put food on the table.” 

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