A new report on Saturday revealed that Donald Trump and his siblings took part in a scheme to make money without having to pay taxes.
According to The New York Times, Trump and his siblings created a fake maintenance company called All County Building Supply & Maintenance in 1992 which did nothing but pay vendors — and then was reimbursed by their father, Fred Trump at a higher rate.
The company created bogus invoices to pad expenses, duck taxes and inflate the rent of their father’s properties.
According to The Times, the money that was made from the fake company was distributed between the Trump siblings in order for them to avoid paying taxes on excess cash.
Additionally, the fraudulently increased amounts were reported as “improvement costs,” allowing the family to raise rents on properties that were rent regulated.
In a sworn deposition, Trump’s brother Robert once admitted, “The higher the markup would be, the higher the rent that might be charged.”
“The sum total of the rent overcharges cannot be calculated from available records. As a way to appreciate the scope of the impact, a onetime $10 increase in 1995 on all the 8,000 apartments involved would put the total overpaid by tenants at more than $33 million to date, an analysis of approved rent increases shows,” the Times reports.
The entire report can be read HERE.