- Jun 27, 2014
Carney: NYT Is Wrong — Donald Trump Paid Millions in Taxes in 2017
In other words, Trump paid the full amount of his taxes but spent $7,435,107 of his tax credit and $750 of cash. Both cash and the credit are government liabilities that the U.S. government accepts as payment for taxes. Paying the credit is not the equivalent of not paying taxes.But tax laws gave him one more line on which to reduce the A.M.T. Mr. Trump had $22.7 million in General Business Credit, much of it carried forward from prior years, that he could apply. The credit is a smorgasbord of tax incentives and givebacks to business owners, and in Mr. Trump’s case they ranged from credits of $322,926 for Social Security and Medicare taxes paid on employee tips to at least $1.5 million related to rehabilitating the Old Post Office in Washington.
The business credit cannot be used to get a refund; it can only be applied against taxes owed. Mr. Trump had more than enough to cancel out his $7,435,857 tax bill. But on the Form 3800 for the General Business Credit, his accountants subtracted $750 from his allowable credit. Why they did that is not clear. But the result was a total federal income tax liability of $750.