Trump And Hillary Refuse To Explain Why They Both Share The Same Address In Delaware

Tyler Durden's picture

Submitted by Claire Bernish via TheAntiMedia.org,

As it turns out, Hillary Clinton and Donald Trump share something pertinent in common, after all — a tax haven cozily nested inside the United States.

This brick-and-mortar, nondescript two-story building in Wilmington, Delaware would be awfully crowded if its registered occupants — 285,000 companies — actually resided there. What’s come to be known as the “Delaware loophole” — the unassuming building at 1209 North Orange Street — has become, as the Guardian described, “famous for helping tens of thousands of companies avoid hundreds of millions of dollars in tax.” 

Reportedly dozens of Fortune 500 companies — Coca-Cola, Walmart, American Airlines, and Apple, to name a few — use Delaware’s strict corporate secrecy laws and legal tax loopholes by registering the North Orange Street address for official business.

“Big corporations, small-time businesses, rogues, scoundrels, and worse — all have turned up at the Delaware address in hopes of minimizing taxes, skirting regulations, plying friendly courts or, when needed, covering their tracks,” the New York Times’ Leslie Wayne described in 2012. “It’s easy to set up shell companies here, no questions asked.”

While the legitimacy of taxes as a concept may be up to personal interpretation, what matters in Clinton’s use of the so-called Delaware loophole, in particular, is her constant harping on the need for corporations and elite individuals to pay their fair share. In other words, Clinton’s employment of North Orange Street amounts to a telling, Do As I Say, Not As I Do. And, as the Guardian notes, both of “the leading candidates for president – Hillary Clinton and Donald Trump – have companies registered at 1209 North Orange, and have refused to explain why.”

As Rupert Neate explained for the Guardian, being registered in the tiny state allows “companies to legally shift earnings from other states to Delaware, where they are not taxed on non-physical incomes generated outside of state.”

In fact, some have claimed — all revelations of Panamanian documents aside — the use of tax-friendly locations inside the U.S. makes it the biggest tax haven in the world, with Delaware, alone, costing other states some $9 billion in lost taxes over the past decade. Clinton has repeatedly touted the needs for tax transparency and to shut down foreign havens with similar loopholes.

“Some of you may have just heard about these disclosures about outrageous tax havens and loopholes and superrich people across the world are exploiting in Panama and elsewhere,” Clinton told the Pennsylvania AFL-CIO annual Constitutional Convention earlier this month. “We are going after all these scams and make sure everyone pays their fair share here in America.”

Oh, the irony.

According to Neate, a Clinton spokesman explained, “ZFS [Holdings, LLC] was set up when Secretary Clinton left the State Department as an entity to manage her book and speaking income. No federal, state, or local taxes were saved by the Clintons as a result of this structure.”

Why, if what the spokesman claims to be true, would Clinton bother using an address in Delaware?

Of the 515 companies Trump officially registered with the Federal Election Commission, “We have 378 entities registered in the state of Delaware,” the billionaire told the Guardian, “meaning I pay you a lot of money, folks. I don’t feel guilty at all, OK?”

Delaware’s incredibly business-friendly structure that allows for such a crowded address is completely legal, though the ability to create shell corporations lends to shady dealings and is “a magnet … which individuals and corporations can use to evade an inestimable amount in federal and foreign taxes,” as a report by the Institute on Taxation and Foreign Policy has described.

Still, Clinton’s constant moralizing on tax transparency — and her spokesperson’s claims she hasn’t benefited from the North Orange Street address — proves, yet again, her stances offer little in the way of a solid foundation.

Comment viewing options

Select your preferred way to display the comments and click "Save settings" to activate your changes.
SomethingSomethingDarkSide's picture

Don't blame thieves for unlocked doors and windows

Antifaschistische's picture

Are Lobbyists for Deleware behind the crackdown on FOREIGN Tax Havens?

WordSmith2013's picture

2016 Presidential Election: The Greatest CON In U.S. Electoral History

http://stateofthenation2012.com/?p=34262

N2OJoe's picture

"with Delaware, alone, costing other states"

Let's get one thing straight, people keeping their own money does not cost anyone anything.

Not only that but it is every Americans patriotic duty to lie, cheat, steal, and loophole their way towards keeping as much of their own income out of the beasts hands as possible. The problem arises when it's only the elite who are implicitly allowed to do so.

MsCreant's picture

No Joe,

The problem is you are campaigning saying you are going to "clean this system up," instead of saying, "Taxes are illegal and immoral and I proudly do everything I can to keep my income out of the beasts' hands."

That means she is a liar. No, let me correct that. A fucking liar. Hil-liar-ry.

sessinpo's picture

MsCreant  

No Joe,

The problem is you are campaigning saying you are going to "clean this system up," instead of saying, "Taxes are illegal and immoral and I proudly do everything I can to keep my income out of the beasts' hands."

That means she is a liar. No, let me correct that. A fucking liar. Hil-liar-ry.

-------

They are all liars. Not a single candidate running today for POTUS is saying income taxes are illegal. Not Trump, not Hillary, not Cruze or Sanders. All liars.

The Saint's picture
The Saint (not verified) sessinpo Apr 26, 2016 11:42 AM

Is incorporating in Delaware illegal to reduce tax burden?  NO!  This is REALLY a non-story.  Companies have been doing this for decades.  You'll find it mentioned in nearly every book on incorporating.

Get a life, Claire.

bigkahuna's picture

I am sure there are lots of "businesses" with some kind of location here. Both legit and not so much.

http://grasshopper.com/blog/a-concise-guide-to-the-7-best-states-for-inc...

The tiny State of Delaware is the legal home to more than 850,000 businesses, 50% of all publicly-traded companies in the U.S., and 63% of all Fortune 500 companies. What is it that makes Delaware so attractive to corporations? Besides not charging any sales tax, the state offers a comprehensive package of incorporation services including thorough and easily accessible legal guidance from their well-developed legal courts.

Delaware’s relaxed laws, which includes a high cap on the amount of interest lenders can charge borrowers, makes it an extremely popular state especially for banks. But there’s something good for any type of business that is considering planting its roots in Delaware – as long as it’s legal.

True Blue's picture

Delaware's laws also make it The site for the Criminally Insane Asshats to establish all the various front organizations funneling death and mayhem around the world. Department 7 even calls these fronts "the Delaware Corporations". It will never change.

Veritas Vos Liberabit -The Truth will set you free. Just as it set the East Germans free when they stormed STASI Headquarters in 1989.

 

nuubee's picture

I actually have no problem with people shielding themselves from taxation. Taxes are theft. What I have a problem with is the barriers-to-entry into most tax havens for all the common people. If we're going to give people the ability to avoid paying taxes, that ability should exist in the same percentage for every income level. Contributing to the government should be voluntary.

WTFRLY's picture

Wat? Trump has Joo World Order written all over him. Anyone associating with Rudy Jooliani and Richard CFR Haass is with the enemy.

macholatte's picture

Delaware’s incredibly business-friendly structure that allows for such a crowded address is completely legal, though the ability to create shell corporations lends to shady dealings

 

That article is nothing more than Propaganda Machine Garbage

Peter Gibbons's picture

Think again. Austin Peterson and John McAfee both are. Not that I'd expect 80% of people to know who they are since they're not plastered over CNN and Fox News, but they exist.

Scuba Steve's picture

Exactly,

I know I'm doing my part in tax avoidance and every ZHer here is too if they keep going to the lake and having boating accidents ...

Witchy-witch's picture

Talk about a lying cunt, take a listen to this lying cock sucking homosexual FAGGOT!

https://www.youtube.com/watch?v=DGeKXCpKT-M#t=30

Yo asshole, you DO NOT have the vote of COlorado and they DO NOT support your kind of trailer trash whore fucking two-timing lying ass at all. Cruz is a scumbag extraordinaire!

Hey cruz...FUCK YOU!!!!

Same same for the lying cunt Slithery Cunton...FUCK YOU WITH A  SIX FOOT 2X4 UP YOUR SHIT HOLE, Cunt!~

https://www.youtube.com/watch?v=BUeHZMfQ-Uc

 

And to you donkey dick sucking sllitery asshats...go choke on obamas dick and then get off sliterys. You Popsicle sticks are charred with shit stains from digging pig shit sandwiches out of soteros ass! Do us all a favor will ya and eat some moar shit and then die!

Beowulf55's picture

You must be havning a bad day.

Here are five easy steps to relax:

1. Go Home

2. Get laid

3. Smoke a joint

4.  And watch the sunset.

5. kill your TV.

2 and 3 can be switched around.

Boris Badenov's picture

Isn't Joe Biden's home state Delaware?  Didn't adding him to the ticket in 2008 help Obama?  H.m.m.m.m.

palmereldritch's picture

"So goes Delaware...so goes the nation"

Wait, that's 'corporation'

Fortunato's picture

Nope! Ask the mega Reno base tax heaven operator. The Oligarchs can do no wrong

Tunga's picture

A foreign corporation is one registered to do business outside or "without" the United States.

Delaware is a state within the union of the states united per the US Constitution. But the tax code aka Title 26 of the US Code or the IRC (Internal Revenue Code) as it is known, recites within it's definitions found in section 7701 that the term State and the term United States both mean; the District of Columbia.

This is because of the limitation placed on the government that limits its jurisdiction to the ten square miles of the DC by article 1 Section 8 Clause 16 of the US Constitution and later confirmed by the US Supreme Court in HOOVEN & ALLISON CO.
v. EVATT, Tax Commissioner of Ohio. No. 38. Decided April 9, 1945, where they explained that the jurisdiction of the United States is limited to the area over which the United States has exclusive jurisdiction, namely the; District of Columbia.

So when Jesus and his lawyer explain that a "domestic corporation" is one registered within the United States they mean and include the District of Columbia.

So Delaware is simply exercising the rights that all the other union states have, but are to corrupted to recognize.

Tunga's picture

(4) Domestic The term "domestic" when applied to a corporation or partnership means created or organized in the United States or under the law of the United States or of any State unless, in the case of a partnership, the Secretary provides otherwise by regulations.

(5) Foreign The term "foreign" when applied to a corporation or partnership means a corporation or partnership which is not domestic.

(9) United States The term "United States" when used in a geographical sense includes only the States and the District of Columbia.

(10) State The term "State" shall be construed to include the District of Columbia, where such construction is necessary to carry out provisions of this title. -

See more at: http://codes.lp.findlaw.com/uscode/26/F/79/7701#sthash.vRM8Q2y5.dpuf

greenskeeper carl's picture

Trump isn't going around saying one thing and doing another. I doubt this hurts him. Clinton, it's a tough call. Most of her supporters clearly don't care about her being a total hypocrite, clearly, since they still support her. I doubt this makes much of a difference either. Especially since sanders still handled her with kid gloves.

PT's picture

But, but you don't understand.
Clinton did it becoz she is a law-abiding tax-paying citizen and you just hate her becoz she is a girl and if you ever mention it again then you are a traitor to the US.
Trump did it becoz he is an evil lying racist stupid tax-dodger scumbag.

Or perhaps someone thought that the only way to take out Trump was to take out Clinton at the same time?
Usual disclaimer:  I know nothing...

PT's picture

While I'm here, obligatory Packer defence:

https://www.youtube.com/watch?v=-WTfoT_y-BQ

Start at 2 mins 35 secs if you're in a hurry but the full thing is less than 3 minutes and worth it.

LowerSlowerDelaware_LSD's picture
LowerSlowerDelaware_LSD (not verified) PT Apr 26, 2016 9:57 AM

Anyone who legally gets out of paying for the FSA gets a plus in my book for making it happen.

WordSmith2013's picture

HILLARY CLINTON: A Non-Stop, One Woman Crime Spree

She is definitrely toast!

"The Department of State-Clinton Foundation fiasco was set up as a parallel government"

 

Slomotrainwreck's picture

According to that Clinton thing, as long as 99% of us pay our fair share, that's good enough.

ThanksChump's picture

AND, if you blame Clinton, you're a racist.

My mangina will compel me to inform your boss of your anti-feminist leanings. You'll never collect another paycheck.

/s

NoDebt's picture

OK, couple of things here....

First, I can almost hit that building with a rock from my office.  So, yeah, I'm familiar with the place.

Second, ALMOST ALL US CORPORATIONS that I've ever encountered are incorporated in Delaware.   This has been true for DECADES.  I am incorporated in Delaware (though I actually do business out of Delaware).  If I was out of PA or NJ or MD I would STILL incorporate in Delaware.  If this is a revelation to anybody here then maybe you haven't been in the business world long enough.  For small potatos like me, it has little to do with taxes and a lot more to do with the favorable corporate laws that protect the owners of the corporation better than any other state.  And it ain't no bullet proof vest even at that, believe me.

As for that canard about how doing this "cheats other states out of billions in tax revenue", I have only two words to say in response:  Fuck. Off.

And, by the way, YOU can incorporate in Delaware, too.  This one ain't just for the elites with special connections.  There are companies that will actually help you incorporate your small business in DE as a service (i.e. for a small fee).  Even if your business is in Montana or Ohio or Oregon or wherever.

I mean, seriously, there's two hundred and eighty five THOUSAND companies incorporated there!  Does this sound like some secret thing that only a handfull of wealthy individuals and powerful corporations can avail themselves of?

 

LowerSlowerDelaware_LSD's picture
LowerSlowerDelaware_LSD (not verified) NoDebt Apr 26, 2016 10:02 AM

+10000000

And the people who think (demand?) that people and/or corporations pay MORE to make the incompetent, business stifling, corrupt, government even LARGER and more powerful are the problem.

And, by the way - ALL taxes levied on corporations get passed through to the corporation's customers.  People pay those taxes.  The corporation is simply the middle vehicle for the government to take more from PEOPLE.

Mr. Universe's picture

Give to the "Almost Human Fund", money for Corporate Personhood.

ThanksChump's picture

No fund is necessary...

SCOTUS is above reason and logic. Accept the mystery.

Santa Clara County v Southern Pacific Railroad... Overturn that decision, please, but not until tort law is reformed to 'reciprocate' ie, if you sue someone for $20M and you lose the trial and the appeal, you owe the defendent(s) $20M or lifelong indenture.

Why? Because "Hot coffee is served hot" is a shameful reflection of a broken legal system.

geeves's picture

You can incorporate there for a little over $100 per year through LegalZoom with a few mouse clicks.  I couldn't agree more and am pretty surprised that this article made it onto ZH.

ThanksChump's picture

ZH is courting the ad-clicks of the Socialists, Feminists, and Social Justice minions.

 

Collectivism is a lot like radical Islamic sects or Christian fundamentalists, only with more atheists. It spreads like a disease and ZH must court its members or lose money.

Sad.

cheech_wizard's picture

Probably a better question here is, how many people posting to this article actually have an LLC, and if they do, is it incorporated in Delaware? Oh wait, I did it through LegalZoom, and am incorporated out of Delaware.

Standard Disclaimer: Stupid article. 

 

Mr. Universe's picture

LLC, in California. BIG mistake, live and learn.

BobbyRay's picture

Yes, $900 a year for the "priviledge" and little protection.  

PTR's picture

Protection?  Pardon my snark, but I thought that would be considered a shakedown fee.

Dr. Venkman's picture

Plus it is a state law issue so the other states can just as easily copy cat/race to the bottom in this regard. It is happening and has happened across the country. Nevada is probably the best example.

Delaware would still keep the bulk of the business because we are a known, stable factor. And we have the best looking, most virile lawyers.

Ralph Spoilsport's picture

LOL I forwarded your comment to my friends in the Delaware Bar.

NoDebt's picture

"And we have the best looking, most virile lawyers."

OK, that gets a green arrow.

COSMOS's picture

How do you explain Biden then?

NumNutt's picture

Delaware is also good to register your boat in, 25 buck no question asked, to help avoid those peskie property taxes in your home state, they don't even need to see the boat....Now if you will excuse me I need to go and setup a corporation in DE.

Ralph Spoilsport's picture

Maryland lost a lot of boat registration and tax revenue to neighboring stares Delaware and Virginia. Maryland is probably beyond hope even with a Republican governor (who is surprisingly popular with the Dems).

Dave Thomas's picture

Real pros register their boats in Liberia!

COSMOS's picture

I hear Somalia is good too.  They dont keep records.  Plus nobody is willing to go there to try to dig up info on your boat or shell company.