Could Obama and Romney be Cashing in on Global Opportunities

With the report floating around the nation about presidential candidate Mitt Romney earning over 14 Billion in the global market many people are wondering how that could happen. Now whether or not Romney made that amount of money has not been proved so far but here is how that can happen.

Let’s say that there is an American company by the name of Joe’s. The company produces many products and has numerous factories in the United States as well as overseas factories. They hire me to consult them at the sum of 10 million dollars. Now I do not want to pay the United States Treasury the 30% in taxes for my income so I include this agreement in the contract of my employment.

I will do the following work you request if I get paid out of the overseas accounts. Most overseas work is non-taxable in the United States. If Joe’s agrees and my salary comes from the overseas accounts then it is deemed non-taxable under the loopholes in our tax code. This way I can retain over 3 million dollars in money paid to me instead of Joe’s sending that amount to the Internal Revenue Service.

If questioned about the payment by the IRS, Joe’s can simply say that the advice I gave them was for the overseas business. In reality it would prove impossible for the IRS to prove otherwise because evidence of the consulting that I did would be on record at the overseas operations whether or not they are implementing my suggesting in those factories.

The United States factories would loose some because they could not deduct that salary from their tax declarations, they could make it up elsewhere through the loopholes and tax exemptions that they work under.

Now this is a simple thing and is one reason why so many investors are investing in overseas markets and what it does is two fold. It not only provides the investor or consultants with their full, non-taxable income made from their agreement, but it short changes the tax obligations that our country needs to operate on. When the Obama Administration restricts companies through agencies such as the EPA and forces a company to move overseas then it makes it more feasible for individuals to make non-taxable income. They have more income to spend but it damages our system and then we have less money to spend on needed things, like our debt.

This almost makes one think why is this Administration damaging our economy so bad. Is because Obama himself has many investment or opportunities abroad for his future. Maybe like the deals he struck with Brazil. We help them fund their fuel needs and then he takes a chunk to the bank? Just a thought.