No, but I pay tax, and I pay federal tax, too. But I have a write-off, a lot of it’s depreciation, which is a wonderful charge. I love depreciation.
Cooper had asked Trump if he used the nearly $1 billion in losses shown on the three 1995 state tax returns leaked to The New York Times “to avoid paying personal federal income taxes?”
Trump responded, “Of course I did. Of course I did.”
Read: Donald Trump’s Deep Love Of Tax Depreciation – An Affair To Remember for more on this Topic
Practice owners (sole proprietors or corporations), partners who receive K-1s, and independent contractors who receive the 1099 form have the greatest flexibility when it comes to taking business expenses to reduce taxable income. Although you should consider many factors when selecting a business entity, most business deductions are treated the same way, regardless of the type of business entity.