trump's organization gives info the CPAs
the CPAs dig for the right info and then the return is prepared with losses that were incurred
they present 1000 pages of a tax return to trump and he signs it
the next year the CPAs have the loss carry forward and voila they use it and it offsets taxable income arising that year and again they present trump his 1000 page tax return and he signs it
and so it goes
not one thing wrong ,hidden or messed up, the loss was there
from the new Yorker magazine
Based on Internal Revenue Service transcripts of Trump’s tax returns from 1985 to 1994, the
Times report said that Trump’s core businesses racked up losses of more than a billion dollars in a ten-year period. During 1990 and 1991, the story said, Trump’s losses were so large that they “were more than double those of the nearest taxpayers in the I.R.S. information for those years.”
so if that were so, it would take years to winnow down and use up the carry forward
you incur business income in a tax year, you owe tax
you incur business losses...the arbitrariness of a year is somewhat removed
you can carry the loss backward for a couple years and then forward to offset business income..so that over time...you pay tax on your net profit
not an arbitrary one year window that stands alone
its like uncle sam gets to stand on your head ..and yo're treading water in the middle of the ocean desperately attempting to keep him and you up . and if you go down, uncle sam just hops to someone else's shoulders while you drown,
if you make it to shore, and start over, they at least let you offset the loss against future income
they don't give you anything for a loss, and its worthless unless you get up and keep moving the next year or years ..
.but at least you aren't stuck with the arbitrariness of losing your shirt one year and you get nothing and its not even a carry forward
and the next year if you have a profit you get taxed
life and profits shouldn't be based on stand alone years
