Illinois Democratic governor Pat Quinn, the incumbent, is not someone to get excited about, but his opponent in the upcoming election is a non-Mormon clone of Mitt Romney, down to the off-shore tax havens. Bruce Rauner won’t release his tax returns either, basically thumbing his nose at the electorate.
Multimillionaire Republican Bruce Rauner has channeled at least part of his fortune into the Cayman Islands, a Caribbean paradise long criticized as a tax haven for American investors, the Chicago Sun-Times has confirmed.
A Rauner spokesman insisted that the former private equity investor has met his legal tax obligations and properly disclosed to the federal government information regarding at least five investments by him or his firm in a country that has no income tax and a financial system cloaked in secrecy.
Rauner’s campaign has refused so far to release a full set of his most recent tax returns to corroborate that and perhaps show the extent and value of those investments in offshore companies. No one has suggested Rauner has done anything illegal. In fact, offshore investments among the wealthy have been a common practice in recent years.
(click here to continue reading Bruce Rauner channeled part of fortune to Cayman Islands | Early & Often.)
Are people really going to vote for this plutocrat who is too good, too powerful, too rich to pay his fair share of taxes to a near bankrupt state? If you planned to run for political office, why would you do this? And worse, once news of Rauner’s lack of patriotism was exposed, he doubled down on it.
Republican gubernatorial candidate Bruce Rauner funneled part of his wealth to a Caribbean territory long considered a tax haven, a business practice he defended yesterday, stressing there was no impact on his personal tax rate.
A central part of Gov. Pat Quinn’s re-election bid has been scrutinizing how the multimillionaire Rauner made his money, and the Chicago Democrat’s campaign has alleged Rauner “stashed” money to avoid paying taxes. “I’d think someone who anticipates being in the public eye wouldn’t be in the Cayman Islands because the question to be asked is, ‘Why would you have invested there?'” Richard L. Kaplan, a University of Illinois law professor told the newspaper. “
AT NO POINT HAVE I TRIED TO AVOID TAXES’
Rauner dismissed the notion yesterday after speaking to Asian leaders in Chinatown.
“At no point have I tried to avoid taxes or done these things that they’re trying to spin,” he said…
“GTCR has its own structure for just a couple of investments. When they invest in overseas companies, they set up that particular structure. It doesn’t impact our personal tax rate whatsoever.”
Cayman, a British territory, is considered one of the world’s largest financial centers and a haven for mutual funds and private equity. International companies and ultra-rich investors have long taken advantage of offshore financial centers there, drawn by regulations and legal systems making it easy to move capital internationally.
(click here to continue reading Rauner defends Cayman Islands money move – Government News – Crain’s Chicago Business.)
and as Aaron Cynic of the Chicagost writes, this isn’t trivial amounts of money, but most likely millions of dollars:
While Rauner might be in full legal compliance, the practice itself allows major corporations and other wealthy individuals to skip out on paying taxes in the United States. According to a June report from the group Citizens for Tax Justice, U.S. based multinational corporations booking profits in tax shelters like the Cayman’s has allowed them to skip out on an estimated $90 billion in federal income taxes. For someone trying to save the Illinois economy with a tax plan that targets professional and business services – many of which are smaller businesses – sheltering profits from a company boasting a $10 billion investment portfolio seems somewhat duplicitous, at best.
(click here to continue reading Rauner Defends Dumping Dollars Into Off-Shore Accounts: Chicagoist.)