Romney Avoids $100 Million in Dividend Taxes via Foreign Route
On Nov. 5, 2012, De Volkrant ran an article about how Mitt Romney avoided $100 million in dividend taxes through a private equity fund in The Netherlands. Here is the Volkskrant story. A longer version of the story originally appeared at Follow the Money. Below is a translation (posted with permission of Follow the Money). Thanks to John Sinteur, blogger at The Daily Irrelevant (and author of the iPhone app above), for the translation.
The offshore fiscal routes Mitt Romney uses also go through The Netherlands. The private equity fund Bain Capital, in which the presidential candidate participates, uses the Dutch route to evade about 80 million euro ($102 million) of taxes on dividends.
<..> Romney receives part of the large returns by the Bain Capital Fund VIII in the form of shares. On March 10, 2011, Romney donated 19,799 shares of Warner Chilcott (valued at about $450,000) to his son's non-profit, the Tyler Foundation. By doing this Romney did not have to pay taxes in the USA. Gifts in the form of shares to dedicated non-profit organisations are exempt from capital gains taxes. The gift is also a deductible on his own tax returns.
<..> The Netherlands so far was not on that list, but it now appears it should have been listed. The Netherlands as a tax evasion route were mentioned earlier in the news about the US coffee company Starbucks, causing much consternation in the U.K.
Is this another one for Willard? It's hard for me to keep up with where/how/who he screws the US with.