Does NOT Paying Taxes Make You Smart?

Nobody loves paying taxes. Even the most liberal Hollywood celebrity who can be counted on to support every big government project has accountants on his/her payroll whose job it is to avoid paying them as much as the law allows. I'm no celebrity and I can be counted on to oppose most big government projects, and I have an accountant who is charged with the same task. But, I feel compelled to make it clear that if my accountant presented me with a legal scheme that would lower my tax bill to zero, I would decline it. Why? Let me try to explain the unexplainable.

When I heard the Donald in the debate the other night say that if he paid no federal taxes on his alleged 600 million dollar income, that would make him smart, it touched a nerve with me. I don't know the first thing about Trump's finances. Although my gut tells me that when someone talks about his personal wealth so much it usually means that he isn't as wealthy as advertised. But, for our discussion let's assume that he truly is as loaded as he claims. Does avoiding taxes on a multi-million dollar income make him smart?

I find it easy to believe that someone with a great accountant, especially someone in the real estate business could, in fact, find a legal way to avoid paying federal income taxes. That's because our Rube Goldberg contraption of a tax code, with its 7000 pages of addendum, codicils and waivers lends itself to this sort of thing. When lobbyists and politicians and lawyers write the laws, what would you expect? So, it's probably legal. But is it smart? No. Here's why.

Let's imagine that Mr. Trump lived under a flat tax of 17%. That would mean he would owe the Treasury roughly 100 million on a 600 million dollar income. By not paying, the burden of funding the government's latest boondoggle falls to someone else. But the funding of the legitimate functions of government falls to someone else too. That aircraft carrier doesn't pay for itself! So, guess who ends up paying the freight? Not the poorest Americans. Not even the lower 45% of earners who currently pay no income taxes because of things like the earned income tax credit and the home mortgage deduction etc. etc. Yes, you guessed it, the middle class, specifically the upper middle class.

But, there's another reason why not paying your taxes is not smart. It means you are a lousy citizen and even worse, an ingrate. We live in the greatest nation on this planet. There is more opportunity here than anywhere else in the world. We live a life of comfort, plenty and ease unimaginable in most of the rest of the world. I thank God every day for allowing me to be born an American. One of the things that makes America work is a functioning government. As a citizen, although I may not like how my tax dollars are spent and although I may think our tax code stinks to high heaven, it's my job to pay what I owe. Somebody has to defend us, somebody has to administer our system of justice, someone has to build bridges, hospitals and highways. When I pay my taxes, I participate in providing the funds that allow my country to work. When I  weasel out of paying, I become a fake citizen, in essence . . . A freeloader.

Yes, I allow my accountant to claim my mortgage interest deduction. Yes, I keep my business receipts. Yes, I established a c-corporation years ago to help lower my tax bill. But, I have declined other, more imaginative schemes to avoid taxes, partly because I didn't understand them, but partly because I feel blessed in this life. America has been one of the greatest things to ever happen to me and I did nothing to earn the title American. It was an accident of birth. But the prosperous life I've built here is no accident. It has come about in no small part because the freedoms I enjoy here, and freedom isn't free, my friends.

So, on the fifteenth of every month, I make sure there's enough money in my business checking account to cover the IRS draw. I complain about it. I grumble and moan. But I pay, and a part of me feels good and grateful. If that makes me dumb, so be it.

Getting Excited!

One week from today, I get to see my kids again! This time, for the fourth or fifth year in a row, I forget which, I have rented a cabin in the Smoky Mountains near Gatlinburg. It's about a four hour drive for both of them and about six for us. It's far too short of a trip. It seems that just about the time we get settled in, it's time to leave. But I still do it because it's fall, its usually delightful weather, cool and crisp, and it gives us an excuse to be together.

There will probably be some hiking, perhaps a ride or two on the famed alpine coaster, maybe a go-cart race. If we have enough time we might go zip-lining. But mostly the weekend will involve lots of  cooking, eating and sitting in rocking chairs out on the back porch looking out over the blue-gray edges of the mountains spread out to the horizon. We will get caught up on all the gossip that isn't worth texting but makes for great den chatter. I will bring my guitar and try to coax a duet out of my talented son and his pretty singing girlfriend. I will pamper my daughter to within an inch of her life to help her recover some of her lost sanity from the insane rigors of back to school month. So, essentially whatever she wants next week, she gets.

Of course, there's always the chance that the weather will be horrible, that it will rain the entire four days. In which case, we will be forced to stay in our luxury cabin the whole time eating home cooked food, watching movies and playing games. As is usually the case with these trips, the television will never get watched. All of those big screens black and lifeless on the walls. As a result, my attitude about the world will improve.

We will miss Lucy and Jackson. No pups on this trip. But, that translates into less stress which is the whole theme of the trip this year. Let's get away for a few days and leave the wackiness that is America in 2016 behind. Let's clear our heads and celebrate what is good about life for a bit, shall we?

Why, yes. I think I would like that very much, thank you!

Schooled By My Big Brother

I called my brother last night. I had just heard that Wilson Ramos, all-star catcher for the Nationals, had blown out his knee and was lost for the season. I was in the midst of bemoaning the National's dimming playoff chances when he reminded me that...it's baseball, anything can happen! Then, he changed the subject to my last blog about the debate. Without saying so, he suggested in a round about way that perhaps my view of the future was overly bleak. Doug, we survived James Garfield, right? How bad can it be?

He's right. I'm as guilty as anyone of seeing the glass as half empty. The heat of the moment is a terrible/perfect time to write a blog. It's perfect for capturing passion, it's terrible for communicating wisdom. So, upon further review let me point out several worse things that our country has been through and survived.

1. The Revolutionary War.

How we even became a nation was essentially a series of miracles, punctuated by improbably fortuitous coincidences, wrapped around rare, unexplainable military victories. If there had been a Vegas betting line back in 1776 it would have had Great Britain minus 100. The over and under would have had the Empire crushing us in less than six months, seven tops. They had the best fighting army in the world. We had George Washington and a bunch of farmers. But here we are, 240 years later.

2. The Civil War

Who would ever have thought in 1865, after killing over 600,000 of our fellow Americans, that our greatest days as a nation were ahead of us? That so much death and destruction was visited upon our nation over our greatest national sin was probably divine justice. But the fact is, we paid a horrible price to free our slaves and rid ourselves of that institution, proving that God is not mocked. Despite the horrific loss of life and the destruction of cities great and small, within one generation the United States of America was being transformed into the mightiest industrial power in the history of the world. The aforementioned James Garfield was the fourth consecutive forgotten President of the post war period. You know, the ones nobody can name after Lincoln and before McKinley? So much for the notion that America is doomed without a strong leader in the White House.

3. Jimmy Carter

The first President I ever voted for was Jimmy Carter. Even back in 1976, I loved outsiders. He was arguably the most moral, decent and humble man ever to hold the office. Jimmy Carter was and is the sort of guy who you wouldn't hesitate asking to babysit the kids. And yet, by practically any measure he was a feckless disaster as a leader. One and done. Jimmy Carter had more personal integrity and a more dependable moral compass than Hillary and Donald combined. But that didn't help him lead the country. You want to watch a cringe-worthy presidential address? Google his malaise speech. Brother! My point is, whichever one of these two winds up in the White House . . . We will survive.

Sometimes it's hard to see past the junk. When you're in the middle of it, all you can see is the junk. But, when you step back and put on the magic glasses of perspective, the skies brighten. I have done that thanks to my big brother. Things are looking a little brighter to me this morning.

God bless America.

Who Won the Debate?

I tried. Honestly, I tried as hard as I could to be a good citizen, to do the right thing. But, at 10:20 I walked out of the room. I was done with it.

Pam had tried valiantly to brighten the mood, to provide fun distractions with her debate bingo game and a modified drinking game using Cheez-its. But, ten minutes in, the familiar nausea which comes every time I give my undivided attention to this election, arrived on the scene. It isn't often in my life when I am embarrassed to be an American, but as I watched the debate I kept asking myself, what must the rest of the world think of us?

I will not get into the actual substance of what either of them said. My views on politics and ideology are well known to all of you. Based simply on deportment and temperament, Hillary was the clear winner. For me personally, she is the single most unlikeable woman to arrive on the American scene since Rosanne Barr. But, how any thinking person could watch and listen to Donald Trump last night and think him worthy of the Presidency is simply beyond my understanding. Simply stated, the man is a buffoon. And yet, this morning I am greeted with the results of four unscientific online polls from institutions as diverse as the Drudge Report and Time Magazine declaring Trump the winner.

Long ago, I resigned myself to the fact that on Inauguration Day 2017, I am destined to be disappointed. After last night, I find it difficult to believe that the American people will actually walk into voting booths all around the country and award Donald Trump the Presidency. Despite what the polls say, when hard working, levelheaded men and women get inside that booth, sanity and simple decency will not allow most of them to cast their future onto the bilge barge that is Donald Trump. But that conviction means that we will be governed by one of the most corrupted, manipulative Machiavellian strivers to ever grace the American landscape. The consolation prize for our electoral due diligence?....the Eva Peron of the American Oligharchy. Congratulations to us!

It's hard to fight off despair in times like these. My son has said, elect Hillary, then hope for better candidates in 2020. The problem with that guarded optimism is that by then it might be too late. Give Hillary Clinton four years to insert her greedy tentacles into the machinery of government, then Chelsea, 2024 might be an inevitability.

My plan from now [until . . .forever], will be to keep my head down, work hard, pay my taxes and prepare myself for the economic and social decline of my once great country. Hell, we had a great 240 year run. Who better to manage our decline than a statist like Hillary Clinton?

My Arnold Palmer Story

Arnold Palmer died yesterday. I first saw the news running across the bottom of my TV screen. Even though he was 87 and in ill health, it was a shock. For men of my age he was one of the first sports personalities we discovered. When I was a kid, you either rooted for Jack or Arnie. I was an Arnie guy. Jack Nicklaus was the greatest golfer of all time, and we all hated him for it, because although we admired Jack's game, we were in love with Arnie. Jack won 18 majors. Arnie won our hearts.

Here's my Arnold Palmer story. His last professional victory happened to be at the 1988 Crestar Classic at Hermitage Country Club right here in Richmond, Virginia. My best friend Al Thomason and I showed up for the final round that Sunday morning and made a beeline for Arnie's Army which was amassed on the first tee. We elbowed our way to the ropes and followed our hero for all 18 holes. It was one of the highlights of my life. On the back nine, he was nursing a one shot lead with three holes to play, when he came to a par five, pulled out the driver and nailed a long drive right down the middle. Al and I figured that Arnie being Arnie, he would probably go for the green in two instead of laying up. So, we sprinted from the tee box to the green so we could watch his daring approach shot. Only, he hooked the shot badly and we watched in horror as the shot landed deep in the woods to the left of the green. We immediately ran over to where the ball landed along with what seemed like a million other people. The ball was sitting up nicely on a bed of leaves six inches from the base of a small tree. He had a shot.

When he arrived on the scene, he hitched up his pants as he looked down at his ball, obviously pleased with the fortuitous lie he had drawn. Then, he looked around at everyone and smiled a sheepish grin.

"...You guys didn't place this ball in this perfect spot did you?"

Everyone laughed and so did he. It was a magical moment. Then...

"...Well then, the least I can do is get this thing up and down!"

Which he did.

At the time, nobody knew that this would be his last professional win. It was the first and only time I ever saw him play in person. What I remember most was how friendly he was to the fans, how natural his interactions with us were. He had the one thing that most professional golfers lack...charisma.

RIP, Arnold Palmer.

Debate Prep

I am in the process of preparing myself for tomorrow night's big debate. I'm told that perhaps 100 million of my fellow Americans will be watching. During the primary battles, I watched only one of the Republican debates and one Democratic one. That was enough. But this is different.

I have been writing over and over again during the past couple of years how I believe that Hillary Clinton is a shoe-in to be the next President of the United States. Despite all of her shortcomings as a candidate, I found it incomprehensible that she would get beaten by the likes of Donald Trump. I still hold to that view . . . but with far less confidence.

Unfortunately, Donald Trump has this knack of making political pundits look like fools. Every time any of them declares him finished because of some mind-numbing idiocy that has come flying out of his mouth, his poll numbers go up. Of course, Hillary hasn't helped herself with that cough of hers, and video of her knees buckling waiting for her SUV on 9/11 was a horrible contrast to Trump's energizer bunny campaigning style. Television screens full of rioters never helps the party in power either, so there's that. But, never fear, the Hillary people say...she will destroy him in the debates. Trump has never, ever had to stand on a stage for 90 minutes with one adversary and debate policy. His ignorance will be exposed, they say. He will have no place to hide, they say. Political order will once again be restored, they say.

Ok.

But, her people better hope and pray that she doesn't have a coughing jag.

So, yes, I will be watching. Pam and I have toyed with maybe employing some sort of drinking game to make it more tolerable. But neither of us are big drinkers, especially Pam. If we took a gulp or even just a sip of something every time one of these boobs says something stupid, Pam would be unconscious a third of the way though. So we thought, maybe we should substitute donut holes for alcohol. Every time either of them says something embarrassing, we would throw back a donut hole. But that runs the risk of one of us going into a diabetic coma at some point in the proceedings.

But wait. We are adults here. We are grown up people, mature, educated Americans. There's no reason why we can't sit still for an hour and a half and do our civic duty without having to devise some childless distraction to get us through it. No reason of course other than the two people we will be forced to watch.

Trying to Understand

This blog is nearing its sixth year of existence. In that time I have written about an African-American being killed by a police officer 22 times.

22 times.

My instincts find common cause with a law and order message. My experience with the police has been positive, as positive as can be expected when being issued a ticket for speeding. I have clients, friends and family members who serve or have served as police officers. There isn't enough money in the world to entice me to trade places with any of them. Their job is stressful, dangerous and thankless, the hours are horrendous, and they don't make much money. No thanks.

But something is wrong.

22 times.

Statistics are for losers, so I won't cite any. I know that blacks commit a lot of crimes. I also know that many more whites than blacks get killed by cops every year. But, when I watch footage of rioters in the streets I feel two strong, competing emotions. The first is rage. Watching some gleefully destroying the few functioning businesses still standing in the inner city, and lining their pockets with loot is infuriating. But, if I'm honest with myself, if I try to place myself inside the heart of a black man for just a second, I feel something else. My heart nods it's understanding. Let me explain.

Yesterday I read somewhere about how every time there is a shooting like this, a familiar narrative emerges. After initial reports of the incedent, subsequent reports begin to appear which go into great detail about what a rough character the victim was. We are treated to a photograph of his long rap sheet and testimonials about his violent past. The subtle message is clear, with his death, no matter how unfortunate the circumstances, have we really lost anything of value?

Contrast this to how the news media covered the case of that punk Stanford swimmer who spent all of three months behind bars for raping a girl. We were told how a twenty year prison sentence would ruin his entire life. The judge received hundreds of letters from other members of his country club, urging compassion. Should this bright young man's life be destroyed because of one youthful discretion? Hasn't he suffered enough? This subtle message is also clear. Some lives are more valuable than others.

If I were a black man, this is the sort of thing that would fill me with rage, the sort of rage that we see on the streets of Charlotte.

I am not offering an excuse for violence here. Nothing could be further from the truth. I'm not even taking a position on whether this particular shooting was justified or not. All I am trying to do is break out of my comfortable corner and try to understand the world around me. Although I will never be able to walk a mile in another man's shoes, at least I should try to see the world through his eyes every once in a while.