<http://scottystarnes.wordpress.com/author/scottystarnes/> Is the Obama Administration giving Puerto Rico a Secret $6 Billion Dollar Bailout<http://scottystarnes.wordpress.com/2011/01/11/is-the-obama-administration-giving-puerto-rico-a-secret-6-billion-dollar-bailout/> *Scotty Starnes <http://scottystarnes.wordpress.com/author/scottystarnes/>*| January 11, 2011 at 11:35 AM | Tags: bailout <http://scottystarnes.wordpress.com/?tag=bailout>, double taxation<http://scottystarnes.wordpress.com/?tag=double-taxation>, Gov. Luis Fortuno <http://scottystarnes.wordpress.com/?tag=gov-luis-fortuno>, Internal Revenue Service<http://scottystarnes.wordpress.com/?tag=internal-revenue-service>, IRS <http://scottystarnes.wordpress.com/?tag=irs>, Obama Administration<http://scottystarnes.wordpress.com/?tag=obama-administration>, President Obama <http://scottystarnes.wordpress.com/?tag=president-obama>, Puerto Rico <http://scottystarnes.wordpress.com/?tag=puerto-rico>, taxpayer funded bailout <http://scottystarnes.wordpress.com/?tag=taxpayer-funded-bailout> | Categories: Uncategorized<http://scottystarnes.wordpress.com/?category_name=uncategorized>| URL: http://wp.me/pvnFC-45c
I thought Obama said there would be no more taxpayer-funded bailouts<http://www.whitehouse.gov/blog/2010/04/14/a-bipartisan-meeting-reforming-wall-street> ? The Daily Caller<http://dailycaller.com/2011/01/11/thedc-exclusive-a-secret-6-billion-bailout-for-puerto-rico/> reports: *The Obama administration is eying a secretive tax deal<http://dailycaller.com/2011/01/11/thedc-exclusive-a-secret-6-billion-bailout-for-puerto-rico/#>critics charge is an indirect bailout for Puerto Rico to the tune of billions of taxpayer dollars.* The U.S. territory, desperate for revenues in the midst of the recession, surprised industry with a *$6 billion tax on foreign firms* – including a significant bloc of* U.S. pharmaceutical firms* – Oct. 22 in a rare weekend legislative session without any public debate in advance. But now *U.S. taxpayers*, not the firms, *could end up footing at least a significant chunk of the bill.* Gov. Luis Fortuño signed the new tax into law Oct. 25. That day, the Washington, D.C.-based whiteshoe law firm Steptoe & Johnson issued him a legal brief arguing U.S. firms should receive money<http://dailycaller.com/2011/01/11/thedc-exclusive-a-secret-6-billion-bailout-for-puerto-rico/#>from the U.S. government<http://dailycaller.com/2011/01/11/thedc-exclusive-a-secret-6-billion-bailout-for-puerto-rico/#> to offset the Puerto Rico tax increase, which Fortuño sent to the Internal Revenue Service, where a decision is pending. The international tax law in question is complicated, but experts agree the tax, and the request, *are an unusual use of portions of the tax code intended to avoid double taxation on U.S. firms in countries that have reciprocity treaties with the U.S.* “We would call it creative,” said James Hines, an expert on international tax issues and the L. Hart Wright Collegiate Professor of Law at the University of Michigan Law School. “It’s an unusual tax for sure.” *It’s an “indirect bailout,” *said Dan Mitchell, an international tax expert and senior fellow at the Cato Institute. Factions within the IRS are fighting over the decision. “The IRS<http://dailycaller.com/2011/01/11/thedc-exclusive-a-secret-6-billion-bailout-for-puerto-rico/#> is very careful about giving away U.S. taxpayer dollars,” said Roberto Monserrate, assistant executive vice president for the Puerto Rico Manufacturers Association. “This is big money we’re talking about.” The government has no problems with giving away our money. Look at the national debt for more proof. Continue reading>>><http://dailycaller.com/2011/01/11/thedc-exclusive-a-secret-6-billion-bailout-for-puerto-rico/> Add a comment to this post<http://scottystarnes.wordpress.com/2011/01/11/is-the-obama-administration-giving-puerto-rico-a-secret-6-billion-dollar-bailout/#respond> <http://feeds.wordpress.com/1.0/gocomments/scottystarnes.wordpress.com/15698/> <http://feeds.wordpress.com/1.0/godelicious/scottystarnes.wordpress.com/15698/> <http://feeds.wordpress.com/1.0/gofacebook/scottystarnes.wordpress.com/15698/> <http://feeds.wordpress.com/1.0/gotwitter/scottystarnes.wordpress.com/15698/> <http://feeds.wordpress.com/1.0/gostumble/scottystarnes.wordpress.com/15698/> <http://feeds.wordpress.com/1.0/godigg/scottystarnes.wordpress.com/15698/> <http://feeds.wordpress.com/1.0/goreddit/scottystarnes.wordpress.com/15698/> [image: WordPress] WordPress.com <http://wordpress.com/> | Thanks for flying with WordPress! Manage Subscriptions<http://subscribe.wordpress.com/?key=5d39acfd19218362d540a3fc3dc3315d&email=baconlard%40gmail.com>| Unsubscribe<http://subscribe.wordpress.com/?key=5d39acfd19218362d540a3fc3dc3315d&email=baconlard%40gmail.com&b=uEC6%2CvjQ%3FaE%5BXQ.CXzn0tZKOVCxnSP2jO3R8Xzett>| Reach out to your own subscribers with WordPress.com.<http://wordpress.com/signup/?ref=email> *Trouble clicking? Copy and paste this URL into your browser:* http://subscribe.wordpress.com -- Thanks for being part of "PoliticalForum" at Google Groups. For options & help see http://groups.google.com/group/PoliticalForum * Visit our other community at http://www.PoliticalForum.com/ * It's active and moderated. Register and vote in our polls. * Read the latest breaking news, and more.
