Here’s to Your Health!

Tax Deductions Encourage Good Health When Congress raises the hood on the tax code, they’re usually working to raise money to pay for government. But sometimes they’re more interested in nudging us to behave in ways they can’t legislate directly. Take the mortgage interest deduction, for example, which “cost” the Treasury $69.7 billion in 2013. That deduction encourages millions of Americans to spend billions of dollars buying homes, building homes, renovating money pits, and keeping their homes looking spiffy — all of which returns billions more through our overall economy. Last week, the House Ways and Means Committee passed another
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Don’t Cry 4-3, Argentina

Messi & Ronaldo Accused of Tax Evasion Americans love a champion, and every year, sports fans get to see new champions crowned. We’ve got a World Series, a Super Bowl, and NBA finals that drag on for months. We’ve got the Kentucky Derby, the Indianapolis 500, and the Nathan’s Famous National Hot Dog Eating Contest. And every even-numbered year, the Olympics bring us more exotic champions in curling, synchronized swimming, and dancing horses. But there’s one event that mobilizes the rest of the world in a frenzy of competition: soccer’s World Cup. A billion people watched France defeat Argentina, 4-3,
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Tax Collectors Target “Netflix and Chill”

  Chicago Residents Pay ‘Amusement’ Tax  A generation ago, “serious” filmmakers flocking to Hollywood set their sights on movies, not television. Visionary directors like Martin Scorsese and Francis Ford Coppola redefined their craft with a new generation of challenging, personal films. By contrast, television was a vast wasteland dominated by lightweight comedies like Happy Days and sappy, feel-good dramas like The Waltons. In 1999, HBO’s The Sopranos started luring wannabe auteurs to TV. Today, movie theaters are dominated by CGI-generated superheros and endless sequels, while cable networks and streaming video services churn out too many quality programs for anyone but
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Don’t Drink the Kool-Aid

Tech CEO Creates New Religion Cryptocurrencies like Bitcoin, Bitcash, and Ethereum rest on a foundation of “blockchain”: a continuously growing public transaction ledger consisting of records called “blocks” that are linked together and secured using cryptography. Blockchain bulls see the new technology revolutionizing all sorts of transactions, like real estate sales and medical records. Skeptics dismiss the whole effort as fool’s gold, suitable for speculation but nothing more. (Hedge fund tycoon T. Boone Pickens recently tweeted that, “at [age] 89, anything with the word ‘crypt’ in it is a real turnoff for me.”) Now, former tech CEO Matt Liston has
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More Important Than Taxes?!?

Chipotle Moving HQ – Big Tax Implications! Last month, we wrote that New York money manager AllianceBernstein is moving its headquarters and 1,100 employees from a slick black Manhattan skyscraper to the steaming concrete jungles of Nashville, TN. It’s going to be culture shock for the firm’s employees, who have to trade their harsh winters and corned beef sandwiches for milder weather and hot fried chicken. But AllianceBernstein promises employees they’ll love the financial climate most of all: lower housing costs and no personal income tax. Of course taxes played a big part in that move! But is that always
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Manly Men Doing Manly Things in a Manly Way

Back in the early 80s, a group of Democratic legislators decided to room together to cut the cost of staying in Washington for the three nights or so per week that Congress is in session. The motley crew included Representative George Miller of California (owner of the blue-gray house in Southeast DC), Senators Dick Durbin and Chuck Schumer, future Defense Secretary and CIA chief Leon Panetta, and others. We can only imagine whose phone numbers they posted on the refrigerator in a house like that. Pizza delivery? Of course! Liquor guy? Oh yeah. Exterminator? Maybe not a bad idea .
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IRS Scuttles Tax Breaks for Pirate Victims

Do Pirates Still Exist? It’s 1715 in the Caribbean and the Golden Age of Piracy is at its peak. The War of Spanish Succession is over, and thousands of privateers are left without gainful employment. From bases hidden away in the Bahamas, buccaneers like “Calico” Jack Rackham, “Black Sam” Bellamy, and “Black Bart” Roberts gather those sailors under new commands to terrorize the seas. (Edward Teach, better known as Blackbeard, ties burning fuses into his hair to look more fearsome.) While there are never more than a few thousand pirates active at any given time, their legend will live on
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Guaranteed Winners

Vegas Not The Only State Where Bettors Could Gamble On Sports  On May 14, the Supreme Court struck down the Professional and Amateur Sports Betting Act that had made Las Vegas the only state where bettors could gamble on college and professional sports. (Sorry, wrestling fans, no betting for you. Spoiler alert — the matches are fixed.) Imagine how much louder your neighborhood sports pub will get when the obnoxious drunk at the end of the bar who won’t stop jabbering about his fantasy team is actually putting his money where his mouth is! Dozens of states are expected to
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She Did It!

Early on Saturday morning, 29 million Americans woke up to take a break from school shootings, Russian collusion, and partisan gridlock to watch a California woman achieve a rare fantasy. The woman in question watched the sun rise as plain old Meghan Markle. But by the time it had set, she had become Her Royal Highness Meghan, Duchess of Sussex. (When she’s in Scotland, she’s the Countess of Dumbarton. In Ireland, she’s the first Baroness of Kilkeel. What did your grandmother-in-law give you on your wedding day?)   Lots of Americans grow up wanting to become a princess. Some of
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Have You Taxed a Ford Lately?

Losing Production Time Impacts Company Profits But Also Millions In Tax On May 2, fire broke out at the Meridian Magnesium Products of America plant in Eaton Rapids, Michigan. The factory supplies components to Audi, BMW, Daimler, Fiat, GM, Tesla, Jaguar and Mercedes. But their most important product may be the die-cut radiator “front bolster” supports in Ford’s F-150 pickup. Workers pressure-feed molten magnesium into a mold, then rapidly cool it like Jell-O. And Meridian is the only factory that does it. No bolster, no truck. The fire has forced Ford to shut down production of the truck completely while
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