Posted on 02/23/2009 1:57:28 PM PST by Free ThinkerNY
For years, the press excoriated Nancy Reagan for borrowing clothes and jewelry from designers. Yet Michelle Obama has been doing the same thing — without any outcry from the media.
Accountants say that the first lady’s practice of borrowing both clothes and jewelry raises major tax and disclosure issues, not to mention ethical questions.
“The transactions are clearly taxable,” says Richard Rampell, a Palm Beach, Fla., accountant whose clients include several of the island’s billionaires. “The designers are indirectly paying Michelle Obama to go and display their wares. And they get a huge economic value for it, just as if they were paying a model to do this. If they are paying her in this indirect way by lending her their clothes, then she is actually performing a service for the designer, and she should have to recognize as income whatever the value is of the clothes that she got.”
Aside from the tax implications, Obama is obligated to report the value of the clothes she has received free of charge on government forms mandated by the Ethics in Government Act.
The items Obama has either borrowed or received free have included a $17,313 pair of Loree Rodkin diamond earrings and clothes and gowns worth $1,000 to $6,000. In some cases, Michelle Obama’s representatives have said she will donate the items to the Smithsonian.
That makes no difference, Rampell says.
“If somebody gives her a dress and it’s worth $6,000, and she’s not expected to return it, then she has $6,000 worth of income, or she’s received a $6,000 gift,” he says.
(Excerpt) Read more at newsmax.com ...
My word! That looks awful on her. Hasn’t she learned how to dress to flatter what figure she has?
yup sausage
yup sausage
I thought it was Mr. T from the A-team.
Well, there is that pesky little Larry Sinclair rumor.
Heh.
Thanks for the ping...
I resent Rush insulting sausage.
Face it, people as low class and low rent as the Obamas will take anything free. They are crooks and thugs.
Btw, the first lady is the worst dresser in the world. The stuff she picks for herself stinks on her; but then we already knew that.
What happened the J Crewe/Banana Republic “average woman-off the racks” fashion?!
“Oh dear Lord...she’s been dressing this badly for FREE?”
My thought exactly....I HOPE she’s not paying for the stuff she’s been wearing!
Creature From the Black Lagoon
Well I for one think she should accept them. Have you seen the crap she picks out for herself. I’m a jeans and t-shirt guy and even I think she looks like a train wreck.
Wrong again! She looks as bad as Beyonce did last night at the Oscars. Same sort of dress. Yuck.
It’s a nice dress, Michelle, but stand up straight, woman!
Dead right!
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