Monday, April 27, 2026

Maduro's oil

China was buying most of Venezuela’s oil at a $20 discount. Venezuela was producing 400,000 barrels per day and now that is up to 1.1 million barrels. When oil was $60 Venezuela was earning $16 million per day but today, they are earning $66 million dollars per day at $60 per barrel. This extra $50 million represents 15% of the countries GDP. The oil is now going to India rather than China. It is a familiar story. Nicolas Maduro's family, including his wife Cilia Flores and their relatives, are accused of amassing vast, unexplained wealth and luxury lifestyles while Venezuela faces severe economic hardship. Reports suggest they control properties worth millions, with luxury homes, and are involved in high-level corruption and money laundering.

No tax

The income gap keeps getting larger and has led to the cry that the rich aren’t paying their fair share. Does the country raise taxes or lower spending? On any government level be it federal, state, county or municipal there is no stomach for lower spending. Every year people want more government benefits not less. The number one reason why the rich keep getting richer is that they borrow instead of selling. Rich people live on their capital where the non-rich depend on wages. They use the concept of unrealized capital gains and a policy called “Buy, Borrow, Die”. A person buys a million-dollar asset, could be property or stock, and they keep it until they die. The property has grown to 2 million and upon their death it receives what is called a “step up in basis” meaning there is no tax on the one-million-dollar gain. The heirs inherit a two-million-dollar asset tax free. This is not only income tax free but is not included in estate taxes. Next the assets grow to 4 million and the same thing happens. Over the years the rich keep increasing their wealth without every paying any tax just by living on borrowed money instead of cashing the assets. Forcing people to sell appreciated capital assets—often proposed as a "mark-to-market" tax and would effectively eliminate the unrealized gain problem by converting "paper profits" into realized, taxable gains, thereby ensuring appreciation is taxed before death. Americans with more than $100 million in wealth are estimated to hold $8.5 trillion in unrealized capital gain. If you bought $1,000 of Amazon stock at the IPO value in 1997 it would be worth $2.7 million today. If you died and passed it on to your children, they would receive the full amount tax free. Anywhere along the way that you needed money you would put up stock as collateral and borrow against it and deduct the interest as business interest.

Sunday, April 26, 2026

Cash

Approximately $350 million cash was flown out of MN airport in 2025 after $343 million left the same way in 2024. This amount, which has tripled in recent years, averages nearly one million dollars per day, with funds often legally declared and transported by couriers to destinations like Somalia, raising federal fraud investigation concerns. The cash is often transported in suitcases and legally declared by Somali-American couriers, primarily heading to Dubai and Somalia. Bank Secrecy Act (31 U.S.C. § 5316), which allows the transportation of any amount of currency provided it is reported.

Fraudsters

One common refrain concerning taxes is, I don’t mind paying if the money is properly used. All too often examples of waste and fraud keep coming to the surface. Tax the rich and use that money to help those who are not rich. In practice, too many times much of the money is siphoned off by various agencies and sometimes criminals before it gets to it intended purpose. Here is one of many examples: A 2024 California state audit found that the state spent roughly $24 billion on homelessness programs over five years, yet failed to consistently track the effectiveness or outcomes of this spending. Despite this investment, the homeless population grew to over 181,000, with critics arguing the approach lacks accountability, transparency, and sufficient data to justify the high costs. The question of what happened to the money cannot be answered because the controls needed to follow the money were not properly installed. California is now proposing a tax on billionaires to fund healthcare and education expected to raise $100 billion dollars but will the money go where it is intended. Will this be another slush fund for unscrupulous fraudsters? MN was a little better. Money was stolen from government projects designed to help feed children, house poor families and treat autism and much of it was sent overseas and additional sums were used to purchase luxury items for the thieves.

Starbucks

What’s happening in Washington State. Shortly after her election in November 2025, Seattle Mayor-elect Katie Wilson joined a union protest and urged a public boycott of Starbucks to support striking baristas. Wilson, a pro-labor figure, declared, "I am not buying Starbucks and you should not either," citing unfair labor practices. The move highlighted tensions between Seattle city leadership and the coffee giant Less than two years later Starbucks is moving corporate headquarters to Nashville Starbucks is establishing a major new corporate hub in Nashville, Tennessee, investing millions to create a Southeast base that will house up to 2,000 employees within five years Next up the Governor. Signed into law in March 2026 by Governor Bob Ferguson, Washington's 9.9% "Millionaires' Tax" (Senate Bill 6346) imposes a tax on annual income over $1 million The money to be used for The revenue is aimed at funding K-12 school meals, lowering child care costs, and expanding the Working Families Tax Credit.

Friedman

Often times people will not reveal how they feel when their thoughts are not deemed acceptable but sometimes things come out showing the underlying truth and such is the case of columnist Thomas Friedman. New York Times columnist Thomas Friedman stated he is "torn" about the military defeat of the Iranian regime because he does not want President Trump or Israeli Prime Minister Netanyahu to gain political strength from it. While acknowledging the regime is "terrible" and its removal would benefit the region, he described both leaders as "awful human beings" and expressed reluctance at them getting credit for a victory.

Iranian women

For more than 47 years various forms of negotiation with Iran have been tried without success. Today military force is added to economic sanctions in an attempt to bring about change. The goal is freedom and full citizenship for the Iranian people especially for women. Here is what Google AI says about the situation in present day Iran. Women in Iran do not have equal rights to men and face systemic, legal discrimination in almost all aspects of life, including marriage, divorce, custody, inheritance, and personal freedom. Laws require women to have male guardian permission for travel, enforce strict dress codes, and prioritize patriarchal interpretations of law, treating women as second-class citizens. In 2017 450,000 women marched on Washington to protests Trumps derogatory remarks about women which included his now infamous statements in the Billy Bush tape, his calling women pigs and criticizing their appearance, and a threat to abortion rights. While these are worthwhile objections the mistreatment of women in Iran seems more severe. Will the American people be willing to put up with $4 gas to bring the women in Iran into the 21st century?