REPUBLICAN LIBERTY:

It is a reasonable question to ask, and Sen. Ron Wyden (D-OR) appears to have formally done so, with a reported due date of a response May 8. In lieu of gift taxes, did Crow expense the value of the trips and tuition provided the Thomases on either personal or business income tax returns? Wyden wants to know.

If Crow took business expense deductions for the above referenced "gifts," then he can't claim they were gifts. And if that's the case, he wouldn't have had to file gift tax returns which--given a potential tax rate of up to 40 percent--would represent a pretty price for the billionaire real estate magnate.

The criteria for what constitutes an untaxed gift that exceeds the limit to avoid paying tax vary by year. For example, the limit was $13,000 per recipient in 2013, but $17,000 in 2023. The Indonesian junket--valued at over $500,000 by ProPublica--would generate gift taxes of approximately $200,000 for Mr. Crow.

Now, if Crow did take business deductions for the value of the luxury vacations provided to the Thomases, he would have opened up another can of worms for himself tax-wise. That's because Crow has publicly stated he did not discuss any business before the court with Justice Thomas.

If that is true, then it is possible that Crow falsified his income tax returns by expensing the cost of the vacation provided the Thomases. It's also possible the vacations provided the Thomas family could be viewed as income to Thomas--since he would be viewed as providing value to Crow through business discussions. To be very clear, this is speculative and none of this is proven, but the possibility alone makes it worth investigating.

What seems much more clear-cut is that Justice Thomas doesn't seem to think he has to report gifts from wealthy businessmen, who also are generous corporate political donors, like Harlan Crow.

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