Bridge Capital LLC chief executive officer John K. Baldwin said yesterday that although the federal court ordered him to pay a $2.1 million tax and penalty capped at 15 percent, it is the Internal Revenue Service that owes him. <\/p>\n
Asked for comments about the federal court\u2019s order, Baldwin said this was a complicated tax case that people are confused about.<\/p>\n
Baldwin said the essence of this case is that the IRS has overcharged him on taxes, which he paid.<\/p>\n
He said IRS then agreed to refund him over $4 million that is overcharged, subject to an offset for taxes owed on another matter.<\/p>\n
\u201cIt is the IRS who now has to pay me. I don\u2019t have to pay them,\u201d Baldwin said.<\/p>\n
Last Thursday, U.S. District Court for the NMI designated Judge Frances Tydingco-Gatewood ordered Baldwin to pay $2,085,902 and a penalty arising from his investment in Claston, a limited liability company in Delaware.<\/p>\n
The federal tax dispute was settled in 2012 when the U.S. government agreed that a $4.1 million (plus interest) tax refund was due to Baldwin after the U.S. government wrongfully demanded approximately $5 million in taxes.<\/p>\n
Baldwin had paid the $5 million, but he and Claston LLC then filed two lawsuits against the U.S. government. The U.S. government eventually conceded that the $5 million were in large part not due. <\/p>\n
Baldwin then agreed that any amount due as a result of the resolution of the Claston case could be deducted from his refund.<\/p>\n
Tydingco-Gatewood\u2019s order last Thursday resolved the two remaining issues in the two lawsuits as it finally completed calculations about tax due and interest. <\/p>\n","protected":false},"excerpt":{"rendered":"
Bridge Capital LLC chief executive officer John K. Baldwin said yesterday that although the federal…<\/p>\n","protected":false},"author":23,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[4],"tags":[2952,2953,5883,257],"class_list":["post-261605","post","type-post","status-publish","format-standard","hentry","category-local-news","tag-internal-revenue-service","tag-irs","tag-last-thursday","tag-nmi"],"_links":{"self":[{"href":"https:\/\/www.saipantribune.com\/index.php\/wp-json\/wp\/v2\/posts\/261605","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.saipantribune.com\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.saipantribune.com\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.saipantribune.com\/index.php\/wp-json\/wp\/v2\/users\/23"}],"replies":[{"embeddable":true,"href":"https:\/\/www.saipantribune.com\/index.php\/wp-json\/wp\/v2\/comments?post=261605"}],"version-history":[{"count":0,"href":"https:\/\/www.saipantribune.com\/index.php\/wp-json\/wp\/v2\/posts\/261605\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.saipantribune.com\/index.php\/wp-json\/wp\/v2\/media?parent=261605"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.saipantribune.com\/index.php\/wp-json\/wp\/v2\/categories?post=261605"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.saipantribune.com\/index.php\/wp-json\/wp\/v2\/tags?post=261605"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}