Thread by @davidenrich

Exclusive: How @realDonaldTrump's signature initiative to help poor communities is fueling a once-in-a-generation bonanza for the wealthiest Americans — including Trump's family and advisers. by @JesseDrucker @EricLiptonNYT nytimes.com/2019/08/31/bus…

@realDonaldTrump @JesseDrucker @EricLiptonNYT The White House boasts that its “opportunity zone” tax break is creating new jobs and businesses in poor areas. Trump has touted it on the campaign trail.

We spent months studying this. So far, there is little evidence of this actually happening.

https://twitter.com/WhiteHouse/status/1114951726682005514

@realDonaldTrump @JesseDrucker @EricLiptonNYT The “opportunity zone” tax break — which allows people to delay/avoid capital gains taxes — is worth billions. We found that its likely beneficiaries include @ChrisChristie, @Scaramucci, Richard LeFrak and the Kushner family (including thru @CadreRE).

@realDonaldTrump @JesseDrucker @EricLiptonNYT @ChrisChristie @Scaramucci @CadreRE We found that the tax break is often subsidizing investments in high-end developments that were *already planned* in pricey neighborhoods.

For example, @Scaramucci's firm is financing a @virginhotels in New Orleans' very trendy Warehouse District.

@realDonaldTrump @JesseDrucker @EricLiptonNYT @ChrisChristie @Scaramucci @CadreRE @virginhotels This is a long story, but if you want the rundown on some of those linked to @realDonaldTrump who are poised to profit on opportunity zones, here you go: nytimes.com/2019/08/31/bus…

Stay tuned for more from @EricLiptonNYT and @JesseDrucker on how this tax windfall came to be.

The opportunity-zone initiative was well intentioned, but a gaping loophole was built in: Not all zones actually had to be poor.

The predictable outcome is that wealthy investors are winning huge tax breaks by financing luxury projects in affluent areas.