On the other hand, we've learned in New Orleans that it's best just to give the "Tourism Leader" what he wants. America is a destination country, after all. Hoteliers are "job creators."The plan that Dillon, a partner at Morgan, Lewis & Bockius, laid out falls far short of what multiple legal experts say is necessary to comply with the Constitution. Even if Trump doesn’t keep the profits from foreign governments booking rooms at his hotels, those hotels will keep the largest share of every dollar, ruble or yen paid to them, to cover costs, taxes, fees, catering and any other overhead they deem necessary. In 2013, the average profit margin of a luxury hotel was between 6 and 15 percent, according to industry analysts.
So under Trump’s plan, his hotels will hold onto more than 85 cents of every dollar they collect from foreign governments that book overnight stays, events and meetings at Trump hotels. Of the remaining percentage, whatever Trump donates to the U.S. Treasury will be a tax-deductible contribution, just one more benefit to Trump’s bottom line.
Over the longer term, as more foreign governments choose to patronize Trump’s hotels over others, his hotels become more profitable, and the value of his business increases — benefiting Trump and his family.
Wednesday, January 11, 2017
Hotelier In Chief
Here's Trump's plan to solve the "emoluments" problem. Unsurprisingly, there are issues.