Trump Organization Accused of Panamanian Tax Evasion
President-elect Trump’s dispute with Panama involves both a threat to reclaim the Panama Canal due to high fees levied on American ships and an ongoing court case concerning unpaid taxes. A 2019 lawsuit alleges that Trump’s businesses failed to pay Panamanian taxes and misrepresented employee numbers to avoid social security contributions, forcing a third party to cover the resulting penalties. Trump’s threats have been met with defiance from Panama’s president, raising concerns of potential international conflict. The legality of Trump’s claim over the canal is questionable, given the 1979 treaty transferring control to Panama.
John Q. Hosedrinker