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Tax fraud at the IRS

The Internal Revenue Service makes clear that taxpayers who willfully conceal or alter tax documents risk severe penalties. But what happens when government auditors are caught manipulating documents and hiding those actions in court? The IRS last month agreed to settle and drop a penalty in Lakepoint Land II LLC v. Commissioner. A judge in U.S. Tax Court had sanctioned the IRS in the case, ripping the agency’s counsel for acting in “bad faith” and having “multiplied the proceedings in this case unreasonably and vexatiously” by failing to tell the court that documents it ...

Maui put to the test

Our multicultural community thrives on generosity, integrity, patience and respect. Sure, we have our differences of opinions, but Maui folks generally find a way to compromise or, at least, agree to disagree. As with any society, there are givers and takers. Luckily, our people have a long tradition of sharing. Most give far more than they take. This was certainly evident in the wake of the wildfires that decimated Lahaina and claimed 20 homes Upcountry. Maui residents rushed to help, to donate food and supplies, to deliver goods by boats and truck caravans, to help elders clear ...

Trump and the 14th Amendment

If a constitutional provision disqualifying Donald Trump from the presidency sounds too good to be true, that’s because it probably is. A forthcoming law review article by two prominent conservative academics has ignited interest in Section 3 of the 14th Amendment. The section, approved just after the Civil War, declares that no one who has “engaged in insurrection or rebellion” against or “given aid or comfort to the enemies” of the United States may hold a number of high federal offices. The scholars’ case for invoking Section 3 to keep Mr. Trump off the 2024 ballot is ...

New bill would burden railway

It pays to be wary of politicians rushing out legislation after an accident or disaster, and the Railway Safety Act is a classic of the genre. It uses February’s train derailment in East Palestine, Ohio, to enact a Big Labor priority. The bill is courtesy of Ohio’s Senate duo, Democrat Sherrod Brown and Republican J.D. Vance. Norfolk Southern railroad is covering the more than $800 million cost to clean up the hazardous chemicals, but the Senators say their bill is meant to head off future accidents. Yet the bill’s main provisions are irrelevant to the Ohio rail accident and ...

Lahaina’s story far from over

What makes the 20th anniversary of a tragedy more newsworthy than the 19th we cannot say, but there is no denying journalists have a penchant for round numbers. We go full bore covering the first anniversary and maybe the second, then the stories grow shorter and the headlines lower on the page. As the 10th approaches, an editor decides it is time to revisit the historic event. We interview eyewitnesses and explore what has transpired in the ensuing years. The topic is dissected and laid bare, then put on a shelf until the next round number year rolls through. That got us wondering ...

McCarthy vs. hard-line GOP

A shutdown of the federal government, even if only temporary, would needlessly disrupt the lives of public employees and citizens who depend on government services. But, despite a flurry of activity on Capitol Hill, such a calamity remains all too possible next month. The explanation is tiresomely familiar: the obstructionism of a small band of hard-line House Republicans. On Thursday these dissenters embarrassed Speaker Kevin McCarthy by blocking consideration of a Pentagon funding bill, the second such vote in a week. Opposition from extreme right-wing members is also complicating ...