Skip to main content

tv   CNN Newsroom  CNN  September 28, 2020 11:00am-12:01pm PDT

11:00 am
keilar, and a day ahead of the first presidential debate between president trump and former vice president biden, president trump is lashing out at "the new york times" over an extensive new report on the president's finances. and the report is not pretty. the big take away here is that the president has been dodging the irs for years. tax records obtained by the times show that between 2000 and 2015, trump paid no federal taxes whatsoever for ten of those 15 years. he did pay federal income taxes in 2016 and 2017 but it was only
11:01 am
to the tune of $750 each year. on top of this he received a $73 million tax refund, at the center of an irs audit. there's the mountain of losses, 350 million at his golf clubs alone, and trump has made modest gains since moving into the white house on his resorts and projects in foreign countries. we see that as well. the trump organization has written off millions in business expenses, including $70,000 plus in trump's hair styling. and millions on consulting fees over the last decade. the "times" finding that ivanka trump is the recipient of some of those payments, which would raise flags because she was also an employee of the trump organization. now looking ahead, the paper's analysis shows that the president faces significant financial pressure. he is personally responsible for some $421 million in loans with many of those bills coming due here within the next four years. i want to look closer at the numbers now, and what they tell
11:02 am
us. dan alexander is with us to do just that. he is the senior editor at forbes, the author of white house inc., how trump turned the presidency into a business. dan, your big take aways, other than the fact that this bomb shell report completely validates the title of your book. >> i think the obvious first thing was just the $750 payments. for a guy who actually is rich, and you know, i think a lot of people were looking at these numbers saying, oh, he's not that rich. that's not the take away. he is rich. the take away is that he has been very very crafty with hiding the money that's coming into his businesses and coming up with ways to make sure he doesn't have to pay tax on that. now you have a situation where the guy is leading the federal bureaucracy, leading the federal government has put less money into it in the last few years than, you know, many people who are making 9 to 5s and making
11:03 am
30, 40 grand a year. >> explain that to us, on paper, on a tax return, the money you're paying taxes on. how much can trump, how can he be so much in debt with more than $420 million in loans coming due here in the next few years, and yet he is still so rich. he does have these assets and he is able to pay no taxes? >> yeah, well, his total amount of debt is actually much higher than that. if you include the companies in which he holds a major stake, which are his -- he owns 30% stakes in two buildings that are his two most valuable properties, and sometimes people forget about them because he only owns 30%, but if they're his most valuable things you can't forget about them. if you add up the debt and the other properties, it's a billion dollars that donald trump owns. if you owe the lot of money, you can own a lot of things, and you
11:04 am
can sleep at night. we have his total assets at 3.7 billion. it's a ton of debt, and you're right that a lot of that is coming due. he does have big properties throwing off large amounts of money, even if his accountants are creative enough to make it look like they're not. >> is this above board? >> well, there's certainly a lot of questions, and i think that, you know, investigators are going to have a field day here. there's a lot of things for them to look at. you know, you can look at the payments to ivanka, for starters. you know, you can look at some of the aggressive moves. >> i want to be clear on that. she was paid, it appears, consultant fees while also being an employee of the trump organization which is something specifically that is not supposed to be done because it's kind of a way of distributing profits and then using that to reduce his tax liability. that's not okay. you're saying that would be of question. >> yeah, that's certainly
11:05 am
something investigators will look at. they'll look at whether he is, you know, saying that a proper number of costs were actually business expenses or whether he was just throwing everything into business expenses. you know, if you look at the ivanka thing, there's a lot of echoes of sort of how trump and frankly his father have always acted. you know, when donald trump was in ivanka trump's place as sort of the heir apparent to the family throne. you know, he was working in companies that were in turn paying him. there was one company where he was leasing, i think it was air conditioners to his father at exorbitant rate. there were a lot of things he was doing that were intrafamily self-dealing as creative way to move muoneys from one generatio to the other. and we saw that might actually be going on now with the third generation. >> dan, thank you so much for taking us through this.
11:06 am
we appreciate it. >> thanks very having me. >> my next guest says the next step for donald trump is crystal clear, his former white house communications director, anthony scaramucci tweeting this. release your full financial records, donald trump, so you can clear your name. and anthony scaramucci is joining us now. i mean, do you really think that he will release all of his records? >> well, there was a little bit of biting sarcasm there because obviously he's not going to release his records, and he can't call it fake news. the only fakeness is coming out of his mouth directly. he's dead to rights here on this. if he was, in fact, on the right side of this, of course he would release all of his information. so he's not going to do that. and what this does is it calcifies the negativity around him. it's like pushing through an open door where you're looking there at this garishness of his taxes combined with what he said about the nation's military, and
11:07 am
it's siding with the vice president, obviously, so he can't win back those people with this type of behavior. that's where i think we are right now. >> you know, you have, you worked for him, you have some familiarity with him in new york for years. are you really surprised by this? didn't you kind of know that he rolled like this? >> well, i mean, i said earlier that i wasn't surprised. i am surprised by the magnitude of it, yes. i have to confess that, i think that we're always surprised by the magnitude. just when we think it can't get any worse, he moves the goal post again, and he makes it way worse. i'm not surprised that he maneuvered with the taxes, secretary clinton went after him four years ago, he called himself smart for doing it. now i think it's something totally different. i think he's basically saying if you're doing things for other people and not yourself, you're
11:08 am
a loser and a sucker. if you're serving the american military, you're a loser and a sucker. if you're paying taxes into the american system, you're a loser and a sucker, so i think that was a bridge too far. i didn't think he was there, but he's there now, and without releasing his taxes, he's going to stay there for the next five weeks. >> do you think that the people around him or his supporters care? >> no, i don't think his supporters care, but if you look at the national polling, you look at the swing state polling, it is now starting to calcify. we're only five or six weeks out from the election, so he would have to go into that mid-space, if you will, those independents, and some of those undecided voters and bring them on to his side if he's going to win. when you have information like this out there about this sort of nefarious, unethical behavior,eni behavior, i think it's going to be very hard to do that. as far as his supporters are concerned, whether that's a hard base of 35 to call it 40%, no,
11:09 am
he can do anything for those people. it's not going to really matter. that's part of the personality that he has been able to attach to himself. >> what did you think writing off $70,000 in hair style fees, what did you think? >> i think it's funny because we all know, anybody close to him knows he does the hair himself. he basically looks like darth vader after the helmet comes off if thoohe's not doing the hair. he's got a come over and hits with the hair spray and doing it himself. those pictures out there related to him. i guess he paid himself $70,000. it would be interesting to see who the hair style was he gave that quote unquote money to. >> you have never known of an actual hair stystylist. >> he does his hair himself, you can ask anybody. he more or less does had himself because of the nervousness about the whole comb over thing going
11:10 am
on. >> look, you know about the ivanka piece of this. there are questionable consulting fees that match the payments that ivanka trump has reported herself, so you have, for instance, the president at the time deducting a certain amount as a consultant fee on something even though ivanka trump was employed, as, you know, with the trump organization which raises red flags. why is she receiving consultant fees for something she's already employed on. however are the tentacles here, do you think, when it comes to family involvement and this really being kind of a family web? >> well, listen, unfortunately for ivanka, this is the family. you know, the family business was reality television. they transported that reality television show into the white house and so, you know, it's his leadership and his guidance to his family that has led to this predicament, and it's sort of a
11:11 am
sad tale. if you think about the people that decided to stay close to the president or family members, they have been tarnished by it. that's the big issue for the voters. he country care about those voters. olivia troy will tell you he called the voters disgusting people, he doesn't want to shake their hands. this has always been about mr. trump. if the collateral damage are other family members, it's not that big of a deal to him. remember, when he's doing a news search, he's searching trump, he's not searching usa and he's not searching you. trust me, he's never searching you, and i think all of this information is filtering out into the system, and yes, that 38% of the people will stay with him, but the rest of the people have had enough, and they want to return to something more normal in american politics. >> you know, he's having a coronavirus event announcement here coming in the next hour. but we've heard of his reaction, which must be just knowing him, i think, as we all understand
11:12 am
his reaction to any report, and this one is quite a doozy, he has called it fake news. he has said that the times illegally obtained information, they make it clear they did not. how they would illegally obtain something that is fake, he's sort of throwing multiple things against the wall here. what do you expect the fallout of this is going to be when it comes to the president's behavior? >> he's going to triple down on the big lie. that's what he's done. demagogues are often amazed at how much they can get away by the perpetuation of lie, and what you discover is it's the inaction of good people that allows for that runway for demagogues and so i think the good news now, there's a lot of people that he's ailualienated the force of good, and the vice president and the preservation of the institution of our democracy. they'll likely lose the election. he will double and triple down
11:13 am
on this lie, he'll perpetuate as long as he can. which is why i believe the journalists another "the new york times" said by the way, there's more stories coming. they'll continue to say the lie and it's up to good men and women around the world and in the united states to explain that he's the one that's lying, he's the one that's representing fake news. it's not the journalists at "the new york times," who you and i know are meticulous. >> anthony scaramucci, thank you so much. >> good to be here, thank you for having me. we're going to have much more on the president's taxes ahead, including whether he could face prosecution. plus, the white house is responding after the cdc director was reportedly overheard disparaging the doctor who has become the president's new mouthpiece on the covid task force. and a new study out today shows more than half of the clinical trials underway right now may be excludeing older adults. i have moderate to severe pnow, there's skyrizi. ♪ things are getting clearer, yeah i feel free ♪ ♪ to bare my skin ♪ yeah that's all me.
11:14 am
♪ nothing and me go hand in hand ♪ ♪ nothing on my skin ♪ that's my new plan. ♪ nothing is everything. keep your skin clearer with skyrizi. 3 out of 4 people achieved 90% clearer skin at 4 months. of those, nearly 9 out of 10 sustained it through 1 year. and skyrizi is 4 doses a year, after 2 starter doses. ♪ i see nothing in a different way ♪ ♪ and it's my moment so i just gotta say ♪ ♪ nothing is everything skyrizi may increase your risk of infections and lower your ability to fight them. before treatment your doctor should check you for infections and tuberculosis. tell your doctor if you have an infection or symptoms such as fevers, sweats, chills, muscle aches or coughs, or if you plan to or recently received a vaccine. ♪ nothing is everything ask your dermatologist about skyrizi. ♪
11:15 am
11:16 am
11:17 am
11:18 am
we're seeing coronavirus cases rising across the nation. 21 states right now are experiencing an increase in new cases compared to last week. and a national study that examines the blood of more than 28,000 people undergoing dialysis found that just 9%, roughly, antibodies for the virus. dr. anthony fauci who had expressed hope that the u.s. could get its new daily case numbers down to 10,000 a day is acknowledging reality, that we are reporting four times that number with no signs of it slowing down ahead of the flu season. >> we're not in a good place with regard to what i had said back then because as get into the fall and the winter, you really want the level of community spread to be as low as you possibly get it. and i hope not, but we very well might start seeing increases in
11:19 am
deaths. deaths really something i had discussed some time ago is something you don't want to be in a position like that as the weather starts getting cold, so we really need to intensify the public health measures that we talk about all the time. >> and at this critical time, a source is revealing the head of the cdc, dr. robert redfield has serious concerns about dr. scott atlas, a top adviser on the coronavirus task force. and nbc journalist reportedly overheard redfield say this about atlas quote, everything he says is false. the cdc did not deny the story, saying they have different positions on the value of wearing a mask, covid-19 infections and where we are currently with herd immunity. just to be clear, what the cdc is really spelling out here is the two doctors disagree on how the virus is spread, who it impacts and how we should respond to this virus as a nation. that's a lot of disagreement, and as we have learned over the
11:20 am
last seven months, older adults are the most vulnerable to the coronavirus but a new study shows clinical trials and treatments are likely excludeing older participants. for more i'm joined by cnn health reporter, jacqueline howard, and we know the vaccine trials have had an inadequate representation as well as minority candidates. now we're finding out that older adults, this is a key group, they're particularly vulnerable, and now we are learning they are likely being excluded from clinic clinical trials and treatments. when you have those folks missing, it makes you wonder how that's possible considering they're so essential to getting past this. i think we're having a technical problem there with jacqueline howard, so we're going to try to reestablish her and get her back up. i'm going talk with a health
11:21 am
director, dr. verset, i wonder, let's talk about kids under 12 because we are learning that they are contracting the virus at a lower rate than older children. this is essential to talk about as we're seeing schools reopen. what do you think about this? >> well, i think we have known for a while now that children have been catching covid-19 at a lower rate than adults but what we have to think about is aside from children getting sick themselves, the risk of them transmitting the virus to those that are vulnerable is what we have to be considerate of and where the danger lies. the child may give covid to their parent, who may have an immune compromising condition. although children may be contracting the virus at a lower
11:22 am
rate, we have to consider those implications for other adults. >> let's talk about another important age group, and that is seniors. we were just discussing how it appears they have been left out of a lot of studies, which is curious when you think about how they're this vulnerable group, and they account for so many of the deaths. what do you think about the significance of them being left out of vaccine trials? >> i think curious is one way to describe it. alarming would be another way. what the purpose of phase 3 trials is to give this test vaccine to patients who are deemed the most vulnerable, to patients who the disease affects the most. how can we leave out the age group that this pandemic was targeting, it seems like, at the beginning of the start of everything. we initially thought that covid-19 was a pandemic that would only affect older adults and, now we're developing a vaccine that isn't being tested on older adults. it doesn'tnse toe at all. >> let's turn to this report, a
11:23 am
reporter overhearing the cdc chief saying that everything white house adviser scott atlas says is quote false, i should mention, we have fact checked a lot of what dr. scott atlas says. a lot of it is not based in science. but he's a favored person on this task force of the president, so it's very important to at least hear what he's saying and discern the truth from fiction. how concerned are you about this schizophren ? >> i'm very concerned, and i agree with dr. redfield 100%. there are things dr. atlas has said to the public and media that aren't true. you can fact check and delve into the science, and some of the things he's saying are questionable. dr. atlas said everything he says is rooted in data and science, and i would love to see that data so i can examine it for myself. there have been so many things
11:24 am
that he has said that actually have been alarming to the point where 78 of his former colleagues actually penned an open letter and called him out saying that the things he was saying was a misinterpretation of the science and falsehoods. if his own former colleagues are distancing themselves from the statements that he's making and refuse to support him, then why should we. that's a huge red flag. >>, doctor, thank you so much. it's great to see you. >> thank you for having me. >> and next hour, president trump is set to speak at the white house on coronavirus testing. as questions swirl about "the new york times" reporting that he avoiding paying a cent in federal income tax for years. we're going to discuss whether he broke any laws in the process. you can take a personal assessment
11:25 am
and get matched with a customized plan. the assessment takes things into account that matter to you the most. on my plan, whole wheat pasta and potatoes are zero points. on the app, we love the personalized recipes. we found so many new favorites! with 24/7 live coaching, you get connected to an amazing coach, who can answer any question you might have. i lost 91 pounds. it's the best thing i could've ever done! join for free and get three months free! plus you could be one of thousands to win an all-new amazon halo band! plus you could be one of thousands to win how abowhat a shame.wilson? so soon after retiring. i hear his wife needed help with the funeral expenses. that's ridiculous! -he had social security. -when my brother died, his wife received a check from social security, all right-- for $255!
11:26 am
the funeral costs were well over $8,000. how on earth did she pay for it? fortunately, my brother bought additional life insurance -before he retired. -whew! i bet that cost a pretty penny, huh? not with colonial penn. coverage options start at just $9.95 a month. less than 35 cents a day. i have it myself. -we both do. -both of you? neither of us had to answer any health questions or take a physical exam. in fact, no one our age can be turned down. for any health reason. your rates go up every year, right? no, not at all. friends keep telling friends about guaranteed acceptance whole life insurance from colonial penn life insurance company. with this coverage, your premium never increases for any reason, and your benefit won't decrease simply because you grow older. options start at just $9.95 a month. to find out more, call now. (male announcer) call now and you'll also get this free beneficiary planner and this free prescription savings card.
11:27 am
neutrogena® rapid wrinkle repair®. we've got the retinol that gives you results in one week. not just any retinol. accelerated retinol sa. one week is all it takes. neutrogena®.
11:28 am
11:29 am
tomorrow night, president trump and former vice president joe biden will square off in their first presidential debate of 2020. the stakes are high as the pandemic, the supreme court, and now the president's taxes are sure to be hot topics. cnn's arlette saenz is at the debate site in cleveland. what do we know about how these two men are prepping for this show down? >> reporter: joe biden and president trump have been sparring from afar for about a year and a half now. but tomorrow they will be here in cleveland face to face for their first presidential debate, and each of the candidates has been preparing for this debate
11:30 am
in their own way. biden started out in his early preparations by reading through briefing books and he really dove into more intense debate prep sessions his advisories over the past few days. one of the advisers helping run the debate prep is ron clain, who ran hillary clinton's debate prep against president trump in 2016, so he has some understanding of how these debates against president trump have played out. we have also learned that bog bauer, a former white house council in the obama administration has played president trump in at least one of those debate sessions that they've had with the former vice president. biden has said he expects the president to be personal in his attacks and what they are hoping that the former vice president can keep a lot of the focus hammering away on the same things he talks about on the campaign trail, related to the economy and the coronavirus pandemic. for president trump's part he has also been preparing. we have a few details about
11:31 am
that. he has been reviewing note cards that display possible lines of attack from joe biden. he also said yesterday that rudy giuliani and chris christie have played biden at times as he's prepared for this debate. one question is how is this story of the president's tax returns going to play into tomorrow night. we have heard messaging from the biden campaign that they believe this feeds into their argument that this is a campaign between scranton, pennsylvania, working class roots and park avenue, suggesting that the president is only interested in working in his own interests and not in the interests of every day americans. now, this debate is going to look a lot different from past debates due to the coronavirus pandemic. bide sk biden and trump will not be shaking hands. everyone attending will be tested for coronavirus. it will be a smaller audience as the two candidates face off in person tomorrow night. >> arlette saenz in cleveland, thank you. and here to talk more about tomorrow's debate is cnn political analyst john avlon.
11:32 am
this huge story today about the president's taxes will no doubt be featured in this debate. now that we have sufficiech an explosive report, how do you think this will play out? >> the biden team is going to prosecute the issue of fundamental fairness. donald trump, a self-styled billionaire paid less in real dollars in taxes, $750 a year than average working folks, nurses, doctors, farmers, cops, firefighters, teachers, and that's just a reality, and i think it will speak to the real rigged system that we're dealing with, which benefits the super rich that can lose millions of dollars a year, and never pay a real penalty versus folks who get squeezed by the system every day. they'll hit the fundamental fairness of it, but a lot of donald trump supporters will simply do what they do and say it doesn't matter. it shows that he manipulated the system well. but that's a kind of denial because i think when the rubber meets the road, there's a lot of
11:33 am
folks who are working class and middle class in this country are going to say, this is fundamentally unfair and wreaks of fraud. >> some will, but some won't. like you said, he did what was smart. so does it come down to biden having to effectively make a case that this isn't about manipulating the system in a legal way, it goes beyond that, and where is the line for him doing that? >> well, i think "the new york times" article lays out a very clear case that the president committed tax fraud. that's not legal. it's not simply a matter of creative tax avoidance using armies of accountants and lawyers. there seems to be evidence of bad faith, but there's all things that may be litigated after the election. what donald trump is going to do, a core part of donald trump supporters, he could shoot someone on 5th avenue. supporting donald trump has become part of their itdentity and part of a belief system
11:34 am
that's impervious to fact. what biden is going to do, those of you folks who are working class and middle class in the key swing states and counties, who voted for biden and trump, this guy sold you a bill of goods that's wrong, and he doesn't represent your interests, there's a fundamental unfairness and he'll hammer home on that. that's a basic american concept. >> especially when it comes to taxes which no one likes paying but they pay them. so what are you looking for from both sides? >> look, i think, you know, trump walks into this at a disadvantage on two fronts. one, his team has lowered expectations for biden throughout the course of this campaign. a key part of their messaging on social media, which just happens to echo russian disinformation efforts is that biden is somehow slipping, that he's not up to the job. and incumbent presidents have an additional burden, which trump
11:35 am
seems to have played into in recent days. they think they're on top of their game, they don't have time for the debate prep, you saw president obama in his first debate against mitt romney got housed. romney was focused, obama was taken, and that disadvantages an incumbent president in the first debate particularly. >> i remember that debate. it does seem to be a phenomenon that can repeat itself. we'll see if that happens here. john avlon, good to see you. a man is sentenced to a year behind bars for hosting partied by the coronavirus. a wedding in new york shut down after dozens of people were sneaking into the venue. do the revelations about the president's taxes show that laws were broken. we're g to digoing to dive into legal impact here.
11:36 am
tonight, i'll be eating a veggie cheeseburger on ciabatta, no tomatoes.. [hard a] tonight... i'll be eating four cheese tortellini with extra tomatoes. [full emphasis on the soft a] so its come to this? [doorbell chimes] thank you. [doorbell chimes] bravo. careful, hamill. daddy's not here to save you. oh i am my daddy. wait, what? what are you talking about? vicks vapopatch. easy to wear with soothing vicks vapors for her, for you, for the whole family. trusted soothing vapors, from vicks
11:37 am
wean air force veteran made of doing what's right,. not what's easy. so when a hailstorm hit, usaa reached out before he could even inspect the damage. that's how you do it right. usaa insurance is made just the way martin's family needs it - with hassle-free claims, he got paid before his neighbor even got started. because doing right by our members, that's what's right. usaa. what you're made of, we're made for. usaa keeping your oysters growing while keeping your business growing has you swamped. (♪ ) you need to hire i need indeed
11:38 am
indeed you do. the moment you sponsor a job on indeed you get a shortlist of quality candidates from a resume data base so you can start hiring right away. claim your seventy-five-dollar credit when you post your first job at indeed.com/promo
11:39 am
that selling carsarvana, 100% online wouldn't work. but we went to work. building an experience that lets you shop over 17,000 cars from home. creating a coast to coast network to deliver your car as soon as tomorrow. recruiting an army of customer advocates to make your experience incredible. and putting you in control of the whole thing with powerful technology. that's why we've become the nation's fastest growing retailer. because our customers love it. see for yourself, at carvana.com. president donald trump's branding as a brilliant business mogul is officially shattered after "the new york times" revealed details from tax records spanning decades.
11:40 am
the president paid just $750 in federal income taxes in 2016 and in 2017. and trump paid no income tax whatsoever for ten of the fifteen years prior to that. he also got a $73 million tax refund that is currently being investigated by the irs. it's possible he will have to repay that. if you're looking at your own paycheck, and wondering how he's paying so little, trump's businesses are bleeding money, and he's offsetting those losses. he appears to be paying consulting fees to his own daughter who is already on payroll. he also had some interesting deductions. all of that said, there's a big difference between tax avoidance and tax evasion and whether this is illegal or not. the president says the report is fake news and says it was illegally obtained information which it was not. i want to bring in cnn legal analyst jennifer rogers, a former federal prosecutor and lecturer at columbia university law school.
11:41 am
the median income is $67,000 a year, and the household is paying 22% in federal income taxes, the president paying only $750 may feel like an quite an affront to them as they wonder why he isn't paying. is it an affront? did he break any laws? >> well, it certainly is an affront in the sense that the tax code massively benefits the wealthy in this country, which is something congress should dig into, but he also likely broke some laws here, and there are a bunch of things that jump out at me. first of all, as you mentioned, some of these deductions seem to be ridiculously inflated, the consulting fee arrangements that the times pointed out particularly to ivanka, are likely an illegal attempt to evade those taxes, and then there are two other areas where we definitely would need more information, but i would want to keep an eye on if i was someone looking to make a criminal case here. discrepancy between the information in these tax returns and the financial disclosure forms the president is required
11:42 am
every year to file as a member of the executive branch, and then discrepancy between the information in the tax returns and information given to banks and other possible lenders where michael cohen told us in his sworn testimony the president actually inflated the value of his assets, so those are areas i would look at in a criminal case. >> and then according to "the new york times," his deductions included $70,000 in hair styling, $95,000 that went, written off by nine trump entities that would have gone to a hair and makeup artist who was known to be ivanka trump's favorite. can you write those things off? >> no, it turns out that you can not. i'm sure you're not surprised to hear that, nor was i. you cannot write those things off, things like deductions that are put in that aren't really deductions don't typically end up in criminal court with an indictment, those are often civil matters, you have to pay that money back but it doesn't
11:43 am
result in actual criminal case, so you know, i wouldn't expect those necessarily to go in that direction. but they are not proper. they should be -- he should be required to pay that money back, and some of the other areas that i mentioned in terms of different statements of assets to different entities are more serious and could actually lead to a criminal case if there is an investigator who's willing to do it. trump's irs, trump's doj are not those investigators. >> so eric trump in the meantime is about to sit down with new york prosecutors as part of an investigation into whether the trump organization has inflated its assets to get loans. what does that mean considering this point in time as we have this information? >> well, i mean, the timing couldn't be more ideal for the new york attorney's office who's spearheading this investigation. listen, everyone's been trying to get ahold of the tax returns forever, and the ag's office
11:44 am
likely already has the new york tax returns, which probably contains much of the same information, so i don't think this is a big surprise to them, but at the same point, it likely gives them some more ammunition as they question him about the inflation of assets in the loan documents. you have in one hand the loan documents which are going to value the assets in a certain way, and then likely in the other hand you have tax returns or at least you have the reporting on tax returns from the "new york times" which isn't good enough for evidence in court but can give you enough to ask questions of eric trump that says, wait, these numbers are different. how can you possibly explain this to us? >> will the president get in trouble for any of this. i mean, for instance, writing off one property in upstate new york as an investment property when you have on the record it is by the trump web site said to be a family retreat. you have eric trump saying that this was a home base for him and his brother at one point. it appears more to be something for the family than an investment property, and maybe an investment property but it
11:45 am
certainly appears to have yielded no income. i mean, is there any price to pay for this? >> in theory, there is. and i do think that there is an appetite to hold them responsible for this conduct, especially in new york state, but i think what's the most frustrating thing is, you know, this was going on for years and years before trump became the president, and had all of a sudden, all of these defenses and the inability to be charged and things, that didn't apply for 2016, and yet this has been going on for years with no, you know, no repercussions, so i think it's frus trtrating but i think and hope investigators are look at and something will gk become of it. >> jennifer rogers, thank you so much. a maryland man just got a year in jail for holding parties that i voo violated the state's coronavirus. and not stopping thousands of people from descending on myrtle beach for the annual biker rally.
11:46 am
so soon after retiring. i hear his wife needed help with the funeral expenses. that's ridiculous! -he had social security. -when my brother died, his wife received a check from social security, all right-- for $255! the funeral costs were well over $8,000. how on earth did she pay for it? fortunately, my brother bought additional life insurance -before he retired. -whew! i bet that cost a pretty penny, huh? not with colonial penn. coverage options start at just $9.95 a month. less than 35 cents a day. i have it myself. -we both do. -both of you? neither of us had to answer any health questions or take a physical exam. in fact, no one our age can be turned down. for any health reason. your rates go up every year, right? no, not at all. friends keep telling friends about guaranteed acceptance whole life insurance from colonial penn life insurance company. with this coverage, your premium never increases
11:47 am
for any reason, and your benefit won't decrease simply because you grow older. options start at just $9.95 a month. to find out more, call now. (male announcer) call now and you'll also get this free beneficiary planner and this free prescription savings card.
11:48 am
apps except work.rywhere... why is that? is it because people love filling out forms? maybe they like checking with their supervisor to see how much vacation time they have. or sending corporate their expense reports. i'll let you in on a little secret. they don't. by empowering employees to manage their own tasks, paycom frees you to focus on the business of business. to learn more, visit paycom.com
11:49 am
and raise property taxes w$11 billion a year? small businesses get saddled with big tax bills they can't pay. they're forced to cut jobs. or, pass on higher costs to consumers. that means we pay more for everything like gas, food, utilities and health care.
11:50 am
and the cost of living in california gets even more expensive. now is the wrong time to raise taxes on californians. vote no on prop. 15. new york city public cools will reopen in person tomorrow for dmids k through 5 in the is a decision that's coming after a lot of back and forth, including just yesterday when a prominent union representing school principals in the city gave the mayor a vote of no confidence over school reopening measures. we are following this story here. laura, kids head back to school tomorrow. tell us about the safety precautions that are being taken. >> that's right. all eyes are on new york as the kids head back to school this week. there's also been in dustup, as
11:51 am
you mentioned, between the principal's union and mayor bill de blasio. the union unanimously voting to have a vote of no confidence in the mayor. he's faced a lot of criticism as he's pushed back the start date for in-person learning twice. there's also been criticism about staff, shortages of teachers. but even as kids go back to school this week, there's questions of how long it it will actually last as about half of kids have been doing remote learning already. about a half of the 1.1 million students, and there's also questions because there have been these covid clusters cropping up across the city, namely in brooklyn and queens. as a part of that new york governor andrew cuomo announced that schools will be tested daily to keep track of the outbreaks. and they're sending 200 rapid tests across the city, particularly to the high areas where we see the cases cropping
11:52 am
up. >> thank you for that update. for more numbers on coronavirus around the country, let's check in with our cnn correspondents. >> a maryland man has been sentenced to one year in jail for violating the state order of not having gatherings more than ten people. he was convicted on friday two of counts of failing to comply with that emergency order. on march 22nd he had a gather of about 50 people. the police arrived, told him to disband it and he said he would. friday, he held another party and when police arrived he said he will not tell them to life. cnn has reached out to his attorney for comment, he was not respond to our calls. >> i'm natasha chen covering bike week in the myrtle beach area. the annual fall motorcycle rally in south carolina is under way going through october 4th. this year, the event required a
11:53 am
special waiver from the state to have a large gathering. they required social distancing and face masks, but the week long event stretches across 70 miles according to one of the event organizers in north carolina right across the border. he said his message to attendees is just to use common sense and that wearing a mask is up to the individual. he also said there could be up to 20,000 people in total across the whole week, even though south carolina's waiver lists the event as having only 5,000 people. >> i'm britt general gra. authorities found 300 party guests inside a venue. this happened in queens and heavily goes against the covid-19 restrictions that in place in this city. authorities with the new york city's sheriff's office issued a ticket to bobbling tth the mana owner of the venue. both of them did not return cnn's calls for comment. this comes as the city saw a
11:54 am
thousand new coronavirus cases on friday, the most its seen since june. >> back to our top story, the stunning "new york times" report that lays out how the president managed to avoid paying federal taxes for years and the mount tacain of debt th he's piled up over the years. how that could possibly compromise national security. t the applied digital skills courses, i'm thinking i can become more marketable. you don't need to be a computer expert to be great at this. these are skills lots of people can learn. i feel hopeful about the future now. ♪ young woman: yeah, thanks mom mother: of course and thank you guys for these gorgeous flowers, so thoughtful. young woman whispering: hey, did you bring the... the condoms?
11:55 am
young man whispering: what's up? young woman whispering: condoms young man whispering: cond.. condor? young woman whispering: condor. why would i say condor? condoms! condoms. father: condoms charlie. she wants to know if you brought any condoms. young man: yeah i brought some. announcer: eargo, a virtually invisible hearing loss solution with high quality sound and lifetime support. we're here and ready to help you with your hearing loss, with free remote hearing checks and consultations by our licensed hearing professionals. all from the comfort of your home and if you're an active or retired federal employee you can now get eargo at no cost to you. call or go online today. brushing only reaches 25% of your mouth. listerine® cleans virtually 100%. helping to prevent gum disease and bad breath. never settle for 25%. always go for 100.
11:56 am
bring out the bold™ when it comes to the quality of our cars: the highest. it's why only 1 in 10 cars we look at qualify to sell on our site. if it's been in a reported accident, we won't sell it. and at our state-of-the-art facilities our ase certified mechanics roll up their sleeves and get to it. inspecting, dialing-in, and fine tuning every single car inside and out, bringing all of it up to our high standards. by the time we're done, our cars are beyond "certified." they're carvana certified. so whether you have it delivered or pick it up, we do it all so you can rest easy. vicks vapopatch. easy to wear with soothing vicks vapors for her, for you, for the whole family. trusted soothing vapors, from vicks
11:57 am
11:58 am
11:59 am
wildfires have ravaged towns across the west and the forecast show there is no relief in site as the region experiences record heat and no rain. cnn correspondent dan simon is in saint what lina, california, where thousands are evacuating. >> brianna, california's wine country is once again under siege. you can see all the smoke behind me and earlier you could see the flames darting into the air. the town of saint hake lina wrim, itwri where i am, it's taken on damage. one winery has been destroyed. this area is known for its wineries vand yards. you can see one of them behind me. this fire is being pushed by the wind and it's reached the nearby town of santa rosa which just a few years ago had unthinkable losses, thousands of homes destroyed. they're dealing with this once again. it appears people are heeding the evacuation orders. cars heading south. people headed towards safety, so that is good news that it looks
12:00 pm
like everyone is taking this seriously. but the bottom line is, this area remains under a red flag warning through tonight hopefully crews will begin to make some progress, but right now this fire is 0% contained. >> dan simon, thank you. and our special coverage continues now with pamela brown. >> announcer: this is cnn breaking news. and welcome to the lead, i'm pamela brown in today for jake tapper. and we begin with the bombshell investigation in our politics lead. "the new york times" revealing president trump paid zero federal income tax for 11 of the 18 years that the paper examined. now, the year he was elected and his first year in office, 2016 and 2017, he made just $750 each year. and the times also reports while president trump sold himself to the american public as a successful businessman, his companies have been bleeding money. cnn's kaitlan collins is in
12:01 pm
cleveland where the president