Devon Archer, a close business associate of Hunter Biden, has shed light on the methods Hunter Biden allegedly used to avoid paying taxes on income from Burisma Holdings, partly confirming earlier testimony from an IRS whistleblower.
The whistleblower previously accused Hunter Biden of receiving money from Burisma through a Chinese company controlled by the Biden family business. As reported by Breitbart News, instead of declaring the money as income and paying taxes on it, the Chinese firm supposedly loaned the funds to Hunter Biden.
A summarized explanation of the scenario is as follows: Imagine an owner of a company receiving wages for a friend and then lending the money back to that friend. Hunter Biden allegedly did something similar by taking loans from a corporation (distributions), which he did not pay taxes on.
Hunter Biden failed to report earnings from Burisma for the year 2014. He reportedly set up an arrangement to earn money through his friend’s corporation, having half of it paid back as “loans” that were untaxed. The whistleblower noted that no legal action has been taken, and the statute has run out on the tax year 2014.
Archer confirmed that Hunter Biden’s board member earnings of $83,000 were diverted to a Chinese state-backed investment fund, Bohai Harvest (BHR).
Archer elucidated the intention behind BHR, stating it was designed to hold equity in a private equity fund involving Harvest (compared to China’s Fidelity) and Bohai Sea Industrial Fund, a government-owned private equity fund aiming to go private.
When asked by an investigator, Archer confirmed that the BHR account was also used to receive money from Burisma, acknowledging an $83,000 payment.
Gary Shapley, an IRS whistleblower, testified last month that Hunter Biden owed $125,000 in taxes on income from Burisma Holdings. Representative Michael Turner (R-OH) emphasized that Hunter Biden could voluntarily pay the amount today, a suggestion Shapley agreed with.
In a recent court appearance, Hunter Biden was ready to plead guilty to failing to pay taxes on income from Burisma. However, the plea deal was rescinded after the judge inquired if it encompassed potential future charges related to an ongoing investigation by the Department of Justice. The prosecution clarified that the agreement did not include any accusations of Foreign Agents Registration Act (FARA) violations.
