The Dive With Jackson Hinkle Published originally on Rumble on December 15, 2022
You will not find this material in the corrupt national news
Ukraine HIT HARD, Bakhmut BATTLE Ensues
Tag Archives: Food Riots
January 1st, 2023 Tax on ETFs
Armstrong Economics Blog/The Hunt for Taxes Re-Posted Dec 16, 2022 by Martin Armstrong
QUESTION:
Hi Marty,
Please help as I invest in mostly ETFs from Australia.
I was getting USD exposure but now looks to be ending by Jan 1st, 2023.
I was Informed 2 days ago.
Could you do a post about this and any potential workarounds as I’d take a guess a lot of International clients would have a similar issue.
The US Internal Revenue Service (“IRS”) has issued a new provision under Section 1446(f) of the Internal Revenue Code (“IRC”) that primarily impacts non-US Persons who invest in US PTP Securities. With effect from 1 January 2023, non-US Persons will incur a 10% withholding tax on gross proceeds from sales or trading of US PTP Securities.
Regards Dean
ANSWER: This is once again the Biden Administration hunting every possible dime it can find while handing endless billion to Zelensky who may be on track to become the richest corrupt politician in the entire world. This is the notice going out to all foreigners investing in the once land of the free and home of the brave which has been downgraded to the land of the absolute fools without the hill. One bank has sent this to their clients trading in US ETFs.
Dear Customer,
Withholding Tax of 10% – Publicly Traded Partnership Interest (PTPs)
With effect from 1 January 2023, a 10% withholding will be imposed on sales and certain distributions associated with PTPs or exchange traded funds (ETFs).
PTPs trade like stocks on major U.S. and global exchanges and are often indistinguishable from equities, ETFs and other commonly traded instruments. It is critical that you understand these tax implications when you hold such PTPs and you should seek the appropriate professional advice if you are unsure of the contents of this email.
Background:
The Internal Revenue Code Section 1446(f) issued by the US Internal Revenue Service imposes rules relating to withholding of tax on transfers of Publicly Traded Partnership Interest (PTPs) and will take effect on 1 January 2023. The new rules consist of the following:
· All PTPs, including non-U.S. PTPs, are subject to the new requirements if they have gains that are effectively connected with a trade or business within the United States.
· 10% withholding will be applied to sales and certain distributions associated with PTPs. (Please note that where there is any existing withholding tax being applied today, for example to other distributions, those will continue to be applied with no change/ no reduction)
Please visit _____ official website > Notices for more details.
If you have any further questions, please email us or call our Customer Service line.
Section 1446 (see link) is part of a segment of the Code that governs withholding on nonresident aliens and foreign corporations.
Section 1446 itself deals with withholding on foreign partners who have income that is effectively connected with the US through a partnership. Section 1446(f) adds a withholding requirement that applies to the disposition of partnership interests, but it does not apply if the selling partner provides an appropriate affidavit:
“No person shall be required to deduct and withhold any amount under paragraph (1) with respect to any disposition if the transferor furnishes to the transferee an affidavit by the transferor stating, under penalty of perjury, the transferor’s United States taxpayer identification number and that the transferor is not a foreign person.”
I.R.C. § 1446(f)(2)(A).
I doubt that section 1446 applies here, as my understanding is that ETFs are taxed as registered investment companies, not as partnerships. But I am not an accountant or a tax lawyer. My reading on this text suggests that this turns on the definition of an ETF which is clearly not a partnership.
Those who are being harassed by various banks should contact their legal departments and demand their interpretation as to why suddenly an ETF is a partnership. I would love to see what explanation they have provided to apply this tax. If there is some other code they are overlapping or how they are coming up with this or are they acting out of sheer overcaution? If they will not provide an explanation, I suggest you close the account ASAP or wire out all funds until you find another firm.
Growing 30,000 Babies in a Artificial Womb
Armstrong Economics Blog/Technology Re-Posted Dec 16, 2022 by Martin ArmstrongSpread the love
Schwab’s Fream coming true – eliminating families and growing genetic clones just as in Star Wars – the Clone Wars. Just think of the possibilities. No families. Cloned to carry out orders. The perfect total control of society – a dream come true. This scientific advancement can change society, although perhaps not for the good. Now the world’s first ‘Artificial Womb Facility’ is claiming that it can grow 30,000 babies in a year in an artificial womb or a ‘growth pod’. Of course, this facility does not actually exist just yet. Gates and Schwab might still object because they exhale CO2. Perhaps EctoLife can come up with a workaround for that. They are claiming it can help with the declining population in countries such as Japan, Bulgaria, and South Korea.
Biden Will Pay African Union Additional $2.5 Billion to Stop Africa from Developing Domestic Farm Fertilizer
Posted originally on the CTH on December 15, 2022 | Sundance
The G7 leaders have been debating the problem of African farming for quite a while. The issue surrounds the conflicts between the G7 climate change agenda and the need for Africa to develop fertilizer production to enhance their farming and crop yields.
As noted in a Reuters article from June, “the European Union is divided on how to help poorer nations fight a growing food crisis and address shortages of fertilisers caused by the war in Ukraine, with some fearing a plan to invest in plants in Africa would clash with EU green goals.” As the argument unfolded, “the EU Commission explicitly opposed” any effort to enhance African fertilizer development, “warning that supporting fertilizer production in developing nations would be inconsistent with the EU energy and environment policies.”
The energy development corporations, the source industry needed to create the components for nitrogen-based fertilizer, have been waiting to invest in African energy production pending the approval of western government decisions. Addressing the issue today, Joe Biden told the African Union the United States would send an emergency $2.5 billion in food crisis aid to offset the inability of Africa to feed itself.
In essence, instead of Western government policy supporting energy production in Africa that would lead to a greater farm yield, and by extension a greater level of food independence, the Biden administration would rather restrict energy/food development in Africa and send them food subsidies; because, climate change.
(White House) – […] President Biden announced an additional $2.5 billion in emergency aid and medium to long-term food security assistance for resilient African food systems and supply markets, which builds upon over $11 billion in U.S. humanitarian and food security assistance for this year alone. President Biden also launched a new strategic partnership on food security between the United States and the African Union.
Together, we will leverage the public and private sectors, along with multilateral development banks and international financial institutions to accelerate transformational investments in sustainable and resilient food systems to prevent food shocks before they happen.
The compounding impacts of the global pandemic, the growing pressures of the deepening climate crisis, high energy and fertilizer costs, and protracted conflicts – including Russia’s war in Ukraine – have pushed weak supply chains to the brink and dramatically increased malnutrition and food insecurity — particularly for African countries. (read more)
The Biden administration would rather people starve than be able to feed themselves in order to retain the climate change agenda.
This is globalism and elitism in its full glory. Western politicians, along with multinational corporations, in control of global trade and finance are deciding who lives and who dies according to their climate change ideology. This is how important their Build Back Better scheme is to them.
Liberalism or modern totalitarian leftism is on display as the great global cleaving continues.
The elites in western government think they still have the power to control the rest of the world. However, the absence of food changes things and creates a risk to their agenda.
Many people are starting to realize -through the farming aspect- that western ideology, as manifest in modern globalism, is dangerous. The Davos crowd is willing to kill millions if that is what it takes to retain their climate change ideology.
Keep watching this closely. The multinational U.S. media will continue burying the issue protecting the ruling class.
June 2022, Reuters Article
June 2022 – CTH Outline
December 2022 – White House Announcement
Twitter Exposing the Real Threat – Leftist Revolution
Armstrong Economics Blog/Economics Re-Posted Dec 15, 2022 by Martin Armstrong
The revelations coming from Elon Musk gaining access to Twitter demonstrate that the LEFT is the greatest danger we face to civilization and there is absolutely no reason still stand for the United States to remain as one nation. The hatred of the LEFT is so pervasive it is off the charts – but then again, the LEFT historically always seeks to oppress all opposition.
The LEFT has been the source of countless wars to dominate society. The 1848 Revolutions devastated most of Europe. The American Revolution which lasted 8.37 years and the French Revolutions were against Monarchy – not a LEFTIST philosophy, which rose again during the mid-19th century. What most people have no idea about is that this philosophy of suppressing human nature has been around for a very long time. The 1848 Revolution was precisely on time and our model on LEFTIST Revolutions begins with the birth of Sparta around 889 BC.
The very word “SPARTA” means self-restraint. As I have written before, Sparta NEVER issued any coinage. They lived under a rigid oligarchic constitution and this is when they hayed Athens and waged the Peloponnesian War against them for their capitalistic freedom despite the fact that it was Athens that defeated the Persians in 480BC. It was Sparta’s constant LEFTIST philosophy that led to the invasion of Rome in 146 BC and their conquest of the Peloponnese at the Battle of Corinth: The Romans under Lucius Mummius defeated the Achaean League near Corinth. Corinth was destroyed, and the Achaean League dissolved.
Just as the LEFT claimed that Putin interfered in the 2016 election and 70% of Democrats ended up believing that story, even the exposure of RussiaGate as a total fraud has not changed the minds of the LEFT – they just ignore the fact. Ironically, CNN went after Trump to remove him from office in 2020 because they were actually manipulating the news back in 2016 always giving Trump more time over 17 other Republicans because they thought he would be the weakest candidate and Hillary would win.
Now we have Musk dumping the Twitter files that reveal once again the LEFT interfered in the election. The latest release of Twitter files reveals that their employees did not believe former President Trump had violated Twitter’s policies. Nonetheless, they yield to the LEFT to ban Trump from Twitter to manipulate the election. This release shows:
“I think we’d have a hard time saying this is incitement.”
They added: “It’s pretty clear he’s saying the ‘American Patriots’ are the ones who voted for him and not the terrorists (we can call them that, right?)…”
Another staffer agreed, writing: “Don’t see the incitement angle here.”
“I also am not seeing clear or coded incitement in the DJT tweet,” was the comment written by Anika Navaroli, the Twitter policy official.
“I’ll respond in the elections channel and say that our team has assessed and found no vios for the DJT one.”
In fact, the LEFT rose up again in Paris for another Revolution. They created the Commune Movement in Paris where there was to be no property and everyone would be happy – i.e. Klaus Schwab & the WEF. Indeed, the very term “Communist” was coined there in Paris. Karl Marx was initially a socialist. It was the French who convinced him that all private property should be owned by the state creating a Commune.
Ironically, the last turning point of or Leftist Revolution Model was in 2009. It was at the WEF in 2019 that they release the Build Back Better slogan for all governments to use. The next one is actually in 2032 but it will start to accelerate from 2024. We can clearly see how polarized society has become. This is also the Sixt Wave so we are looking at a major attempt to suppress society under the same philosophy pf the Oligarchy that seized control of Sparta. The elites are behind this own and they always make it sound like they are doing this for us. But in truth, this is all about their power and total control.
Swiss Joining the Force Against Russia
Armstrong Economics Blog/Switzerland Re-Posted Dec 15, 2022 by Martin Armstrong
COMMENT: Just read your article on Poland building up a big army, just like Germany. Here in Switzerland they are also active and training their army as never before. … I would very much appreciate your take on this issue and your view on Switzerland and the Swiss Franc in this scheme.
Thank you (and I have forwarded your articles to my friends and they have woken up).
AdK
REPLY: We have an awful lot of clients in Switzerland. Because we have a major Panic Cycle in 2025, war is clearly in motion for Europe. The Swiss franc looks like death warmed over, as they say. I will try to get out a special European report ASAP after the 1st of the year. Suffice it to say, a break of 99 can send the Swiss down to 65 in the years ahead. They have abandoned their neutrality in finance and war joining the sanctions against Russian individuals. That was a HUGE mistake on top of turning over everyone who relied on Swiss secrecy which began to protect the Jews from the Nazis in 1934.
Fed Announces 0.5% Interest Rate Hike as Cycle of Inflation Shows Plateau
Posted originally on the CTH on December 14, 2022 | sundance
As we have often discussed on these pages, inflation would ultimately moderate and plateau not because prices were dropping but rather because of the calendar cycle.
As the economy cycles through a year of large price increases, the current inflation rate cycles through to the period when prices first increased. This calendar cycle means continued price increases are lower as a percentage and thus the inflation rate appears to modify despite prices continuing to rise. [BLS Report]
This scenario, prices remaining high and continuing to climb – yet lower as a percentage, now provides the justification for the federal reserve to state inflation is moderating.
(Via NBC) – Amid signs that price growth in the U.S. economy is rapidly cooling, the Federal Reserve announced Wednesday it was slowing the pace of its rate-hiking program designed to tackle inflation — but that more hikes were still on the table.
The Federal Open Market Committee said it was increasing its key federal funds rate by 0.5%, after announcing four-straight 0.75% hikes at its most recent meetings. In its Wednesday statement, the Fed said it continues to target an inflation rate of 2% over the long term and would continue to increase the federal funds rate to do so.
“Inflation remains elevated, reflecting supply and demand imbalances related to the pandemic, higher food and energy prices, and broader price pressures,” the committee said.
But bringing down inflation is likely to come at the cost of higher unemployment in the short term: The Fed said it now projects the 2023 unemployment rate to average 4.6%, equating to hundreds of thousands of more jobless workers compared with the current rate of 3.7%.
The Labor Department on Tuesday reported that annual inflation clocked in at 7.1% in November — the lowest reading in more than a year. While it is still high compared to the 2% level at which the Federal Reserve typically seeks to hold down inflation, the most recent number signals that the galloping price growth earlier this year is fading. (read more)
Prices will never drop because the supply side pressure from a new energy policy remains as the driving factor.
Demand has dropped throughout 2022 as the U.S. economy, gauged in units of product sold, has contracted. Consumers are not buying non-essential goods or services as the costs of housing, fuel, heating, electricity, overall energy and food prices continue rising.
Despite the economic contraction that is lowering energy use, rapidly increasing energy costs continue to be the driving force of inflation.
This period of depressed economic activity will continue as unemployment begins to become problematic. As a nation we will remain in this economic malaise as long as Green New Deal, Build Back Better, energy policy is maintained.
On the positive side the economic shrinking is reversable with new energy policy; however, the opportunity to make that change is several years away. In the interim, the cost of living will remain the biggest challenge for the foreseeable future, and the inbound open-border migration will keep wages depressed.
Under the economic program of Joe Biden wages must be depressed in order to avoid production inflation (higher labor costs) from piling atop the energy policy inflation. Thus, the border influx will continue.
The gap between the haves and have nots is also going to explode in the next five years.
Poland to be Next Country to be Sacrificed
Armstrong Economics Blog/War Re-Posted Dec 14, 2022 by Martin Armstrong
Poland is creating the most powerful Army in Europe at the prodding of the Biden Administration. It will now surpass even Germany as well as Turkey. They are building a major force with the potential to invade Russia on a conventional level. They call this the “Plan for the Defence of the Fatherland.” They have been instructed by the Biden Administration to increase their army from 110,000 soldiers to 250,000 professional soldiers.
Jaroslaw Kaczynski, right, leader of Poland’s ruling PiS party, and Defence Minister Mariusz Blaszczak made the announcement. Kaczynski justified this “radical strengthening of the armed forces” with a worsened security situation as a result of Russia’s “imperial ambitions” and the “hybrid attacks” by Belarus. War is made by leaders, not the common people of any country. Putin has NEVER displayed any “imperial ambitions” and those days are long gone. Nobody wants to occupy Europe any more than they want to occupy the United States.
This is all needed because the monetary system is collapsing and we have reached the end of the road of fiscal mismanagement of borrowing every year, running deficits under socialism to bribe voters. Politicians no longer even know how to run for office without such promises. But they are reaching the capacity to sell their debt. As interest rates rise, nobody wants long-term debt. The only way to escape this debt crisis is to create war. That will be the excuse to default on all the debt and start all over again, hopefully with a reduced population. So the Polish are to be the next culture to be sacrificed at the altar of sovereign debt.
Real Estate
Armstrong Economics Blog/Real Estate Re-Posted Dec 13, 2022 by Martin Armstrong
COMMENT: Mr. Armstrong, I just want to congratulate you on creating Socrates. I am a real estate aficionado and Socrates has beaten the Case-Shiller Index which peaked in June of 2022 and even the Redfin Index which peaked in May 2022. Socrates peaked at a high in December 2021 ahead of everyone. Your model has shown a 34% drop into October where everyone is saying a 20% drop by the end of next year is likely. I just wanted to write because you and Socrates have beaten everyone in the real estate forecasting business and you do not even make that a big deal. Socrates is amazing.
I just wanted to share that because you do not even bother pounding your chest about real estate.
Thank you so much
LR
REPLY: Socrates is forecasting so many aspects of the world economy I do not have the time to pound my chest and if I did, I would probably end up in the hospital for it gets so many things right. It covers a fair sampling of real estate around the world and I do know we have many major real estate companies tuning in. Thank you for your comment. I have not had the time to look at either of those two indices as of yet.
What investment would have produced 4,414% Gain since 1932?
Armstrong Economics Blog/Traders Re-Posted Dec 13, 2022 by Martin Armstrong
Imagine if you could have bought a loaf of bread in 1932 for 7 cents. That 7 cents would be $3.09 today would be a gain of 4,414%. Of course, you could not even freeze it that long. That is also the problem with many who sell investments. Gold was $20.67 in 1932 so that has been a gain of 8990%. On the other hand, the Dow Jones Industrials bottomed in 1932 at 40.56. That has been a gain of 83,992%.
In 1955, the Dreyfus Fund was established by a New York stockbroker named Jack J. Dreyfus, Jr. (1913–2009) It was Dreyfus who acquired the open-end Nesbett Fund, which had $2.3 million in assets. This ambitious stockbroker renamed the fund bestowing his own family name upon it which would become a household word in the decades ahead. By year end, the assets grew to $5.6 million as 1955 drew to a close. The best decision Dreyfus made was to buy 400 shares of an unlisted stock. That “sleeper” stock was Polaroid which he bought for $31 7/8. Dreyfus would watch this single purchase rise to $6,372 per share – not counting splits – in the years ahead. This outstanding performance almost single-handedly led to the mutual fund boom in the 1960s.
Sometimes a new technology paves the way for something that changes the game.
Centinel2012 