One of the gripes against investment bankers is that they're a bit cheap with the charity thing. A recent study demonstrated that many of Wall Street's top earners binge on baubles with their bonus money but don't give much to charitable causes.
Enter Christiana Stamoulis, the Goldman Sachs banker who claimed she made $55,000 in charitable contributions in 2002. This apparently raised some eyebrows with the tax authorities because her income that year was just $115,000. (Remember 2002 was a pretty rough year for a lot of Wall Street.) So where did Christiana get the $55,000 to donate?
Where else? Her closet.
The Wall Street Journal's LawBlog quotes from the tax court's opinion slicing her deduction to $8,949.
“The woman describes herself as an “impulsive buyer” whose annual expenditures for clothing and shoes might be deemed by some to be rather extravagant,” wrote the Tax Court, noting that during the year at issue she spent $53,916 on clothes and $9,253 on shoes. “Furthermore, it appears that her wardrobe is constantly changing. According to petitioner, she routinely purchases designer clothing and shoes, wears the items once or twice, and then donates them to an upscale thrift shop in New York.”
The Taxman Wears Prada [LawBlog]