Wal-Mart Cuts Taxes By Paying Rent To Itself
Wall Street Journal, February 1, 2007, page A1, column 3.

Sam never missed a trick, eh? Here is an article on how Wal-Mart has been paying itself rent in 25 states and avoiding the state taxes on the billions in rent involved. The scheme involves Wal-Mart paying rent to a Real Estate Investment Trust that Wal-Mart owns. But because of the REIT rules, Wal-Mart avoids paying the taxes on that rent. Pretty neat scheme. According to the article, the Feds closed this loophole years ago but the states are just catching on.