The passage of President Trump’s sweeping tax reform bill is destined to help many people make lots of money. However, some everyday people are at risk of being taken advantage of over a new investment opportunity that is being heavily promoted online. Trump Bonus Checks, as they are being called, are an alleged result of new tax reform laws. Unlike Freedom Checks, however, these checks aren’t based on legitimate tax code—and the only way to get in on the “opportunity” is by paying for a subscription to someone’s newsletter. Read on to find out why the checks that have been promoted by Matt Badiali are more worth your while than supposed “bonus checks.”
A quick online search reveals that those who have been investing in Trump Bonus Checks are raking in upwards of $7,000 simply for signing up. Therein lies the problem, though—you have to sign up to even be eligible for this supposed opportunity. That should raise major red flags for any seasoned investor, but it is unlikely to worry those who lack relevant experience. Not surprisingly, these bonus checks are being heavily marketed toward elderly people. The sad thing is that these very same folks will then miss out on a legitimate way to make excellent profits: Freedom Checks.
To understand why the checks that were brought to the world’s attention by Matt Badiali, a former geologist who now works as a well-known and well-respected financial expert, are superior than so-called Trump Bonus Checks, it helps to first understand what these bonus checks are allegedly about. When President Trump’s tax reform bill passed in early 2018, it supposedly opened the floodgates for investments from foreign accounts that have been kept outside of the U.S. for years. Mike Burnick, the investment advisor who brought these supposed bonus checks to the world’s attention, believes that these foreign accounts are now poised to bring trillions of dollars back to the U.S.
One reason that many folks are confusing Trump Bonus Checks for the opportunities that have been touted by Matt Badiali is because they have been compared to how the master limited partnerships, or MLPs, of the other investment vehicles work. In fact, when promoting these bonus checks, Burnick repeatedly mentions MLPs. Trump Bonus Checks are described as working similarly to MLPs; investors are urged to “get in now” to receive ongoing payments after the foreign accounts bring their money back to U.S. soil. These bonus checks, then, are really just dividends from investments in regular stocks.
The thing that should raise real alarm bells for just about anyone is the fact that there is only one way to get in on Trump Bonus Checks: You must pay $99 per year to subscribe to the Infinite Income newsletter, which is written and published by Mike Burnick. This is hardly the only supposed opportunity that has been modeled off of the wildly successful checks that are being promoted by Badiali; a “Cash for Patriots” program was recently being promoted online by the Lifetime Income Report, and it has also been leading investors astray.
Much of the confusion regarding these opportunities has to do with the fact that so few investors are aware of an obscure statute that was enacted by Congress in 1987. Known as the 26-F Statute, it was established to provide incentives for energy companies that make use of existing natural resources. The statute defined very strict requirements that companies had to meet to qualify. Out of the more than 16,000 companies that are publicly traded in the United States, Matt Badiali determined that only 568 of them qualified as Master Limited Partnerships, or MLPs, as defined by Statute 26-F.
According to Statute 26-F, a company can only be classified as an MLP if it is a producer, processor or transporter of natural resources like gas and oil. The company must search for new wells or transport the oil or gas via pipelines, and it must also refine the gas or oil. More importantly, companies that operate as MLPs are required to distribute at least 90 percent of their earnings back to their investors. These distributions are the actual Freedom Checks that have been helping to make so many regular Americans very wealthy.
With so many scams out there like the supposed Trump Bonus Checks, it is easy to see why investors are so wary. Many people are understandably skeptical about Matt Badiali’s checks because the distributions are made on a tax-free basis, which doesn’t seem legitimate. However, although these distributions look a lot like dividends, they are considered to be “return of capital.” As such, they are not regarded as income, and income tax does not apply. When these checks are sold, the proceeds are taxed at the capital gains rate, which is much lower. Therefore, these checks allow Americans to cash in on the increasing energy independence that has been growing over the last decade or so.
Indeed, while much of the natural gas that Americans have relied on has come almost exclusively from the Middle East for decades, the modern fracking boom has changed all of that. More oil that is used in the U.S. is coming from within its borders than ever before, and this is precisely why these natural gas companies are scrambling. The ones that are defined as MLPs are raking in bigger profits than ever, and they are required by law to distribute at least 90 percent of their earnings to maintain their status as MLPs.
While it is easy to see the logic behind the checks that are regularly promoted by Matt Badiali, who currently works as a senior analyst for Banyan Hill, figuring out how these alleged Trump Bonus Checks work isn’t quite so simple. The fact that a $99 yearly subscription is required is concerning. To get in on Badiali’s checks, you can begin with as little as a $10 initial investment. With the Trump Bonus Checks, you have to pay $99 per year—and that money isn’t an investment that will grow but a fee that is collected by Mike Burnick and the Infinite Income newsletter.
Although it is true that many foreign accounts have wealth “locked away” in other countries and that much of it will be flooding back to the U.S. under the new tax codes, there is no merit to the Bonus Checks that are being heavily marketed online. These checks are clearly trying to ride on the coattails of actual, legitimate opportunities like Freedom Checks, which is a real shame because the latter is already helping thousands of everyday Americans to rake in very tidy profits.
Indeed, Matt Badiali himself has estimated that some of the MLPs that are involved in the issuance of these checks may realize profits of 5,889 percent, 8,839 percent or even 39,832 percent. In his newsletter, Real Wealth Strategist, Badiali outlines precisely how absolutely anyone can get in on these checks to start realizing amazing profits for themselves. The best part is that this opportunity is not reserved only for seasoned investors with tons of spare capital; with as little as $10, even a complete newbie to investing can start realizing the benefits of Statute 26-F and MLPs.
There is little doubt that Trump Bonus Checks are not the last poor imitation of Freedom Checks that we will see. Unfortunately, for every legitimate investment opportunity, dozens of scams come out of the woodwork. The worst part about these scams is that they cause investors to miss out on the benefits of investing in MLPs. These opportunities truly won’t last forever; as America’s oil boom levels out, energy companies that qualify as MLPs will realize smaller and smaller profits. To get in on the big checks that are being written, it is crucial to start right away.
For more information on Freedom Checks, click here.