IRS files $79,000 tax lien against Schwarzenegger [Updated]

[Amerigo Vespucci]

Source: http://latimesblogs.latimes.com/lanow/2009/11/irs-files-79000-tax-lien-against-schwarzenegger.html

The Internal Revenue Service has filed a federal tax lien against Gov. Arnold Schwarzenegger for nearly $80,000, public records show.

The lien was filed May 11 at the Los Angeles County recorder's office for $79,064, according to a record in an electronic database that includes lien filings. The record does not indicate what property the lien was placed on, but it lists the debtor as Arnold Schwarzenegger with the governor's home address in Brentwood.

(Updated at 11:42 a.m.: A federal tax lien would be attached to all of the governor’s properties, according to the IRS.)

The lien was reported this morning by TMZ.com, which posted a copy of a lien document that says it is from the county recorder's office. That document shows that Schwarzenegger owes $39,047.20 from 2004 and $40,016.80 from 2005. The document also lists a section of the IRS code that suggests the debt may be penalties for a failure to report certain business transactions.

Read more: Los Angeles Times

[truthisfreedom]

1. The Taxenator beats the Governator.

Every time.

[alcibiades_mystery]

2. In a state crippled because the people can't understand that services cost tax dollars

The Governor is a tax deadbeat.

Kinda fitting, is all.

[KansDem]

3. Why is it these "cut taxes!" types are ones who don't pay their taxes!

From this governor to those 54,000 accounts of American tax cheats in UBS Bank, Switzerland... They bitch and moan about having to pay taxes...then don't!

I mean, I pay my taxes, why can't they?

[shanti]

4. love it

:thumbsup:

[notesdev]

5. Next stop: Treasury Department

[paulsby]

10. lol thread winner

omg, a politician that didn't pay their taxes

i'm SHOCKED! shocked i tell ya!

[WriteDown]

6. Taxes are SO complicated these days that no one can pay them correctly...

We need some sort of fair tax. Under 40K and you pay no income tax at all. Above 40K and 15% comes out of every check. This is the ultra-simplified version, but we need something akin to this.

[marybourg]

9. So when the car dealer gets your check for $39, 500 for your new

car, 15% comes right off the top, under your plan?

[WriteDown]

14. Is that gross income?

Get real.

[AlbertCat]

12. Taxes are SO complicated these days that no one can pay them correctly...

I pay mine correctly.

Flat taxes are a pipe dream like no taxes. Deal with it. You and Arnold are adults. He got it wrong....the IRS saw the mistake, now he knows what to pay to "pay them correctly". What's the problem?

[WriteDown]

15. To say that taxes are too complicated is ludicrous....

Considering that MOST people need a paid professional to do them should be your first clue.

edited for grammar

[rally2xs]

32. Yes, why not a fair tax?

Why not a tax that gives everyone at or below the(ir own
personal) poverty level a 22% discount on every newly
(American) manufactured thing they buy, allows everyone to
keep every penny they earn, would make the USA the 800 lb
gorilla of manufacturing (again)?

Whatever we do, we need to get rid of the income tax, every
last bit of it.  It hammers the poor with 22% embedded cost of
the corporate income taxes, takes a 7.65% bite out of (even) a
(poor) person's paycheck - it basically screws the working
poor.  It needs to go.

[LynneSin]

7. This is too precious

:rofl:

[avaistheone1]

8. Darlin only the little people pay taxes.

:sarcasm:

[ashling]

11. Anybody with knowledge of IRS liens

would have known in the first place that the IRS Lien attaches to all property. Also, it is not difficult to tell what the lien is for. The lien document will clearly indicate whether it is on a 1040 or other type of tax.

[Ian David]

13. Economic Girlie-man doesn't pay his taxes and things of this nature. n/t

[GreenStormCloud]

16. $79K is a trivial amount for him.

He doesn't do his own taxes. Long ago he would have hired an accounting firm to handle that for him.

He is extremely wealthy and on his scales, $79K is pocket change. It really is possible, at that scale, to have a minor bookkeeping error that amounts to a $79K tax dispute. His accounting firm and the IRS will go over the paperwork and arrive at a decision. If he owes, they will pay promptly and Arnold will never feel the difference.

[alp227]

17. IRS says Schwarzenegger owes $79,000

Source: San Francisco Chronicle

(11-27) 17:32 PST SACRAMENTO -- As if a projected $20.7 billion state budget deficit wasn't bad enough, Gov. Arnold Schwarzenegger has another financial headache to deal with: clearing up paperwork related to his 2004 and 2005 federal taxes.

The tangle involves a lien of $79,064 placed on Schwarzenegger's property by the Internal Revenue Service. The lien was filed in May in Los Angeles County, where the governor and his family live, and surfaced Friday morning on a celebrity Web site, tmz.com.

News of the lien brought a quick defense from Schwarzenegger's staff, with a morning declaration that the governor had paid all his taxes followed mid-afternoon by a release that ascribed the glitch to sloppy record-keeping.

"After contacting the IRS, it appears that there was a minor paperwork tracking discrepancy," press secretary Aaron McLear said via e-mail. "The issue is completely unrelated to the payment of taxes. ... The governor is resubmitting certain information to the IRS, and we fully expect that the matter will be resolved and the lien expunged without any penalty assessed upon the governor."

Read more: http://www.sfgate.com/cgi-bin/article.cgi?f=/c/a/2009/11/27/BAKL1ARFOQ.DTL

---

Surely shows the mentality of the governor of a state that can't afford anything.

Also, Oakland Mayor Ron Dellums (also a former Democratic Representative in Congress) and his wife owe nearly $239,000 in back taxes. And Oakland is sinking in a huge deficit...and a ballooning crime rate, too. Luckily next year the people of California can vote out the tax delinquents and incompetent incumbents. And the IRS shall serve a good plate of justice too.

[derby378]

18. Coming soon to a theater near you...

Hey, Willie Nelson's been in the same boat for a lot more cash than that.

[Testor]

26. Famous Democrat Tax Protestors

Hillary and Bill - Whitewater Investment Tax Failure
Chicago Mayors 1950-present

Illinois Senator what was his name (1980s)? Forced to resign.

[fasttense]

28. I'll see your Democratic party tax cheats with Republicon party tax cheats

Mitt Romney helped other uber wealthy CEOs evade taxes while boosting his own profits through off shore accounts.
http://www.democrats.org/a/2007/12/tax_evaders_for.php

Mayor of Marlboro, NJ, Republican Matthew V. Scannapieco pleaded guilty to accepting $245,000 in bribes from a Marlboro developer.
He also pleaded guilty to tax evasion by not declaring the income
from the bribes.

Republican Chief of Staff Peter Ellef and
part of Gov. Rowland’s administration
corruption scandal, pled guilty to bribery and
tax evasion.

Mayor of Washington Township, NJ, Republican
Gerald J. Luongo was sentenced to 13 months in
federal prison after admitting that he had diverted
campaign and community funds to his personal
use. He also pleaded guilty to accepting bribes totaling approximately
$245,000 from a developer who conducted business in Marlboro
Township, and to tax evasion.

http://www.republicanoffenders.com/Bribery2.html

The former chairman of the Manhattan Republican organization pleaded guilty to tax evasion and violating the public officers’ law in connection with money he was paid as a consultant to a real estate company and as an arbitrator in a dispute over helicopter services on the West Side. The former chairman, James A. Ortenzio, 62, admitted in a hearing in State Supreme Court in Manhattan that he had knowingly failed to disclose the income, totaling about $180,000, that he made in 2004 and 2005.

http://cityroom.blogs.nytimes.com/2007/11/15/manhattan-gop-leader-admits-tax-evasion/

I could go on and on and on and on.........

[GreenStormCloud]

19. When you are as rich as he is, 79K really can be a minor bookkeeping error.

He doesn't do his own taxes like many of us do. He has accountants that do that. His accountants and the IRS will send some paperwork back and forth. If he does have to pay it, $79K is chump change for him.

[Igel]

30. At the same time,

$79k can result from the IRS' not having all the paperwork lined up so they can understand it.

Let's not assume that the IRS is always perfect, even though it is a government-run program. (Snicker.)

[Fearless]

20. So his personal economy is starting to look like California's...

:nopity:

[greennina]

21. Repukes never pay taxes.

I find that amusing for some wierd reason.

[RedCloud]

22. They think they are above America.

[JaneQPublic]

24. Two words to explain why that won't fly as a talking point:

Tom Daschle

[alp227]

25. Other Obama cabinet members with reported tax issues:

Kathleen Sibelius
Tim Geithner

Also, Clinton's first nominee for Attorney General, Zoe Baird, quit because she neglected to pay Social Security taxes on her illegal immigrant servants.

Two representatives with known tax issues - Ron Dellums and Charles Rangel (right now just alleged) - are Democrats!

[Angry Dragon]

23. I have a question

Not paying taxes is a personal matter. How come state paid employees are dealing with a personal matter?? It sounds like he is using state money for personal use.

[GreenStormCloud]

29. Sounds like the staff is dealing with the media.

His personal accountants will be dealing with the IRS.

[flamingdem]

27. Pay der bills you schtinker! nt

[Xithras]

31. They were talking about it on TV this morning. He doesn't actually owe any taxes.

It's more of a fine for incorrectly filing some paperwork. Apparently he can still file an amended return, correct the mistake, and get the lien cancelled.

[cowcommander]

33. I'll never understand the rich's mindset towards avoiding taxes

They already make more money than most people ever will in their entire life, why avoid paying a little bit on tax?