IRS Audit: Risk and responsibility
The bottom line, which may have become obscured in the complexity of the situation, is that the risk to us Villagers is that the IRS sustains its position and, as a result, the two central CDDs (which are controlled by the Developer) can't or won't cover (by taxing the Developer's properties within the central Districts) the enormous costs involved and still have funds to provide our amenities. Bear in mind that the central CDDs have NO power to tax Villagers outside those two Districts in order to raise the funds.
IF that scenario does occur, then the recourse of the Villagers is to bring a new class action suit against the Developer, who contractually promised all of us that we would receive the amenities in exchange for the amenity fees. The Developer remains responsible with respect to that promise, regardless of the fact that the Developer assigned its rights under the amenity contracts to the central CDDs.
I continue to believe that the most reliable source for complete and unbiased coverage of the IRS investigation is POA meetings and the POA Bulletin, which can be found on the POA website.
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