[NJblue]

Originally Posted by Jim 9922

No problem for the developer either way (new bonds). The new home buyers are on the hook for interest and principal, so what does the developer care if the interest is a point or two higher? It is the buyer who carries the load!

It is not just new home buyers that would pay higher interest rates. Since these bonds are for purchase of amenities (unlike the bonds issued for streets/sewers, etc.), all Villagers pay for the loans through their amenity fees.

[Jim 9922]

Originally Posted by Big O

Didn't they just issue new taxable bonds replacing some of the old tax exempt bonds saving us mucho dinero?

True, but what was not said was that tax exempt bonds would have given an even lower interest rate. The transaction was just to take advantage of current lower interest rates, across the board, as compared to those in effect in earlier years.
Just like refinancing your old home mortgage. You save some interest over the years but pay today a pot of money to accountants, lawyers, bankers and brokers. In the end it is a net savings to you.

[bike42]

Originally Posted by NJblue

It is not just new home buyers that would pay higher interest rates. Since these bonds are for purchase of amenities (unlike the bonds issued for streets/sewers, etc.), all Villagers pay for the loans through their amenity fees.

The bonds in the IRS dispute have nothing to do with TV home buyers or residents. They are bought by investors, usually institutional investors.

[graciegirl]

Originally Posted by bike42

The bonds in the IRS dispute have nothing to do with TV home buyers or residents. They are bought by investors, usually institutional investors.

This woman speaks the truth.

[dewilson58]

Originally Posted by bike42

The bonds in the IRS dispute have nothing to do with TV home buyers or residents. They are bought by investors, usually institutional investors.

I don't think the post was about the bonds in the IRS dispute. Looks to me the post was regarding the newly issued taxable bonds.

[graciegirl]

Originally Posted by dewilson58

I don't think the post was about the bonds in the IRS dispute. Looks to me the post was regarding the newly issued taxable bonds.

So many get BONDS confused gere and it isn't a simple issue. Some people think that the developer is being investigated for not paying their bills to the IRS which is far from the truth. I think the Morse's challenged the IRS in order to keep the concept of a CDD government alive. I am all for that.

[rubicon]

The IRS dispute was not only about the nature of the bond but also the governmental structure of The Villages which does have a direct affect on The Villages of Lake sumter, Inc. TVLSI( Developer) and how they would operate or not in the future . Its the The Villages version of /Games of Thrones

[bimmertl]

Originally Posted by graciegirl

So many get BONDS confused gere and it isn't a simple issue. Some people think that the developer is being investigated for not paying their bills to the IRS which is far from the truth. I think the Morse's challenged the IRS in order to keep the concept of a CDD government alive. I am all for that.

Really, it's "far from the truth" that Morse was being challenged by the IRS for not paying taxes and he was really trying to keep the CDD concept alive? Amazing!

Morse issued $426 million in bonds, so he could use other peoples money to build the Villages, not his own which many of the uniformed believe, which the CDD concept allows. When he issued the bonds he declared they were tax free bonds and the $955 million profit he made on issuing the "tax free" bonds didn't require him to pay any income tax. The allegation the bonds were tax free is exactly what the IRS is challenging and Morse is challenging that allegation and using our amenity fees to pay his attorneys.

Here's a link to actual facts versus just made up TOTV "facts".

Billionaire Morse

[KeepingItReal]

Originally Posted by bimmertl

Really, it's "far from the truth" that Morse was being challenged by the IRS for not paying taxes and he was really trying to keep the CDD concept alive? Amazing!

Morse issued $426 million in bonds, so he could use other peoples money to build the Villages, not his own which many of the uniformed believe, which the CDD concept allows. When he issued the bonds he declared they were tax free bonds and the $955 million profit he made on issuing the "tax free" bonds didn't require him to pay any income tax. The allegation the bonds were tax free is exactly what the IRS is challenging and Morse is challenging that allegation and using our amenity fees to pay his attorneys.

Here's a link to actual facts versus just made up TOTV "facts".

Billionaire Morse

A well informed explanation of what really happened, the Bloomberg article should be a real eye opener for some...

[Polar Bear]

Most large projects are built with "other people's money" in one way or another.

[xNYer]

Originally Posted by graciegirl

So many get BONDS confused gere and it isn't a simple issue. Some people think that the developer is being investigated for not paying their bills to the IRS which is far from the truth. I think the Morse's challenged the IRS in order to keep the concept of a CDD government alive. I am all for that.

If this is true, and the Morse's challenged the IRS, then why are we paying the legal bills?

[outlaw]

Originally Posted by bimmertl

Really, it's "far from the truth" that Morse was being challenged by the IRS for not paying taxes and he was really trying to keep the CDD concept alive? Amazing!

Morse issued $426 million in bonds, so he could use other peoples money to build the Villages, not his own which many of the uniformed believe, which the CDD concept allows. When he issued the bonds he declared they were tax free bonds and the $955 million profit he made on issuing the "tax free" bonds didn't require him to pay any income tax. The allegation the bonds were tax free is exactly what the IRS is challenging and Morse is challenging that allegation and using our amenity fees to pay his attorneys.

Here's a link to actual facts versus just made up TOTV "facts".

Billionaire Morse

INCOMING!!!!!!! Seek shelter immediately!

[Mikeod]

Originally Posted by xNYer

If this is true, and the Morse's challenged the IRS, then why are we paying the legal bills?

The dispute is not with Morse, but with the central districts who issued the bonds to purchase the amenities. That is why the costs are being paid out of the district's income stream, which is our amenity fees.

I think this latest development is significant in that a major part of the dispute was the IRS position that the VCCDD and SLCDD were not political subdivisions and therefore not eligible to issue tax free bonds. This stance applied a standard that was not in effect at the time the bonds were issued and now the IRS agrees not to apply the new standard retroactively.

[sunnyatlast]

Originally Posted by Mikeod

The dispute is not with Morse, but with the central districts who issued the bonds to purchase the amenities. That is why the costs are being paid out of the district's income stream, which is our amenity fees.

I think this latest development is significant in that a major part of the dispute was the IRS position that the VCCDD and SLCDD were not political subdivisions and therefore not eligible to issue tax free bonds. This stance applied a standard that was not in effect at the time the bonds were issued and now the IRS agrees not to apply the new standard retroactively.

A voice of reason. Thank you.

[Bogie Shooter]

Originally Posted by Mikeod

The dispute is not with Morse, but with the central districts who issued the bonds to purchase the amenities. That is why the costs are being paid out of the district's income stream, which is our amenity fees.

I think this latest development is significant in that a major part of the dispute was the IRS position that the VCCDD and SLCDD were not political subdivisions and therefore not eligible to issue tax free bonds. This stance applied a standard that was not in effect at the time the bonds were issued and now the IRS agrees not to apply the new standard retroactively.

Well done!