Talk of The Villages Florida - Rentals, Entertainment & More
Talk of The Villages Florida - Rentals, Entertainment & More
#1
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IRS gets its way
Read the article in the Village News "VCCDD, AAC hoping to refinance bonds to lock in lower interest rates"
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MI, Pontiac, Waterford, Southfield, Farmington, FL.--> Ron's my name and pool's my game. |
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#2
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Well, now we know who will blink first...
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#3
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IRS marches to the beat of its own drum ( their interpretation of the tax codes) so I doubt if this will change anything.
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Most people are as happy as they make up their mind to be. Abraham Lincoln |
#4
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Looks like someone read the writing on the wall. I had to chuckle when I read the news. The rational given was 'interest rates are low now'. Well, they were substantially lower than they are now a couple of years ago yet no action was taken then!
All in all it is a good business decision IMO, getting the issue resolved and moving on. How much has been spent on legal fees so far?
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"No one is more hated than he who speaks the truth." Plato “To argue with a person who has renounced the use of reason is like administering medicine to the dead.” Thomas Paine |
#5
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If the VCCDD thinks that refinancing these bonds from tax-free to taxable bonds will help them with their long-running dispute with the IRS, why didn't they do it years ago?
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#6
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Because maybe the owner of the high interest rate tax free bond had a say in this action and he wanted to get the high interest rate as long as he could.
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MI, Pontiac, Waterford, Southfield, Farmington, FL.--> Ron's my name and pool's my game. |
#7
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Who held the bonds
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Doctor A Going from here to here |
#8
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I have en offers to sell Villages Tax Free Bonds recently. But I don't want 20 year bonds. Interest may go up and I want the cash available to buy the higher yields
Same with all these other high interest bonds, mature in 2035.
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Kyrie Eleison Philadelphia(Germantown) 20 years, Brandywine Hundred, DE 3 years, St. Mary's County, MD 38 years, Villages |
#9
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[QUOTE=manaboutown;920005]Looks like someone read the writing on the wall. I had to chuckle when I read the news. The rational given was 'interest rates are low now'. Well, they were substantially lower than they are now a couple of years ago yet no action was taken then!
All in all it is a good business decision IMO, getting the issue resolved and moving on. How much has been spent on legal fees so far?[QUOTE] Last I heard, we (the residents) have spent over $700,000 for the developer's law suit.
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A Promise Made is a Debt Unpaid ~~ Robert W. Service ~~ |
#10
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Villages Lake-Sumter Inc. (VLSI) financial plan for building TV allowed them to essentially finance it with residents' money and to profit handsomely while maintaining a continual flow of income in perpetuity. There was no question that the IRS inquiry carried merit because it was always clear what the requirements were to effect interest free bonds. The issue that no one seems to care about is what caused the District to deal in such a manner leaving residents exposed? I believe the IRS spelled it out clearly in their filings.
The issue now is all that matters and if the information is correct that the District is going to refinance with low interest rate bonds what does that mean for residents? Does VLSI have an obligations here? Many residents will chalk this up as good business but I pause and ask but for whom? Cst la vie |
#11
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The bonds in question are for the commercial areas NOT the residential areas that the residents are paying the development bonds on when they purchase a home. The bonds and the operating expended (i.e legal fees) for the commercial areas are a separate business interest and do not directly affect the residents. Note here I said "directly" as there is indirect benefit. Having used tax free bonds lowers the cost of development in the commercial areas and attracts more and better merchants to our area, of which we all benefit.
Ask yourself this, could or would our government have done as much good for the people of TV and the surrounding areas had it received the amount of money in question? My observations of government spending would say no. While few of us are privy to the balance sheet of TV (myself included), I am pretty confident that they are trying to make the best business decisions they can. Having taken the time to read quite a few of the publicly available documents out of personal curiosity, my opinion is that the volumes that've been written represent a mountain of money in legal fees that is likely coming to the point of diminishing returns for TV. The government will of course continue spend a dollar to collect a dime on this matter. The resident's money is not at risk here, only the developer's. If you have a problem with the developer making a profit don't live here. Sell your house and move. When you do sell your house, every penny of profit you make on it be sure you give it to the responsible party for that profit, the developer, or at the very least give it to charity and don't forget to pay the IRS the taxes on the profits. |
#12
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Quote:
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#13
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Quote:
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The Beatlemaniacs of The Villages meet every Friday 10:00am at the O'Dell Recreation Center. "I never considered a difference of opinion in politics, in religion, in philosophy, as cause for withdrawing from a friend." - Thomas Jefferson to William Hamilton, April 22, 1800. |
#14
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Bonds are not for the commercial areas..........see post #12.
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The further a society drifts from truth the more it will hate those who speak it. George Orwell. “Only truth and transparency can guarantee freedom”, John McCain |
#15
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Based on paragraph 4.1(e) of the Deed of Restrictions, it appears that, homeowners are liable through a continuing lien on their property.
Now there is a caveat here: I have not read all deeds, but in the majority the use of the homeowners property as collateral appears in 4.1(e). Yours may cited in a different paragraph. |
Closed Thread |
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