Posted on 07/13/2009 3:46:22 AM PDT by Scanian
Thanks a lot, Hillary!
In a surprise turnaround that will cost the city $260 million in back taxes and untold millions in future lost revenue, Hillary Rodham Clinton's State Department has quietly reversed a longstanding policy requiring foreign governments to pay taxes on some diplomatic residences.
It's a shocking about-face by Secretary of State Clinton -- who repeatedly spoke in favor of the city's right to collect the taxes when she was New York's junior senator.
The Big Apple, which recently won a federal court ruling requiring India and Mongolia to fork over some $46 million in back taxes, is expected to lose about $7 million a year in current tax revenues.
That number could dramatically increase in the future if property taxes rise.
Mongolia and India had appealed the 2008 order requiring them to pay, but neither had given the city its check.
Now they don't have to.
Adding insult to injury, a week before the June 23 policy change, the Hungarian government wrote the city to say it was planning to clear up its old tax debt, which totaled $32.5 million, for its East 52nd Street consulate.
"This offer is made taking into consideration the current economic crisis existing in Hungary and the City of New York," the June 16 letter said.
(Excerpt) Read more at nypost.com ...
Collecting chits to become U.N. Secretary-General.
Can’t say I feel sorry for NYC. They voted for these fools with unprecedented enthusiasm.
Still, the NYC government should declare then that security for these residences will no longer be provided by the NTPD; that the US State department will be responsible for the security of these residences and embassies!
46 million for taxes on a residence? I could see maybe 45 million but this goes too far.
Spot on. They got the government they deserved.
dear new yorker;
YOU ELECTED HER TO THE SENATE THUS PAVING HER WAY TO THIS POINT!!!!
You get what you vorte for - dopes!
The question is, what is the universal practice on charging taxes on diplomatic residences? NY makes a bundle off of having diplomats there. It is part of what makes NY city so attractive for all the things that go on there that makes the city a bundle.
Civics question:
Do cabinet officials have the ability to establish or dis-establish tax laws?
I thought this was Congress’ business.
Aw, gee, an inconsistent politician - worse, an inconsistent Democrat politician? Who’d a thunk it? By-the-by, New York, have you got that State Senate thingee straightened out yet? Are you still paying those fine upstanding public servants? I could go on but why bother, you will still vote for ‘hope and change’ until you die!
Why aren’t she and her husband in jail?
It all revolves around the rather thorny concepts of 'Diplomatic Immunity' and 'National Reciprocity'. The State Department is constantly worried that another country will start taxing our diplomats and possessions if we don't play 'nice'.
My proposal and solution is to bid the Unrealistic Nations a happy farewell and let some deserving country host them, like North Korea or Iran. It will make for easier weapons inspection, right?
Yep - the former carpetbagger New York Senator really appreciated all those New Yorkers electing her.
What fools.
the crazy thing is the MSM will ignore this story and most New Yorkers will never know. Of course, you also will not hear the Republicans bring this up....
Article 1, Section 8:
The Congress shall have Power To lay and collect Taxes, Duties, Imposts and Excises, to pay the Debts and provide for the common Defence and general Welfare of the United States; but all Duties, Imposts and Excises shall be uniform throughout the United States;
If the Sec State can levy or forgive taxes, I can’t find it.
(not directed at you SES...just general frustration)
Understand, but this is a case of Treaty enforcement, 'Foreign Domain', 'Sovereign Immunity' and 'Diplomatic Immunity', that are traditional 'State Department' areas.
Basically, all Foreign Government-owned facilities used for diplomacy (here we are talking about UN operations in New York) are considered as their own governmental property and immune from local taxation. Various bilateral and multilateral treaties between the US and others make exceptions and additions.
Since this is governed by Treaty and the "Treaty Clause" Article II.2.2 US Constitution and has been confirmed by the US Senate, it is the State Department's business and control. Confusing, yes, straight-forward, no! Hope that this 'reduces' your frustration /smile!
And they will continue to vote for them over and over...
Obama - 80%
McCain - 20%
Sorry, but my sob-o-meter is bone dry.
Since when does a Secretary of State have jurisdiction in the arear of taxation over an American city?
Your question remains unanswered.
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