CA: Governor in the jet-lease business

Sac Bee ^ | 1/3/06 | Andrew McIntosh

[NormsRevenge]

I wonder if they flew one of these 747's to China on the trade mission last year, the one which the Gub's own Blind Trust manager, Paul Wachter, flew along on?

[staytrue]

Lower taxes for arnold. I like it. I want lower taxes for you, me and the man behind the tree.

[kellynla]

"Typically, buying a jet and leasing it to an airline is such a huge investment, it is the stuff of specialty leasing corporations and billion-dollar hedge funds."

and "fly for free"...sweeeeeeet!
I like it!

sure beats dealing with the morons at the airlines and the airport! LOL

[NormsRevenge]

It must be nice to be able to dabble in billion dollar hedge fund transactions.

[Turbopilot]

He should have said the following:

< Austrian accent >
"Yes, absolutely, the jet is a tax shelter. Our tax laws are so insane that I have to legally launder money by buying a Singaporean jumbo jet, and then renting it right back to the same people I just bought it from, just to keep my tax bill down to a "measly" $18 million dollars! It's time to 'terminate' the IRS!"
< /Austrian >

When blamed for something that occurs only as a result of Big Stupid Government, it would be nice to embarass the media fools by going on the offensive about it.

[PeterPrinciple]

deferred paying state and federal income taxes

Note this deferred paying taxes, not eliminated. Most business are interested in deferring taxes and buying that plane created a lot of employment.

[b9]

...sale and lease-back deals are legal...

Sweeet.

[calcowgirl]

Last year, a U.S. District Court in Connecticut disallowed $106 million in tax losses claimed by the now-defunct Long Term Capital Holdings hedge fund in connection with cross-border leasing deals that involved Babcock & Brown...

Long Term Capital Holdings? Ahhh... a fine client list B&B has. What a bunch of crooks (imo).

[Carry_Okie]

Note this deferred paying taxes, not eliminated.

For a guy on the latter end of an acting carreer, the difference isn't chump change.

[calcowgirl]

Wachter is quite the operator, no? Arnold's blind trust manager, President of Arnold's After-School All-Stars (afterschool programs?), UC Regent (appointed by Arnie), long term cohort of Bobby Shriver, ex Shroeder executive (while Tony Coelho was CEO) and currently the chair of the Austrian Holocaust Reparations Committee. Another Kennedy clone.

[FOG724]

I have been unable to watch his movies since his election. I used to like them.

[calcowgirl]

...sale and lease-back deals are legal...

Sweeet.

George Soros and Warren Buffet (and his Salomon cronies) agree with you.

Unfortunately, the taxpayers who have to fund trillion dollar bailouts for scum like LTCM are the ones that suffer.

[b9]

You'd do the very same thing if you could buy a jet.

It's legal.

[NormsRevenge]

Happy New Year, doodlelady.

Indeed , it is legal.

And that's why the IRS is involved, I guess.

or is this just a Clinton holdover rogue agency of the government investigation on a witch-hunt?

I hope they clear this up soon so it's not hanging over the next election cycle.

[NormsRevenge]

Hedge funds.

They're legal , right?

Unless they are abused.

I hope this little item gets cleared up soon, regardless who posted the article .

[b9]

I hope they clear this up soon Ditto.

[RS]

"For a guy on the latter end of an acting carreer, the difference isn't chump change."

His money from acting was chump change - he made a lot more from his businesses.

[NormsRevenge]

The investigation I really want to see wrapped up is the Perata investigation.

It's been over a year..

[calcowgirl]

Time will tell if it is legal. The article says the IRS is looking at it and there seem to be a lot of tight-lips. The IRS won their case against LTCH, set up by the same people that set up Arnold's deal.

I guess it bothers you not that Arnold's spokesman consistently lied to the media saying he did not participate in any tax shelters?

[calcowgirl]

Hedge funds. They're legal , right? Unless they are abused.

Yes. But sale-leaseback arrangements are another animal in themselves. There are plenty of regulations where one can get tied up.