Is Joe Miller a Tax Cheat?

Senate candidate Miller's mysterious Mat-Su hideaway

Senate candidate Miller's mysterious Mat-Su hideaway

For the past 14 years, U.S. Senate candidate Joe Miler has owned or controlled 40 acres with a two-story house near Willow, but he does not report it in his Senate financial disclosure statements.

The deed for the property is recorded in the name of something called "The Wilmington Trust," but the woman named as the trustee says she had no idea of the exact nature of her legal connections and obligations to the property. Whether a trust actually exists is unclear.
. . .
When he took a job as a state magistrate in the late 1990s, he filed an Alaska Public Offices Commission report that listed the owners of the property as three of his children and their interest in the property as a "trust.'' The property was at that time reported to be vacant. In the years that followed, Miller added additional children to the list of named owners, and changed the state of the property from a trust to an "ownership-trust,'' or an "ownership, trust.'' The property was reported to be a "rental'' in a 1999 report and a "rental-farm" in a 2000 report.

The land was purchased in 1996. Former owner Arnie Hrncir said he gave in to a low-ball offer from Miller because he really needed to sell. Hrncir didn't say how much Miller paid, but land in the Willow area was going cheap at the time.

Miller had been working for a year or so as an attorney at an Anchorage law firm, although in 1995 he'd signed a sworn statement that he was indigent. That claim allowed him to save $50 on a state hunting and fishing license; he got a license reserved for the poor for only $5.

Before purchasing the cabin, he and his wife, Kathleen, began work on a costly addition to their Anchorage home that more than doubled the assessed value of what had been a $93,100 house. And shortly after that, the Millers went shopping for their out-of-town hideaway.
. . .
On paper, the land Hrncir sold to Miller is in the name of "Bobbi Reed,'' trustee for The Wilmington Trust. Reed is an old friend of Miller's wife, Kathleen.

Reed lives in Anchorage, but tax statements are sent to her at an address in Fairbanks. The address is the post office box for the Law Offices of Joseph W. Miller.

In an Oct. 19 interview, Reed said the property is Miller's. Attorneys familiar with federal campaign disclosure laws say that if that is the case, Miller should have reported it on his Senate filings.

Wow. I am in awe. Miller sure does know how to game the system.
 
Senate candidate Miller's mysterious Mat-Su hideaway



Wow. I am in awe. Miller sure does know how to game the system.


It's unclear what exactly that mish-mash of guesswork and innuendo means.
It say Miller "owns or controls" the property, then it goes on to say that it is deeded to a trust (so Miller doesn't own it) and it further says that Miller isn't the trustee (so he doesn't control it). The story begins with major league spin. There is innuendo, but no evidence that the trust doesn't really exist. Based in the spin-content I think I'll ignore the hunting license claim.

So let's say Miller sets up the trust, makes himself a trust beneficiary, and has someone else as trustee. So what ? That puts the property outside of his control and ownership. He does not need to, and cannot legally, declare it as owned property. Maybe he can minimize some property tax that way. What is the big deal ?

It's not like a political crony bought the property next door and sold a piece below market (Obama's Chicago home). It's not likke he was given property in exchange for an IOU that no one ever intended to collect on (Clinton's WhiteWater).

Yes Miller's using aggressive tax management schemes. Itf you want to vote to close these schemes - I'll vote with you. If you want to label Miller as a cheat for using existing law to avoid taxes - that's just wrong.

Before we go there - how about all these multi-million book deals politicians of both parties get when the book will never net $100k. Legal but rotten to the core. The comfy jobs when out-of-office ? We have lots bigger problems than a sharp lawyer minimizing his tax burden.
 
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