What do the Koch brothers, Vegas extraordinaire Steve Wynn and Angeleno Geoff Palmer have in common? Besides billions and a knack for helping Republican candidates, they all like to keep some of their most valuable assets offshore, far from Uncle Sam’s reach.
Real estate magnate Palmer, whose Faux-talian megacomplexes near freeways in Los Angeles are often criticized for their appearance and lack of affordable housing, incorporated a company called Malibu Consulting in the sunny Bermuda coast. Malibu now claims ownership of his private jet, The Guardian reported.
Palmer, who publicly said he doesn’t “like paying taxes,” transferred ownership of the Boeing 727-21 to the island in 2007. Unlike Los Angeles County where it was previously registered, Bermuda’s laws allow owners to bypass property taxes on aircraft while also remaining anonymous.
Leaked documents reveal that Palmer’s company made moves towards taking out a mortgage on the plane in 2009. In the same documents, his advisers tell potential clients they can help avoid “tax leakage” through stamp duties and other charges.
“I did not use Malibu to avoid taxes,” Palmer said in an emailed statement to the Guardian. “For a host of reasons, mainly for safety, maintenance and convenience, we are better registered in a foreign domain.”
The infamous real estate developer has an estimated personal fortune of $2.1 billion. He is notorious for some of his trouble-ridden construction and his stance against affordable housing, which might be causing him more distaste among largely liberal Angelenos than his $5 million contribution to Trump’s presidential campaign did. [Guardian] – Natalie Hoberman