Records show Detroit's emergency manager has tax liens on his Maryland home

[LovingA2andMI]

Source: The Detroit News

Detroit — The man charged with fixing Detroit's faltering finances has been hit with four liens in four years from the state of Maryland for unpaid taxes, records show.

State records show Kevyn D. Orr, who was appointed emergency manager on Thursday, has two outstanding liens on his $1 million home in Chevy Chase, Md., for $16,000 in unemployment taxes in 2010 and 2011. Two other liens of more than $16,000 in unemployment and income taxes were satisfied in 2010 and 2011, records show.

Orr said he didn't know anything about the liens when shown records of them Friday morning by The Detroit News.

"I don't know what they are," Orr said, as his new boss, Gov. Rick Snyder, sat next to him in The News' offices. "That's surprising to me, to be honest."

Late afternoon, a spokeswoman for Snyder — who appointed Orr to the $275,000 per year post Thursday — said Orr spent the day researching the issue and would pay "in full ASAP." The Washington, D.C., bankruptcy attorney blamed the problems on an outside accountant hired to file his tax returns, said Sara Wurfel, a Snyder spokeswoman.


From The Detroit News: http://www.detroitnews.com/article/20130316/METRO01/303160352#ixzz2NjLFGDcu

Read more: http://www.detroitnews.com/article/20130316/METRO01/303160352#ixzz2NjLFGDcu

---

How embarrassing for Gov. Snyder as his first major test of his new dictator law P.A 436 of 2012 and he FAILED to vet the appointee's finances....who would be handling finances for Michigan's largest City. Kind of John McCain, Sarah Palin like you know....

[LovingA2andMI]

1. Also, Kevin Orr should have been able to pay his tax liens, considering what he said....

On Thursday.....

"I.U. News & Talk ?@IUNewsTalk
#EFMDetroit Orr resigned from his firm yesterday. "I'm leaving my comfortable existence as a partner in a law firm," Orr."

Guess it was not so comfortable after all?

[louis-t]

2. This is a guy who swears "no selling off assets or

union busting". I promise you, he will do both. Snyder pretended he was seriously looking at "whether to appoint an EFM" when we all know his mind was made up before he was even sworn in.

[LovingA2andMI]

3. Well, Orr said that everything was on the table, on Thursday at the Press Conference...

I.U. News & Talk ?@IUNewsTalk March 14, 2013
#EFMDetroit "Everything is ON THE TABLE", Said Orr.

So I would not be so sure about Orr not dismantling union contracts, selling the water department, D-DOT and Belle Isle. Also, if Orr and Snyder talked before his appointment, confirmed by this Statement:

I.U. News & Talk ?@IUNewsTalk March 14, 2013
#EFMDetroit "I sat with the Governor and had some questions," Said Orr.

Why the heck did Orr's Tax Liens not come up in these "financial" type conversations?

[Festivito]

4. No. He made no such promise. He weasel-worded his way past the questions.

"He has to look at the finances first." Or, something like that.

Our to be future water-lords are ready to promise and pay a lot for this delivery of Detroit's water system into their greedy little hands.

[pscot]

5. The GOP is a vast, criminal conspiracy

[24601]

15. Orr is a Democrat. The basis of the Tax Liens relates to unemployment taxes for household

employees. Perhaps the GOP framed him? (No evidence for that, just wild speculation.)

[Octafish]

39. GOP hired him.

Snyder is the Koch's man in Michigan.

[MichiganVote]

6. Of course he does. How do we know? Snyder appointed him that's how.

[llmart]

7. How do you not know you have liens on your house?

Please explain that to me.

[LovingA2andMI]

11. First....

I don't have to explain anything to you as I'm not Kevyn Orr State appointed Emergency Financial Manager of the City of Detroit. Second, we read and collect our mail. Any other questions?

[llmart]

12. I hope that was sarcasm on your part....

and not anger directed at me or my post. I guess I was asking a rhetorical question in response to the statement that Orr made about not knowing he had liens on his house.

[LovingA2andMI]

13. My apologizes...

I thought you were referring the question directly to me.

[llmart]

21. Nope.

I would never do that to someone from AA

I don't any longer, but I used to work in AA. I won't rub it in that the illustrious (I use that term sarcastically of course) Dickhead Snyder is from AA.

[LovingA2andMI]

23. Well technically...

He's from Superior Township near Ann Arbor and we are so shamed he's associated with our community, county and entire State of Michigan for that matter.

[llmart]

24. I did not know that.

The media always touts him as being from Ann Arbor and doesn't he own a house in Ann Arbor?

Maybe it didn't sound upscale enough for him to say he was from Superior Township. That's a bit redneck for him.

No offense to good people from Superior Township because I drove through there every day on my way to work just because the ride was so peaceful and beautiful.

[former9thward]

25. Reading and collecting mail will not help.

If someone puts a lien on your house there is no duty to notify. It would come up if you tried to sell the house.

[tabasco]

32. LOL! But the multiple tax bills that arrive before the lien

is sought certainly do come in the mail.

[former9thward]

33. Maybe, who knows?

Orr claims he had some accountant doing his taxes. Maybe that person screwed up. When Tim Geithner was found to not being paying his taxes he blamed Turbo Tax or something. Some people bought that.

[tabasco]

36. And??

You trust some dumb shit to do your taxes -- you are responsible.

[former9thward]

37. Who says he is not responsible?

Does that mean he should be lynched for the high crime of having a lien on his house? Look at your money. It has the signature of someone who did not pay their income taxes. We seemed to get over that.

[Sgent]

42. Not neccessarily

the liens are for income taxes and unemployment taxes (I assume he owned a business), thus the mail may have been delivered directly to the accountant or attorney.

Additionally, when your in a fight about amount owed (esp. with state tax authorities), they will lien any assets you have on day one even if the liability isn't cleared up until months later. I know people who have had $26 dollar liens placed on their property because they owed that in penalty due to under-withholding of state taxes. The lien was on their property before they even received a bill.

[deurbano]

17. I'm not proud of it, but know it's possible (from personal experience).

In San Francisco, we didn't realize we had a lien on our house (as a result of not paying for garbage/recycling in a timely manner-- and not because we didn't have the money, which obviously makes it more inexplicable) until we were trying to refinance... or something. (This happened more than once, since we take a while to learn from our mistakes.... and I think it was just a matter of paying the overdue bill, and then the lien was lifted, which apparently wasn't enough of a penalty to get us to change our errant ways more quickly.)

BUT, we are extremely disorganized, and with our weak financial planning and organizational skills, I would definitely NOT recommend appointing us to "fix" the finances of a major (or minor) American city. ("Physician, heal thyself"... or "Pot, meet Kettle," if you will.) Our credit rating has been rehabilitated since the advent of automatic, direct payments from our checking account, and for payments we can't make using that method, we have alerts that go off on our iPhones the day before the payments are due. (Plus, my husband is taking Vyvanse, now...)

[kattycat]

8. corruption is the name of the game

[erinlough]

9. They want him to fail.

They want a black face to cover who is really pulling the strings, the Koch Brothers. When it fails who do you think will get the blame? Not Snyder or the Kochs, this guy. By then it will be too late for the citizens of Detroit and in fact all of Michigan. These guys are out to take all they can get out of Michigan and all of the other rust belt states and then they will be gone, or on to other states. This is a hostile takeover, nothing less and they don't care a whit about us citizens.

[TygrBright]

18. dingdingding..... We have a winner! n/t

[AtheistCrusader]

10. Fox/henhouse.

Or... maybe Arsonist/firehouse.

[valerief]

14. But how does that vetting hurt the GOP? Not a whit. nt

[madville]

41. Did Geithner hurt the Democratic Party?

Not really, it was pretty funny that someone over the IRS couldn't figure out how to do his taxes correctly, it was that darn Turbo Tax's fault lol

[Fire Walk With Me]

16. You're in A2, huh? I hope it's still as wonderful as when I used to pass through in the early 80's.

Schoolkid's records, Wazoo records...tons of superb vinyl shops, beautiful area, the yearly art fest...

[LovingA2andMI]

20. Yep very near this wonderful town

And looking forward to another year of the Art Festival, Canoeing in Gallup Park and Riding my motorcycle up and down Geddes Road smelling the wonderful aroma of Spring trees coming out to bloom....

[blm]

19. I'm sure he WAS vetted and offered a handsome salary to be the 'dark' face of ALEC

on this manufactured 'crisis' by another GOP governor.

[LovingA2andMI]

22. Not sure about the vetting....but then again....

Maybe Rick and ALEC told him they paid the "media" in this town to not report the story and lied to him. I would not be surprised. As for the handsome salary, its' $275K per year, plus per diem and benefits. Insulting amount to pay a man who claim he left his "comfortable existence" to be Detroit's Dictator in Chief but yet, can't pay his property taxes....

[former9thward]

26. These were not property taxes.

[LovingA2andMI]

27. See we need to be technical, are you Orr's buddy or something...

Technically it was (from the article of course) a lien for NOT paying unemployment TAXES for his Nanny and for NOT PAYING TAXES in 2008, which were LATER satisfied.

The unemployment taxes for the Nanny are still UNPAID, along with taxes for the 2010 & 2011 tax years. Also, if one can have a "comfortable existence" as he put it (read up) what is the problem with not paying ones TAXES timely?

"Another for $9,409 in income taxes for the 2008 tax year against Orr and his wife, Dr. Donna Neale, was entered on Aug. 11, 2010, and satisfied on Oct. 3, 2011.

Two other liens over unemployment taxes — $6,985 for the 2010 tax year and $9,201 for the 2010-11 tax years — are outstanding, said Frost, who reviewed the records.

From The Detroit News: http://www.detroitnews.com/article/20130316/METRO01/303160352#ixzz2Nl7n1Oqx"

Back to a lien. You noted he had NO IDEA he could be facing a lien and/or notification that a lien was placed his property for not paying taxes. I disagree -- From Prince George County, Maryland website:

"TAX INFORMATION

Ordinary taxes, which include taxes on real property, are due and payable without interest as of the first day of July in each taxable year. Under the annual payment schedule, the taxes are overdue and in arrears on the first day of the succeeding October. Under the semiannual payment schedule, the first installment becomes delinquent as of October 1st and the second installment becomes delinquent as of January 1st. Interest accrues at the rate of one and two-thirds percent (1-2/3%) per month or any fraction of a month until paid (Section 14-603 and Section 14-703). Interest charges are posted on the first day of each month beginning October 1st until paid.

Any unpaid, State, County and city taxes on real property constitute a lien on the real property from the date they become due until paid (Section 14-804).

It is mandatory that the Collector of Taxes sell, at the time prescribed by local law, any property on which taxes are in arrears (Section 14-808).

Thirty days or more prior to the date property is first advertised for tax sale in a newspaper, the Collector is required to mail a statement to the person who last appears as owner on the Collector's tax rolls. This statement contains the owner's name, the amount of taxes due and a notice that if the taxes are not paid, the property must be sold. For this purpose, Prince George's County prepares delinquent tax bills to which the required notice is attached (Section 14-812).

You can read the rest here. Have a wonderful night!!!


One more thing:

If the lien is a Federal Tax Lien, the IRS makes many, many notifications and has various types of payment arrangement plans available with the party prior to placing a lien on personal property of the debtor.

This process is explained at the IRS Website ---> http://www.irs.gov/taxtopics/tc201.html

So to say Orr was NOT AWARE a lien could be placed on his property for due tax bills is a fallacy at best....

Done now!!!

[former9thward]

30. Did you get so excited when it was found Tim Geithner had not paid his taxes?

Of course when he was nominated to be Treasury Secretary he decided maybe it was time to "correct" his returns. To answer your question, no I'm not anyone's friend. Just trying to correct misinformation on the internet. A never-ending task.

[Sunlei]

35. He said he wasn't aware there was another tax due. A lien comes first, it's automatic.

The Gov always attaches a lien,so people can't sell the house without paying the tax due. It's not a large amount and nothing that would make a person not a good city manager.

[bloomington-lib]

28. kick

[SunSeeker]

29. Well that explains why Orr agreed to sell his soul. nt

[lib2DaBone]

31. Hard to tell if you're reading The Onion .....

Little difference between so-called News in America and the Onion.

[Sunlei]

34. Why are they afraid to do an audit of detroits books?

[Psephos]

38. That makes him qualified to be Treasury Secretary. n/t

[madville]

40. First thing I thought of lol

It's all funny at this point, rich people use the rules to their advantage "oh I'll pay that later when I have to"