McCains Defaulted On Home Taxes For Last Four Years, Newsweek Reports

** UPDATE BELOW **

Newsweek is set to publish a highly embarrassing report on Sen. John McCain, revealing that the McCains have failed to pay taxes on their beach-front condo in La Jolla, California, for the last four years and are currently in default, The Huffington Post has learned.

Under California law, once a residential property is in default for five years, it can be sold at a tax sale to recover the unpaid taxes for the taxpayers.

The McCains own at least seven homes through a variety of trusts and corporations controlled by Cindy McCain.

UPDATE: Newsweek's story is now online. The report notes that the McCains paid the bulk of their back taxes yesterday, but continue to owe additional taxes:

When you're poor, it can be hard to pay the bills. When you're rich, it's hard to keep track of all the bills that need paying. It's a lesson Cindy McCain learned the hard way when NEWSWEEK raised questions about an overdue property-tax bill on a La Jolla, Calif., property owned by a trust that she oversees. Mrs. McCain is a beer heiress with an estimated $100 million fortune and, along with her husband, she owns at least seven properties, including condos in California and Arizona. [...]

Shortly after NEWSWEEK inquired about the matter, the McCain aide e-mailed a receipt dated Friday, June 27, confirming payment by the trust to San Diego County in the amount of $6,744.42. County officials say the trust still owes an additional $1,742 for this year, an amount that is overdue and will go into default July 1. Told of the outstanding $1,742, the aide said: "The trust has paid all bills shown owing as of today and will pay all other bills due."

Comments

[rcpmac]

McCain felt the money was better invested in speculative oil futures. The profits exceed the tax penalties X 10.

[shanedr]

Evidently the McCain's feel their taxes are too low and wish to add late penalties to make up for the low tax bill.

[tozo]

I am suprised at the high level of activity for the republictrolls on the HP. I thought these folks had sauntered off to regroup for the next election.

Progressives will need to be vigilant for this election cycle. the repugnuts are going to be out in full force.

It's pretty clear that while this is a gotcha issue, it is not relevant to the election issues. When assessing a candidate, there should multiple levels of review. Not paying taxes is definitely something to consider. It doesn't decide the election, but it shows that John doesn't handle his finances, he doesn't own much of his own stuff, he is obviously a passenger on the cruise ship that his wife's finances are and lastly he doesn't much care to worry about details. That doesn't make him an axe murderer, but it does crystallize a similar behavioral trait that we have been unfortunate to witness in the excercise of power within the white house.

Can't we be civil anymore?

[demigod]

NO - when I get my property tax bill, I have to pay it ! I can't just blow it off, I'd lose my house. And I don't have six others I can go to. l'm not so stinking wealthy that this matter doesn't even show on my radar screen - this is exactly part of the TWO AMERICAS that John Edwards used to talk about. John McCain CANNOT know what average Americans care about if he doesn't even know that his beach house hasn't been paid up for four years. Every American should be OUTRAGED at this. I AM !!!!

[dzymzlzy]

Precisely why he doesn't know, or care, what gas costs.

[Yuma]

Me too. They will take my house and sell it. My property tax is so high and I have to save $525.00 every month to pay for it. Almost 20 years, I paid more than $100.000.
What did I get it?
Nothing!

[lizr]

Excellent point.

The rich are coddled and the rest of us are thrown out into the street!

[wdw101]

After you blather on like you just did, then you ask for civility. Using your logic, Cindy owns nothing either. the trust owns everything. It is a good method to protect assets. Is she a passenger also.

[TJC]

This issue brings up the following questions:
Can McCain run a tight ship? Probably not as the priveleged pay no attention to price, especially when someone else is paying for it. Borrow and spend also doesn't work.
Are the McCains being as forthright as we are expected to be with out taxes? I doubt it. Doesn't matter how busy they are. That county tax assessor has probably sent the McCains a notice every month for the last four years. How can they or their accountant miss that? I suspect more will be revealed.

[PoppyPiru]

In LA County they don't send you a notice every month if you are behind in property taxes, they hide it on your semi-annual tax bill so you won't notice, then they can continue to charge interest and penalties.

One of my tax payments was lost in the mail and I didn't know about it for 6 months!

I don't know if they operate that way in San Diego County.

[Larry of Corrales]

We always knew McCain was against taxing the rich. We just never knew his solution to this was to just not pay his taxes. You or I would already be in jail for this. By the way, I would question whether the property taxes on a beach front condo in LaJolla would be that low. Isn't LaJolla one of California's upscale communities?

[Redrover666]

You could find all the answers to your questions and suspicions were you to READ THE FREAKIN ARTICLE!!!

[dzymzlzy]

Did YOU read the article? No, I don't think you did because the article mentions nothing about why the amount is so low.

[ccpostman]

Do you know how to read???

Have you heard of Bush's "No child left behind". I think you got left behind dude.
I'm guessing you live outside of California?

AGAIN, there is NO reference to California's Prop 13 in the article. Please have someone re-read it for you.

Also, prop 13 is not a "Get out of Jail Free" card.

Or in your case a "I don't have to pay my property taxes" card.

Do you know why prop 13 was created and who Howard Jarvis was???? I seriously doubt it.

[mccabe49]

Larry from Corrales. Corrales NM? I am in Corrales

[bmsrosmuc]

still waiting to see this story on one network's news broadcast or at the very least on one of their websites, like I said still waiting, but not holding my breath!!!

[VOTER]

Same!

Nothing - not a word!

[masha2008]

clearly, msm is soft on mccain.

[260Parkway]

I'm not surprised that Faux News or MSM have refused to discuss it. Had this been BHO Fox would have had this the major headline of every newscast and political talk show. Even war heroes and prisioners of war are expected to pay their taxes. This tells me these are really CHEAP people. Cindy McCain is sitting on millions of dollars and still won't pay. I can envision them using paper plates in the White House.

[mccabe49]

You won't see it they love ole Teflon John. Nothin' sticks to this guy. Could you imagine if this had been Obama. It would be on for 2 weeks 24/7

[motamanx]

Well. He's a maverick, remember?
And mavericks can do anything and be applauded by the complacent media for it.

[speedingpullet]

Dan Abrams calls him 'Teflon John' - because this kind of stuff never seems to 'stick' in the MSM ;-)

And what a hard life it must be to own so many properties that you can't keep track of the taxes on them all...

[luvangelHussein330]

Hummm...so Obama who pays his taxes on time for one home is the elitist in comparison to McCain who can't seem to pay his on one of seven homes? Are we sure he is right for the country. Matter os of finances seem to be his weak point. First he bankruptds his campaign, then his campaign funding to recover may not be leagal, he calims to not know much on economics, and he panders the American public with economic gimicks...

[didleijoe]

LOL. Very nice observation.

[Redrover666]

Elitism as it pertains here has nothing to do with how much money is in their checking accounts. You on the far left hate rich people and confuse the two. One may very well be rich and communicate and identify with those less fortunate.

However, an elitist, is someone standing at a University gathering and telling the students that if they don't stay in school the could end up in the military. Or caught on tape at a private get-together referring to small town Americans as ignorant, bitter, gun toting, bible hugging xenophobes.

[marylandtravelinman]

Wow, the republican's can convince the masses of anything, as evident by your post. Thanks for the laugh, "one may very well be rich and communicate and identiy with those less fortune." Very funny. I guess that is why the rich continue to get richer with your party and the poor get nothing but what trickels down

Good Bless Enron... I mean America

[ccpostman]

You sure don't have worry about being a elitist.

From what I'm reading you have never been on a university campus.

[sisterdebmac]

"However, an elitist, is someone standing at a University gathering and telling the students that if they don't stay in school the could end up in the military. Or caught on tape at a private get-together referring to small town Americans as ignorant, bitter, gun toting, bible hugging xenophobes."

Truth hurts, huh?

[masha2008]

you are exactly right! ii wouldnt entrust running of the country to someone who doesnt even know how to use a computer. the guy is incapable of anything but townhall talk.

[catzoned]

I don’t really believe we can hold John responsible for the assets that are not his and have no control over. All I know about taxes is that they have to be paid in a timely manner or trouble will ensue. I do know that some taxes help maintain infrastructure. John says that climate change is an issue he cares about and wants to address. I do not know how his wife cares about the issue, if at all. All I can say is that seven residences leave a pretty large carbon footprint. Maintaining utilities on seven houses isn't contributing to the cause and blows off credibility on this issue out of the water. And let's not forget that at least his wife would qualify for Bush tax cuts to the weathy already. And, I'll bet their income is in a tax sheltered account as well. So they are using vast resources and not paying their fair share for them and it's not ecologically friendly. At least pay for what taxes you have, folks.

[masha2008]

what? not hold him responsible for taxes on properties they own? and dont give me that the properties are owned by the trust etc. this is within his purview as head or co-head of the family. if he cant get his house together, imagine what can go on in the country and mccain disavowing any responsibility for it. and a lot can go on especially with so many special interests riding his coat tails. just phil gramm (author of enron loophole) on his side is scary.

[timthemedic]

So apparently what we can learn from his staff is that

a) he is qualified to be president from day one

but,

b) he has no problem having incompetant people supervising his trust.

Yeah, thats the guy I want in office - one who can't even keep his personal affairs in order. No thanks.

[Redrover666]

As apposed to a candidate that associates, admires and calls his mentor a lunatic, raving bigot.

[oberon123]

Jeremiah Wright is not Barack Obama's mentor. And even if he was, being a leader means doing the right thing, even if that leads to calling your mentor a lunatic, raving bigot. But i guess that would be a concept alien to a right wingers like you. BTW, that 666 at the end of your name suits you nicely.

[thebirdstheword]

Did you learn English yesterday? Monkeys clanging on keyboards are more eloquent.

[masha2008]

as opposed to a candidate who through excellent organization beat the frontrunne­r/clintons­. america under mccain would be a clear mess of mismanagement. mccain cant even manage his own affairs.

[mccabe49]

lol the word is opposed. this was no typo the A on the keyboard is miles from the O you really aren't too bright are you redrover

[Strain]

Don't blame HP, it's just relating a story that appeared in Newsweek. Since most of us don't understand the rules and regulations of trusts and how taxes are applied to them, let's not all jump on the McCains (and NO I am no fan of "dingleberry" McCain). I would think that Mrs. McCain is extremely busy, what with the campaign and all. She should be raising hell with whom ever is supposed to be taking care of those trusts.... a business manager/manager? Fire them, take care of it herself. Think of the money she'll be saving and how much of it she could give to local schools and libraries. Wouldn't that be wonderful? Oh yeah? Well I can dream can't I?

[catzoned]

It's a wonderful dream and libraries need all the support they can get. But let us not forget that libraries are also funded by tax dollars as well. And of course this tax oversight will be blamed on the peons. Support your local libraries and pay your taxes.

[masha2008]

then it;s clear that neither of the mccains are good managers. they cant even take care of their own affairs. a president has to be a good manager. if things like these fall through the cracks, imagine if he becomes president, what things can go the same way. age doesnt mean competence.

[SurrealPumpkin]

For 4 years Mrs. McCain is too busy to notice the flutter of past-due tax notices?

[zoozey]

Yeh, just like her servants that post "her recipes" to her website.....just can't get good help, anymore, huh???

[Candyx]

boy oh boy!!! let this have been Sen. Obama and the sh*& would have hit the fan. This would be all over the media! Again, the main stream media has failed us in complete fair coverage of these two candidates. Why would we think anything different! And McCain don't you have people keeping your finances in order? If not, are you going to run the country this way? My goodness America wake up!!!

[Danijo]

You are absolutely right, if this was Senator Obama that didn't pay his taxes? WOW, they would never stop talking about it. I don't care about who's in charge of the trust. I know county auditors want their property taxes, not everybody in America is an idiot. FOUR years went by and not one payment...I don't think so.

[venicesurfer]

lame story. im sure they just lost track. wasnt that much. wasnt like they were trying to cheat the system. i knew this story would quickly die.

[jpginla]

Yes, I am sure that they are not at all out of touch with the many millions of voters who also own multiple vacation homes across the country - so many that they can't be expected to keep track of all of their obligations. Yes, I am sure you are right. Now that I think about it, government should be made much smaller so that it is not so easy for the government to come after you in such an unfair manner. I mean, property rights shouldn't entail having to pay for services and make a contribution to communities to which you belong. And not only that, but all that information released to Newsweek violated the McCain's right to privacy, didn't it? That is just wrong...

[SurrealPumpkin]

LOL

[readyfornewleadership]

they were behind for four years. that isn't an oversight. they are lucky it didn't go to five years and have it sold for back taxes. inept!

[pupbayer]

The Newsweek article was online before today. I guess they didn't want you to know and figured you would just accept what you were told and not check.

[Mojane]

McCain's tax cut program.