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July 23, 2010

John Kerry, Never Met a “Sails” Tax I didn’t Like, Unless I had to Pay It Myself

Posted in: Government,Polls,Tax & Spend Liberals,Taxes,We the People,WTF

Ever wonder why Congress has a confidence rating of 11%? They earned it!

Massachusetts Senator John “I voted for it before I voted against it” Kerry seems to have finally met a tax he did not like. In this case its a “SAILS” tax, not a sales tax.


John Kerry, the artful dodger

According to the Boston Herald, Kerry has avoided a six-figure state tax bill on his new multimillion-dollar yacht by mooring her in Newport, RI. But of course Kerry denies any wrong doing. Think you or I would get the benefit of the doubt in a matter like this? It is obvious what the intent is by docking the boat in Newport.

But instead of berthing the vessel in Nantucket, where the senator summers with the missus, Teresa Heinz, Isabel’s hailing port is listed as “Newport” on her stern.

Could the reason be that the Ocean State repealed its Boat Sales and Use Tax back in 1993, making the tiny state to the south a haven – like the Cayman Islands, Bermuda and Nassau – for tax-skirting luxury yacht owners?

Cash-strapped Massachusetts still collects a 6.25 percent sales tax and an annual excise tax on yachts. Sources say Isabel sold for something in the neighborhood of $7 million, meaning Kerry saved approximately $437,500 in sales tax and an annual excise tax of about $70,000.

But of course it was a different story when a Republican did a similar thing. The sad reality is that the “life styles of the rich and famous” John Kerry know exactly how to skirt the tax code. While folks like Kerry inflict taxes on the “little people,” they have an army of layers and accountants to help them skirt those very same taxes. 

And state Department of Revenue spokesguy Bob Bliss confirmed the senator “is under no obligation to pay the commonwealth sales tax.”

But back in 2006, then-gubernatorial candidate Christy Mihos took some flack for avoiding some $23,000 in Bay State sales tax and $1,320 in local excise taxes by berthing his motor yacht in Rhode Island. But Mihos paid just $475,000 for his 36-foot vessel Ashley and readily admitted that he used the boat at his West Yarmouth summer home.

However, according to Bliss, if Kerry berths the Isabel in Massachusetts waters within six months of purchasing the boat, there’s a “presumption of use” and the Heinz-Kerrys would have to walk the plank and pony up to the Bay State. After six months, should the boat change its berth to, say, Nantucket, then it’s up to the state to go after them for the taxes, Bliss added.

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