3rd\SE Quadrant: The Approval Matrix
By Jen Chung\Gothamist
Last Sunday [08-31-08], the NY Post raised questions about income from the villa, which Rangel allegedly doesn't consider a second home but an investment, being missing from his 2006 and 2007 returns. Lawyer Lanny Davis said Rangel would file amendments to his returns and that he did not believe Rangel would need to pay federal taxes. And apparently Rangel had no idea about all of this until the Post's story!
According to Post, Davis says income from the villa (which can be rented for up to $1,100/night) "is pooled, with 47 percent of it divided among the owners. Cash from individual villas doesn't flow directly to their owners." Davis referred to the Post cover, with an unflattering photograph of Rangel sunning and the headline "CASH COW," "It's not a cash cow, by any stretch of the imagination. It walks, talks and feels like a time share... It's certainly not generating any cash."