One of my biggest problems with the �Occupy� movement is that I am not exactly sure who is in the 1%. Eileen Taylor, who appears in this decision by the New York Tax Appeals Tribunal, seems like a candidate. Her employer, Deutsche Bank, played a significant role in the housing bubble, and her career has continued to thrive. She has not lost total faith in the US housing market. Her investment advisor told her to keep her cooperative apartment on Riverside Drive in Manhattan and her vacation home in Valatie, Columbia County, New York for diversification even after she spent $2,000,000 on a fixer-upper in London. Her advisor was probably not a SALT (State and local tax) expert. It is very hard to convince the state of New York that you have abandoned your New York domicile, which is what she was trying to do. Here is the story:
In early 2002, petitioner was offered a larger, enhanced role as the COO for the institutional client group, where she would have direct supervisory responsibility over approximately 750 people, as opposed to her previous position as COO of global foreign exchange operations where she had direct supervisory responsibility over approximately 200 people. As with her previous position, petitioner�s new position had to be staffed in London and could not be handled from another location. Her new position was much more visible and prestigious within Deutsche Bank and enhanced petitioner�s career at the bank.
In 2002, petitioner began looking to purchase a residence in London. She was successful in finding a suitable residence and, on or about March 14, 2003, petitioner purchased what is described as a �terrace house,� including three floors and a garden patio, located in Kensington, London, for approximately two million dollars. After completing some renovations, including painting inside and outside, redoing the wiring and restoring the wood floors, installing a completely new kitchen with new appliances, installing a new bathroom, installing custom cabinetry in the dining room and living room, and new shades and curtains for all the windows, petitioner moved into this residence in June 2003
Petitioner owns two residences in New York State. The first, considered her �historic� domicile, is a cooperative apartment purchased in 1994 at a cost of approximately $410,000.00 and located on Riverside Drive, New York, New York. Petitioner�s RiversideDrive cooperative apartment consists of 1,700 square feet, and includes two bedrooms and a maid�s room. The second residence is a farm house purchased in 1997 at a cost of approximately $245,000.00 and located in Valatie, Columbia County, New York. Petitioner�s Valatie, New York, residence, described as a �vacation house,� consists of a four-bedroom farm house with a barn situated on 11 acres of land. The combined cost of these two residences was approximately $655,000.00.
Petitioner decided to keep her two New York residences, partly upon the recommendation of her investment advisor to retain these properties for investment purposes as part of her portfolio diversification. In testimony, petitioner described the London residence as a �home.� Petitioner�s financial circumstances and wherewithal are such that the ownership and maintenance of the two New York properties do not constitute an inconvenience or burden.
Frankly, it was being able to maintain the two New York residences without breaking a sweat that made me tag Ms. Taylor as a possible one per center. I had forgotten about Deutsche Bank�s role in the housing bubble. That brings up my other problem with OWS, Ms. Taylor seems like a really nice person. Although some of this might be self interested as she was trying to make a point I think there was sincerity in it:
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