IRS steps up probe of Miccosukee Tribe over gambling profits

The Internal Revenue Service has escalated its investigation into the Miccosukee Indians’ finances, demanding that the West Miami-Dade tribe hand over a mountain of internal records showing millions in allegedly unreported payments from its gambling profits to tribal members.

The IRS’ sweeping new action, which the Miccosukees are trying to stop in Miami federal court, seeks internal documents of the tribe’s gaming distributions during 2006-2010 as well as its council meeting records on tax matters from as far back as 1985.

The agency is demanding a long list of documents — from Miccosukee disbursement statements to check register reports, plus any tax advice from tribal lawyers and accountants. It’s part of an aggressive push to recover potentially tens of millions of dollars in back income taxes.

The tribe lashed out at the IRS.

“No longer is there even a pretense that the United States is not seeking to harass the Miccosukee Tribe and its members,” the tribe claims in court documents. Story by Jay Weaver here.

Little-known Miami-Dade commission candidate wants to 'legislate in Spanish'

Carlos E. Muñoz Fontanills, one of three candidates challenging Miami-Dade Commissioner Bruno Barreiro on the Aug. 14 ballot, wants voters to know that, if he gets elected, he plans to speak from the county dais in Spanish.

And it's not the first time he's run in part on that platform.

In 1996, as Carlos E. Muñoz, a Republican, he ran against Democrat Bob Menendez of New Jersey for U.S. Congress. The Cuban-American Menendez, of course, is now a well-known U.S. senator.

Despite living in New Jersey for more than 30 years after leaving Cuba, where he was a veterinarian, Muñoz Fontanills said, in Spanish, "I don't speak very good English." (His written English, he says, is decent.)  

Would Mack back Weldon? His campaign won't say

Asked if U.S. Rep. Connie Mack would support Dr. Dave Weldon in the off-chance of an upset in the GOP U.S. Senate primary, Mack campaign spokesman David James wouldn't bite.

"I would expect that under direction of your boss and Bill Nelson's Communications Director, Adam Smith, that these types of questions are going to continue until August 14. Ridiculous," he replied in an e-mail.

The reference to Times political editor Adam Smith is typical of the Mack campaign, which is stirring up its base by waging a public war on Smith and blocking other Times/Herald reporters who cover the race. Tensions escalated after the Times editorial board recommended Weldon over Mack on July 15.

Polls predict Mack will score a landslide victory in the primary, and face off against Democratic incumbent U.S. Sen. Bill Nelson, who's seeking his third term. Yet, so few people vote in the primaries, the results can be unpredictable.

Twitter: Britt_alana

Why is Sen. Bill Nelson reminding us of who he is?

Sen. Bill Nelson released his first campaign ad of the political season called "40 years." An alternate name might be: "Remember me?"

The ad, well produced and hitting all the centrist notes he likes to stress, is almost on par with an introductory ad from a political unknown, which is odd considering he has held office on and off for about, well, 40 years.

But there's a reason Nelson needs to remind people of who he is and what he has done: He has been shredded by about $7 million worth of negative ads from conservative third-party groups that want Republican Rep. Connie Mack to win and help put the Senate back in GOP hands. Nelson clings to a slim lead in the polls. The race is a toss-up right now. If it wasn't, Nelson would be saving his money.

Don't expect the nice guy stuff to last, either. This is the first ad from Nelson. He has bought at least two weeks of air time and, perhaps, more. He's spending at least $1 million and could triple that. And, at a certain point, he's going to start tearing away at Mack (stuff we told you about yesterday).

Here's the spot

Rubio proposes Olympic tax loophole

It's doubtful that, say, Michael Phelps needs a tax break, but Sen. Marco Rubio, R-Fla., announced Wednesday he was introducing the Olympic Tax Elimination Act, which would exempt U.S. Olympic medal winners from paying taxes on their medals. 

His office notes that Olympians who win medals also receive honorariums: cash payments of $25,000 for gold, $15,000 for silver and $10,000 for bronze. We're checking with the IRS to determine whether there's a special tax for Olympians, or whether it all gets taxed as income. And whether the winners of the Nobel Prize, for example, also face similar taxes.

Rubio's spokesman said that Americans for Tax Reform, headed by Grover Norquist, brought the idea to the senator's attention.

"Our tax code is a complicated and burdensome mess that too often punishes success, and the tax imposed on Olympic medal winners is a classic example of this madness," Rubio said in a press release. "Athletes representing our nation overseas in the Olympics shouldn't have to worry about an extra tax bill waiting for them back home."

"We need a fundamental overhaul of our tax code, but we shouldn't wait any time we have a chance to aggressively fix ridiculous tax laws like this tax on Olympians’ medals and prize money," he said. "We can all agree that these Olympians who dedicate their lives to athletic excellence should not be punished when they achieve it."

In a play on the president's "you didn't build that" comment, Rubio tweeted this: "Olympic champs shouldn't have tax on medals. Unless@barackobama believes they didn't earn them, someone else did that."

Mitt Romney, however, had a pretty Obama-esque statement about Olympians not doing it on their own. Here's what Romney, who helped rescue the 2002 Salt Lake City Olympics, said in his opening remarks: "You Olympians know, however, that you didn’t get here solely on your own power. For most of you, loving parents, sisters or brothers encouraged your hopes. Coaches guided. Communities built venues and organized competitions. All Olympians stand on the shoulders of those who lifted them."

From Rubio's office: "The Olympic Tax Elimination Act, would amend the Internal Revenue Code of 1986 to eliminate the tax on Olympic medals and prize money won by United States athletes. If enacted into law, the gross income of Olympic athletes shall not include the value of any prize or award won by the taxpayer in athletic competition in the Olympic Games. This would apply to prizes and awards received after December 31, 2011."

Here's a link to the bill.

PPP: Florida Senate race tightening, Nelson 45%-Mack 43%

From Public Policy Polling

PPP's newest look at the Florida Senate race finds that the bombardment of negative advertising against Bill Nelson is taking a toll. Only 35% of voters approve of him now to 40% who disapprove, and in a hypothetical contest with Connie Mack IV he leads just 45-43.

This is PPP's first Florida poll using likely voters so it's not a direct comparison to our previous surveys. But either way Nelson's lead is down quite a bit from margins of 10 and 13 points the previous two times we looked at the state this year.

Belittled state pension fund shows investment returns dip in 2012

The Florida State Board of Administration, the investment manager of the state's multi-billion dollar pension fund, announced Wednesday that earnings have stalled for the state-run account that holds the retirement earnings of thousands of state and local government workers.

After two years in which the fund has had back-to-back earnings of 14 percent and 22 percent, the fund returned a .29 percent on investments in the year ending June 30, 2012 and ended the year with a net asset value of $122.7 billion that reflects payments of $5.9 billion last year to retirees and transfers.

Preliminary performance figures for the fiscal year ending June 30 "show the FRS Pension Plan beating its benchmark by 77 basis points while earning a positive .29% return,'' according to the board. "A basis point is equivalent to 1/100th of a percentage point."

Tracking lobbyist money in the Burgin-Lee Senate race

In the Republican state Senate primary in Hillsborough County between Rep. Rachel Burgin and former Senate President Tom Lee, a cadre of Tallahassee lobbyists has taken sides. Lee is the candidate who has the support of Senate GOP leaders, but Burgin is also attracting some support from lobbyists. This list is not scientific, but it does provide a snapshot of which lobbyists are where in this contentious and closely watched race (a couple of lobbyists have hedged their bets and given the $500 maximum donation to both candidates).

For Rachel Burgin: Louis Betz, Ron Book, Jack Cory, Cynthia Henderson, Jim Horne, Bob Levy, Raymond Maury, Larry Overton, Dale Patchett, Laura Pierce, Sean Pittman, Steve Shiver, Guy Spearman and Susie Wiles.

Book, Cory, Levy and Spearman are long-time fixtures in the Capitol's lobbying world; Horne is a former state senator from Orange Park; Patchett is a former House Republican leader; Wiles was Gov. Rick Scott's 2010 campaign manager and now works with the (Brian) Ballard Partners firm. Shiver, who worked on Lee's unsuccessful 2006 race for CFO, noted that he is a Lee supporter and wrote a $500 check to Burgin's House campaign before she announced for Senate. (Burgin moved the money to her Senate race, as the law allows).

For Tom Lee: Sebastian Aleksander, Louis Betz, Travis Blanton, Michael Corcoran, Jorge Dominicis, Reggie Garcia, Richard Gentry, Gary Guzzo, Rich Heffley, Chuck Hinson, Nick Iarossi, John Johnson, Ron LaFace Jr., Rhett O'Doski, Larry Overton, Ron Pierce, Robert Reyes, Jim Smith, Frank Tsamoutales and Gerald Wester. 

Partners Johnson and Blanton have built one of the Capitol's busiest lobbying practices, as has Corcoran; Dominicis is a top executive of GEO Care, a GEO Group subsidiary; Garcia is a Democrat who does work for the trial bar; Heffley is a lobbyist and Republican strategist; Pierce served as a legislative aide to Lee when he served in the Senate; Smith of Southern Strategy Group is a former attorney general and secretary of state. 

Through July 20, Lee held the advantage in hard-dollar fund-raising, with $235,000 compared to Burgin's $128,000. In a growing trend in Florida legislative races, much of the big spending in this race is being done by third-party groups, not the candidates themselves.    

-- Steve Bousquet

Latin pop star Marc Anthony to open Obama office in Miami's Little Havana

From a press release:

MIAMI – Thursday, Aug. 2, multi-platinum Latin music artist Marc Anthony will join OFA-Florida to celebrate the grand opening of a new Little Havana office with local supporters and volunteers. The office will serve as a home base where volunteers for President Obama and other Democrats will connect with voters about the President’s accomplishments for Floridians and his promises kept since taking office.

Rubio's PAC to support GOP Senate candidates across the country, including possibly Florida

Sen. Marco Rubio, R-Fla., said his political action committee will be getting involved in several key Senate races across the country this fall -- but first he'll take eight or nine days off with his family when Congress begins its recess next week.

Rubio, in an interview Wednesday morning with Florida reporters, said his involvement might extend to Florida, where Sen. Bill Nelson, D-Fla. faces the Republican winner of the Aug. 14 primary. Rubio said he has a good working relationship with Nelson, and won't explicitly campaign against him. "You're never going to hear me say anything bad about Senator Nelson," he said. But Rubio did say he'd like to see Sen. Mitch McConnell, R-Ky., as the Senate majority leader, and said the only way to do that is to elect enough Republicans to take charge of the Senate.

Rubio also said he's downloaded the "Mitt's VP" iPhone app released Tuesday by former Gov. Mitt Romney's presidential campaign. The campaign pledges the app will be the only way to "get the exciting news" about Romney's VP pick "before the press and just about everyone else."

"I think it's pretty cool. I think it's a good way to announce it," said Rubio, who will be campaigning on Romney's behalf tomorrow in Orlando. Rubio was mum on any other questions surrounding the pick, though. And as for the question whether he has enough experience to be vice president? "I get more experience every day," he said.

And as he noted, there are plenty of other rising stars now being called "the next Marco Rubio," including tea party favorite Ted Cruz of Texas. The Cuban-American beat Lt. Gov. David Dewhurst last night in a pricey Republican primary fight for an open Senate seat in Texas.

Rubio declined to criticize Romney for releasing only two years of tax returns. "I honestly don't think it's that big of a deal," he said.  Rubio himself released nine years of returns during his 2010 bid for office, and said that if the Democrats pushing for more disclosure want it, they should pass laws requiring candidates to release their returns. (Few members of Congress release returns.) He was lukewarm on the idea, himself, saying he didn't think additional disclosure would prove much more beyond what candidates must release in personal annual financial disclosure reports.

Rubio was also again critical of the president's announcement earlier this summer that his administration would act to prevent the deportations of hundreds of thousands of undocumented immigrants who were brought to the United States illegally as children. Those young people won't vote in November's election, but support for their plight is seen among many Latino voters as an important sign of respect for the wider Hispanic community.

Rubio said he feared it would be a "bureaucratic nightmare," and warned it would "poison the well" for future attempts at a legislative solution. A recent poll showed that that Florida voters, particularly in immigrant-rich pockets of South and Central Florida, overwhelmingly say they support comprehensive immigration reform that would give people living in the state illegally a pathway to citizenship.