Monday, January 24, 2011

As much as it pains me, I gotta say Rahm is right this time.

The Illinois court has ruled that Rahm Emanuel cannot be on the ballot for mayor of Chicago because he was not a Chicago resident for the prior year. As much as I dislike the man, this will go to the Illinois Supreme Court, where I am confident Emanuel will win. And here's why...

Under the law there are three types of residency. The first is "transient", which is the type residency you have as you pass through, or vacation. The second is "temporary", the type that involves living somewhere for more than 6 months, regardless of how long you actually stay (Emanuel in D.C.). You can live somewhere for 50 years and still be a temporary resident under the law, because of the third, and most important type of residency - "permanent".

A person's permanent residency is not determined by where you are (transient) or where you live (temporary). Instead, it is determined by "declaration and intent". If you declare your residency to be a certain place, and you can show an intent to return to that place at some future point, then that is your permanent residence.

Here is an example --- I currently reside in Maine. I have been here for 6 years, having come from New Hampshire. I have always made it known that I intend to someday return to New Hampshire. Under the law, I am a temporary resident of Maine, but a permanent resident of New Hampshire.

The reason for these variants is simple - here is another example that explains:

A young man is born in New York. Lives there all his life. Gets married and has a family. He joins the military and gets stationed in California for 4 years or gets shipped to Afghanistan. But he does not plan on staying on the military base after his hitch is up, and plans on returning to his family in New York. And that is one reason why "permanent" residency does not have anything to do with where you are at the moment, or for how long. A person does not forfeit permanent residency just because he leaves for awhile.

But this also creates a legal problem for people when they die. If you lived for years in one state, like New York and then move to Arizona when you retire, and then you die, BOTH states can hit your estate for an inheritance tax! That is because you are legally a resident of both, unless your estate can PROVE you had no intention of returning to the previous state.

So, if you move, do yourself and your heirs a favor:

1) Put it in writing that it is your intent to make your new home your permanent residence and have no intention of returning to the previous state

2) Make sure to incur proof of residency - bills in your name for your new address, etc.

3) PROVE intent by cutting ties with the previous state. Do not use a lawyer, accountant or other professional from your "old" state. Do not hold property there, or anything that may incur any state tax. In other words, divorce yourself from your old state.

That said, I hope the courts are honest enough to allow Emanel to be on the ballot. And then I hope, for the sake of Chicago, that he loses.

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