Jackson faces flap over ranch land use



ASSOCIATED PRESS
Pop star Michael Jackson has saved more than $1 million in property taxes on his Neverland Ranch by claiming the California land conservation tax break, but a year ago, California officials decided he had developed too much of the property to qualify for it.
"This is an egregious violation," said Valentin Alexeeff, director of the Santa Barbara County Planning and Development Department.
Jackson responded by withdrawing from the program. County officials are considering legal action to collect back taxes and possibly fines.
The tax break, which Jackson began claiming when he bought the property in 1988, reduced his tax bill by about half.
The Neverland ranch, tucked into the rugged coastal hills of Santa Barbara County, was enrolled in the land conservation program before Jackson bought it.
Inspection
Last April, county inspectors visited the property and found it was not in compliance with the law governing the tax break, under which he was allowed to develop only 2 acres of the ranch. Jackson had developed about 37 acres, according to county records. Today, the once virgin land includes a dazzling Peter Pan theme park, complete with a zoo, a small railway system, an 80-seat theater, a Ferris wheel, carousel, bumper cars and a 25-room Tudor mansion.
That's not to say there aren't any cows.
Over the hills from the grassy amusement park, Jackson leases 1,700 acres to the PotHook T Cattle Company, which runs about 500 head on the property.
But this, state officials say, isn't enough to qualify the ranch for the tax break under California law, which has more stringent requirements than land preservation laws in most states.