Timely Tim

A mistake in your report, Jake. From what I understand, the housekeeper never had “illegal immigration status”. She was a legal immigrant, married to a US Citizen. She had briefly lapsed employment papers.

If joe the plummer had done this he would be in jail looking out..But then again it takes a theif to catch a theif..

Isn’t Geithner a millionaire?
And for god’s sakes, this SHOULD derail his appointment. He cheated. He knew he should have paid those other two years and only did so when he was about to be appointed.
I watched GMA this morning. It got what, 2 sentences? Perhaps if this situation were amplified on television news, people would find out about it and get a little angry about it.
Way to be complicit in idolizing our PEBO, ABC.

“Only in this town while the financial system is crashing would we be arguing about an accounting problem for a guy who has devoted his life to public service and never made any money!”
He was able to come up with $34,000 very quickly. Seems to me he has made money in public service and now will be making alot more. This is more than an accounting problem – it is tax fraud. How can someone who is going to head up Treasury not be aware of self employment tax? Is there anybody in politics in this Country that is honest? It just seems so many Governors and high ranking officials condier themselves to be above the law and fill their pockets – all at the expense fo the people that they profess to care about. Figures lie and liars figure.

The house keeper has a responsibility.Rules are rules.She did not get into problems because Big Shots like Geithner do not care what anyone thinks.Does that sound like Capitol Hill?

Obama is so accustomed to corruption in Chicago that nominating a tax cheat for Treasury Secretary is no big deal to him.
What would happen to us if we had not paid back taxes for years? Threats from the IRS, garnish our wages,jail?
BO knew all along that Geithner had these issues but The One is above the law.

Never made any money?

The guy Obama chooses to lead the IRS has thousands in back taxes and only pays up days before his nomination?
Yes tax errors are common, but looks like politicians would be extra vigilant to avoid embarrassing mistakes.
To those of us not drunk on kool-aid this just makes BO look bad–either a poor job vetting, or he just doesn’t care if his cabinet follows the law.
But hey Obama is from Chicago.
He turned his back on corruption all of his political career.

BertieW:”"bailey: “What would happen to us if we had not paid back taxes for years? Threats from the IRS, garnish our wages,jail?”
Again, the exact same thing as happened to Geithner ”
Well in all fairness she wouldnt be allowed to head the IRS. So there is a difference.”
He hasn’t been allowed to head the IRS yet, and this is indeed a well-reported, front page piece of news that will is presenting a significant confirmation hurdle. Debating whether his actions make him unsuitable is entirely appropriate, but suggesting legal favoritism (beyond the obvious favoritism of being selected for the job) is entirely unfounded and distracts from the core issue.

Follow the rules. How hard is it for people, even rich, busy people, to understand? I doubt that Timmy did his own taxes with TurboTax or used H&R Block. It’s purely cheating. If we forgot to pay $26K in taxes, I doubt anyone would think that was an honest mistake.

As president of the NYFed, Geithner would have made over $390,000. It’s funny that when Democrats want to set tax policy for the rest of us, that’s “wealthy”. But when they are talking about people who they associate with, it’s “not making any money”.

Impossible to have not known. Especially with a guy of his supposed acumen. I don’t (can’t) believe it.

The “spin” now is that “he was told he didn’t have to pay the previous two years taxes”. Who told him that? His accountant? The IRS? One can only imagine the IRS telling you that you don’t have to pay those thousands of dollars owed. lol Who did he think was going to pay his social security taxes? And id he didn’t know that self emplyed pay social security taxes, he is not smart enough to head Treasury and the IRS.

Sigmonde: “The “spin” now is that “he was told he didn’t have to pay the previous two years taxes”. Who told him that? His accountant? The IRS? One can only imagine the IRS telling you that you don’t have to pay those thousands of dollars owed.”
The IRS does not collect taxes back beyond 3 years unless there is indication of deliberate deception. And yes, they will tell you this and in true government worker fashion really not care one way or another about it (in the same way they’ll garnish your wages if a check for $3 in back taxes gets lost). This isn’t spin, this is publicly available fact.

Did any one watch Larry king or AC 360 last night? The way the guests on both shows tried to minimize this was pitful.I just hope the media gets over it man crush over Obama and be objective and fair in their reporting

Forbes says that everyone at the IMF receives instructions about this issue. Plus if you have ever paid the self employment tax you know its a huge bite- people would be grumbling all over the building. And should there have been quarterlies?
Forbes reported this as ” employee’s share”. If the IMF didnt withhold the “employee’s share” (verses make an employer contribution) it would be almost impossible for some one competent not to notice that glaring problem when they looked at their W2.
If this was a problem where the IMF didnt make the employer contribution then it would be much harder to detect. Except supposedly the IMF briefed everyone on it.
jhw539:
“Debating whether his actions make him unsuitable is entirely appropriate, but suggesting legal favoritism (beyond the obvious favoritism of being selected for the job) is entirely unfounded and distracts from the core issue. ”
I’d agree. It doesnt seem like the IRS is showing him any favoritism that we can detect.

The IRS does not *audit* beyond 3 years. They can collect back taxes up to 10 years, although that statute of limitations does not apply if a return was fraudulent.
Obviously, Geithner knew he wouldn’t be audited for the back taxes and expected he’d never be called on to pay them.
What he *didn’t* do is correct the problem the minute he found out about it.
I just hope Obama and the other Democratic lawmakers are so understanding of all the people that really don’t want to pay any more tax than they have to.

litleleeers: “For the rest of us peons….it’s a different standard and jail time.”
Again, this is just not true in this case. He was treated like any other little person. Whether or not this shows flaws in his character is a excellent question sure to be pounded on in the hearings, but the IRS played this by the same book you or I deal with.

On the W-2 form he received, it said “NONE” under Social Security tax withheld. That seems fairly noticeable.
He proactively applied to get a gross up to be reimbursed for the SE tax he was supposed to pay, and he received documentation about how he was to go about paying SE tax.
Perhaps it is a difficult thing to understand, but I note he did not err on the side of paying too much.
Can the IMF not afford 1099s for its American employees?

Wow. I seem to remember the media exploding all over Joe’s back taxes. This guy has repeatedly refused to pay what he owes until 1. he was caught and 2. the day before he’s nominated.
Democrats sure have a a strange sense of morals. The Ways and Means Chairman is a crook and this guy is a deadbeat.
Linda Chavez was kept out of Bush’s cabinet for less.

Don’t just post comments! Send msgs to Finance Committee members!

“Even though he turned out to be a liar and a welfare queen? ”
And private citizen who dared to speak the truth to power [tm] and got investigated by politicos (D) who abused their office (D) to launch smear investigations because asked a question of their Messiah (D).

That this mean that we don’t have to pay taxes until someone audits us and then we say oops we forgot.
If he is that stupid and can’t read the instructions, why on earth would the dem want him in that position.
But now it does not matter, PE Obama wants him and the rest of the sheep will follow.

One more thing. The illegal “maid” is a B.S. catch all “gotcha” that the rival parties have used against each other for years. Who doesn’t ask someone to clean the house, cut the grass, or clean the siding once in a while without bothering to tell the IRS they are your employee! So, I don’t hold that against him.

MayBee (12:55 PM) may have the key here. He may have got a W-2 with no S.S. withheld. I could see the IMF doing that I guess, but never personally. That doesn’t relieve him, however. And like I said before, I find it nearly impossible for him, especially as the Treasury Secretary appointee, and overseer of the IRS, to not have known what it meant.

LongT: “The story is very short on details, but from what I know about the topic, it sounds like he was an independent “worker” not on a W-2, not an employee. Do you understand what I’m getting at?”
He did not in fact get a 1099, he received a W-2 that, due to the IMF’s odd governmental classification (similar to churches) did not have with holding. My point is that you appeared to be trying to create facts (he must have gotten a 1099, so it must have been obvious!) to support your opinion (he was trying to rip off the IRS!). Yet your shared reasoning doesn’t really influence your opinion. He didn’t get a 1099, a key part of your supporting argument earlier, yet it doesn’t change your conclusion, right?
It just really struck me of an example of the tendency of people to take a position and then make up facts to support it rather than collecting facts and then taking a position.
Personally, my opinion of Geithner has dropped in the face of the facts BertieW pointed out, although I still think he could be a good choice for the job. I’m actually OK with someone who has experienced the complexity of IRS laws being in charge of them, so the presentation of facts suggesting this wasn’t entirely an honest error doesn’t sway me.

LongT:”you would be liable for penalties, interest, and the tax. You probably also wouldn’t qualify for Treasury Secretary.”
He DID pay all the interest and penalties that anyone else would be liable for, down to the penny. As for qualifying for Treasury Secretary, that’s just a silly point – it’s not like this is a secret, so if he get confirmed then obviously it wouldn’t stop anyone else handpicked for the job from being deemed qualified.
You don’t have to make up stuff; considering the guy slimy based on the actual truth of the matter is entirely defensible.

“And private citizen who dared to speak the truth to power”
What was truth?
That he was about to buy a business?
Or that the business he was going to buy was going to profit $250K a year?

“Kind of explains why tax cheat Charlie Rangel is keeping his job.”
ROFLMAO
Right wingers hate tax cheats except when they are Joe the Plumber.

Ohhh real scary. The guy asks Obama “”I’m getting ready to buy a company that makes 250 to 280 thousand dollars a year. Your new tax plan’s going to tax me more, isn’t it?”"
Answer is- yes it is! Obama and his minions dont like their master being questioned. In fact Al Newels company does make more than $500K a year, so if Joe bought it from him and Al retired then he is on the hook for all of Barry’s extra taxes.
Whats the scandal here? Ryan C seems appalled that someone questioned Obama.
The real problem is that everybody ought to be concerned about it that Democrat government employees go browsing through government record to try to discredit the guy. Nice to see how they use the power of government against the little guy.
BTW- recently Obama seems to have come around to the viewpoint that small business do employ people out of funds that the government leaves them so it might not be a good idea to tax all their money.

the left needs to be ready for Obama to be attacked anytime there is a problem in his term – i mean, really – after all the bush hatred the past eight years is it really going to be a suprise when the right jumps on his back over every little thing. take your medicine.

“Whats the scandal here? Ryan C seems appalled that someone questioned Obama. ”
Appalled? Hardly.
Enjoying beating up right wingers over their anti-tax hero whose lies and hypocrisy are low hanging fruit? Yes.

I’ll bet that meeting Obama and McCain had recently (after the election) was to discuss simplifying tax filings.
Not sure why the right-wing fringe don’t understand that making a mistake, then paying the penalty doesn’t equate to tax evasion.

RyanC,
Charlie Rangel, Barney Frank, Larry Summers and now Geithner….see a pattern evolving ?
At least be a man and admit that you would never defend a Republican Nominee the way your defending Geithner!

“Actually Obama made small business a cornerstone of his tax policy during the campaign, seeking to eliminate capital gains taxes on them, assisting with healthcare expenses even floating a hiring incentive.
But right wingers flipped out about taxes on wealth they never had nor were likely to see. ”
————————————-
Ryan,
Here in your own words you show just how foolish liberals are. If cutting taxes for small buisness is a good idea to promote job growth, why would you want to Penalize a larger business by putting a heavier tax burden on them. Take a looks at the number of larger buisnesses and the numbers of people they are laying off…
The fact is its liberals who claim they want to help the middle class all the time, but want to strangle the companies that give the middle class employment!
We already have the 2nd highest corp. tax rate in the world! But then liberals wonder why these businesses try to keep costs under control by moving manufacturing overseas and cutting jobs here in the US.
Do you run around your town looking for the most expensive gas station, grocery store, etc.. ? Or do you do what most everyone (including buisnesses) do…look for the best price for whatever product or service you need and buy it there.
The answers my friend are right in front of you, open your eyes and look at how you lead your own life.