Another Obama Cabinet Official Makes Amends with the IRS
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Kansas Gov. Kathleen Sebelius, President Obama’s nominee for to be Secretary of the Department of Health and Human Services, has amended her 2005, 2006 and 2007 tax returns, the Obama administration disclosed Tuesday, on the even of a major world economic summit in London.
The HHS Secretary-designate asked a CPA to review her taxes before her nomination was officially sent up to the Senate. The CPA found the problems, and Sebelius and her husband wrote a check to the IRS for $7,040 in back taxes and $878 in interest.
The issues were:
* She and her husband could not locate receipts for three charitable over $250, so she re-paid the charitable deduction she had claimed.
* She and her husband misunderstood home mortgage interest deduction laws and claimed the deduction even after she’d sold the home she’d taken out the mortgage for. (She was underwater, having sold the house for less than the amount on her mortgage.)
* She could not locate receipts for some business expenses she’d claimed.
Sen. Max Baucus, D-Mont, the Chair of the Senate Finance Committee, expressed support for her nomination nonetheless.
"Congress is going to need a strong partner at the Department of Health and Human Services to achieve comprehensive health reform this year, and we have that partner in Governor Sebelius," said Baucus. "There is absolutely no doubt in my mind that Governor Sebelius has the political experience, determination, and bipartisan work ethic to get the job done with Congress this year. She’s the right person for the job and I look forward to hearing from her at the Finance Committee’s hearing on Thursday."
Sibelius follows a slough of other Obama Cabinet Secretaries and would-be nominees who have had tax issues, including Treasury Secretary Tim Geithner, who was confirmed anyway, and former Senate Majority Leader Tom Daschle, D-SD, the president’s first choice to be HHS Secretary, who was not.
– jpt
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News alert:
Why are we not surprised?????????????
Obama’s HHS Choice Gov. Kathleen Sebelius has tax problems! She paid her “back taxes” just recently…..
The question remains why can’t Obama find ANYONE who is not a tax cheat to work in his sorry administration?????????????????????
Obama is a complete disaster. He lacks the good judgment needed in a President. Obama is simply not Presidential. That’s why this Democrat said NO to his change. My Democratic party is taking a dangerously left turn with this fraud in office.
Wake up America! Capitalism is what made America great. Let’s fight to keep it! Say NO to socialism! Obama has NO business taking over an American car company, or ANY corporation or business.
The spending, borrowing and taxing is OUT of control! Obama is spending four times the amount of ALL of the previous Presidents combined! ALL of them! In two months, Obama has ruined my Democratic party.
I hope he receives a well-deserved smackdown in Europe. It’s pretty pathetic when socialist Europe thinks Obama is spending too much!
Posted by: K | March 31, 2009, 7:41 pm 7:41 pm
$7000 in unpaid taxes is tax on a lot of undeclared income and not just some small amount deduction errors. Everybody makes mistakes but those in high office should know better. At least she didn’t claim her dog ate the tax return. That didn’t work for me too well.
Posted by: Sigmond | March 31, 2009, 7:53 pm 7:53 pm
Once again we have a highly elected government official of the Democratic party who didn’t pay taxes. Who did her taxes in 2005, 2006 & 2007? Don’t these people routinely use CPA’s to prepare their taxes? Why do Democratic policticians seem to think that tax laws are only for us little people and never meant to apply to the ruling elite?
Posted by: jim | March 31, 2009, 8:02 pm 8:02 pm
This happens so often now that we’re all sort of numb to it. Bottom line is that someone MUST BE FIRED over the vetting fiasco.
Posted by: matt | March 31, 2009, 8:08 pm 8:08 pm
This nominee needs to withdraw.
Why is it that all of the President’s Democratic nominees have tax problems?
It is because those that believe they are intellectually elite, do not have to respect the rule of law.
While this Administration wants to gut executives of salary and bonus legitimately earned, there is a tolerance for disrespect for paying ones fair share.
I pay my taxes.
I feel like I am being taken advantage of.
Posted by: ANON | March 31, 2009, 8:12 pm 8:12 pm
People with that kind of money using such lousy incompetent accountants? I can recommend a few reliable ones if they need them.
Makes you wonder how many of them that are not running for any office and whose financials have not been scrutinized have stolen millions from tax payers (by accident, of course, using lousy accountants).
Posted by: Solomon | March 31, 2009, 8:18 pm 8:18 pm
Everybody in America owe the IRS!!!!
lol
Posted by: sisterdearest09 | March 31, 2009, 8:32 pm 8:32 pm
Another hypocrite who wants to personally cheat (until she’s caught) yet will “reform the fraud rife in the system.”
She is the fraudster. Keep her out.
Posted by: anonymouse | March 31, 2009, 8:33 pm 8:33 pm
OK, let me get one more thing straight here – these guys are supposed to fix the nation’s problems with billions of dollars, and they can’t even handle their own personal finances? Maybe we should get H&R Block to run the economy? Would cost less and might be more competent?
Posted by: Solomon | March 31, 2009, 8:34 pm 8:34 pm
Has it occured to anyone else but myself that it isn’t a problem of bad “vetting…”
.
The people we have in Washington now CAN’T “vet’ anyone to anyone’s minimum standards as they are the self-called “intellectual” repressive elete and thus are just scum themselves.
Posted by: Fred | March 31, 2009, 8:38 pm 8:38 pm
If one were to go back in time to when KS passed a tax amnesty the statements of Govenor Sebelius, at the time, would point to outrageous self righteousness
I wonder on how many tax cases her Magistrate husband ruled?
Posted by: smith | March 31, 2009, 8:40 pm 8:40 pm
“Obama loves to tax but apparently hates to pay up.” Cerel Net
Cerel, you’re so right. Obama’s personal investments are handled by a firm that deals only with wealthy clients, and much of his personal fortune is invested in tax-free investments. Google it and you’ll see. Obama wants you and me to pay more in taxes, but he prefers not to pay them himself.
Posted by: Janet | March 31, 2009, 8:48 pm 8:48 pm
This is just the ruling class doing what they do best…tax us all to death while ignoring their own responsibilities. And it is not party specific although I find some enjoyment in so many democrats getting caught after all the hooey about change during the election.
Posted by: david | March 31, 2009, 8:56 pm 8:56 pm
“Slough” Great word, great discriptor, perfect context
Posted by: smith | March 31, 2009, 9:16 pm 9:16 pm
Remember that horrid “tax cheat” Joe the Plumber? He was almost shot in the media for his problem
Posted by: smith | March 31, 2009, 9:22 pm 9:22 pm
This kind of hypocisy has been going on for decades–for centuries! which is why our Founding Fathers attempted to stifle it. It’s been working so far so good, but for some reason the more corrupt the government gets the more we want to instill them with our care (or is it the more power the government has the more corrupt it becomes?). Either way, I’m not sure if humanity has a death wish or we’re just dumber than hell.
Posted by: Mario | March 31, 2009, 9:25 pm 9:25 pm
Notice how it’s the same old “do as I say, not as I do”…. The conservatives say “don’t have sex and be religious and moral!” but then turn around and have orgies with teen-age boys, pick up guys in restrooms or have sex parties with their wives. The “liberals” preach higher taxes, but all their money goes to off-shore tax shelters like the Cayman Islands. There is one big difference though: when conservatives don’t do what they preach, it’s bad for them (drugs, divorce). But when liberals don’t do what they preach, it’s good for them (more financial security for their families). There’s a theme here….
I think I’ll take corrupt Republicans.
Posted by: D. Papaccio | March 31, 2009, 9:28 pm 9:28 pm
Forget the tax evaders in Obama administrations. 17 out of 21 of Obama’s Cabinate members owns non-US cars.
Posted by: young_voter | March 31, 2009, 9:36 pm 9:36 pm
Jake, I’m disappointed. It’s “slew” (rhymes with “shoe”, means “a whole lot of”), not “slough” (rhymes with “cow” means “muddy trench you get stuck in,” – remember the Slough of Despond in Pilgrim’s Progress?)
Posted by: ivan | March 31, 2009, 9:40 pm 9:40 pm
He lied about the pet projects.
He doesn’t like babies.
He only likes people who don’t pay taxes
He wants to put us in great debt
Do I need to go on?
Don’t you get it. He hates us!
His paster told him “God Damn America!”
I guess he is trying to play God.
Posted by: na | March 31, 2009, 9:40 pm 9:40 pm
Good lord, now every appointee has to audit themselves before seeking office? This is getting out of hand. Fix the tax laws so mere mortals can understand them and move on already. I seriously doubt ANY administration’s appointees could meet this level of tax interrogation.
Can’t find a few receipts from 3 years ago? BURN HER AT THE STAKE!
Posted by: jhw539 | March 31, 2009, 10:15 pm 10:15 pm
smith:”Remember that horrid “tax cheat” Joe the Plumber? He was almost shot in the media for his problem”
No, he was attacked for being a lying shill who absurdly accosted Obama about raising taxes on him when he is now getting a tax cut.
Posted by: jhw539 | March 31, 2009, 10:18 pm 10:18 pm
Crocked crocked crocked
Never did I envision anyone being more of a disgrace than the last guy. I couldn’t have been more wrong.
Disgusting and rather pathetic given the office is supposed to be the highest and most respected. Hard to garner much respect.
Posted by: Cynth | March 31, 2009, 10:26 pm 10:26 pm
Hey tax expert!
I make less than thirty thousand a year. Guess what goes up tomarrow. That’s right my taxes. And Obama ordered it.
So Joe wasn’t lying, Obama was.
Posted by: Angie | March 31, 2009, 10:30 pm 10:30 pm
Joe the Plumber didn’t accost Obama and he had every right to question Obama about his tax policies when Obama was campaigning down Joe’s street.
Posted by: Sigmond | March 31, 2009, 10:58 pm 10:58 pm
I love to hear Repubs whine about tax ‘cheats’.
THE ENTIRE REPUBLICAN AGENDA IS TO ALLOW THE RICH TO CHEAT LEGALLY.
IT’S WHY WE’RE IN THIS MESS.
And why they’re now out of power.
Posted by: R Mutt | March 31, 2009, 11:07 pm 11:07 pm
Okay, I may regret this later, but I have to say that I do not consider Sebelius’s tax problems a deal breaker. I am not crazy about her nomination, but then, I am not a liberal democrat, so I didn’t expect to be a fan of anyone Obama would nominate for HHS. But I think these tax errors were honest mistakes that she should not be pummeled for. I mean, she didn’t have the letter for three of her charitable contributions? ARe we really going to howl that she’s a tax cheat over that? The total amount she had to pay late is relatively low considering her income and I for one am willing to move forward here. We have to get a cabinet and that may mean folks can’t be forced to walk the plank for every small indiscretion.
Of course, I also think the Chosen One can refrain from suggesting that he has the most ethical administration as well as the most transparent (a claim we seem to hear from every new administration).
Posted by: moderate | March 31, 2009, 11:10 pm 11:10 pm
Sigmond, Thanks for defending Joe the Plumber. I’m not necessarily crazy about the way he’s tried to extend his 15 minutes of fame, but he did start out as a man minding his own business on his own street who had the temerity to question the Chosen One and earned the ire of the press and the Democratic talking heads, not to mention the Obama campaign.
Posted by: moderate | March 31, 2009, 11:13 pm 11:13 pm
Sigmond:”he had every right to question Obama about his tax policies when Obama was campaigning down Joe’s street.”
JOE LIED. He made up a fantasy about being a struggling small business man who clear a quarter million in profit per year. He may as well have questioned Obama’s onerous taxes on hard working unicorns – the Republicans would probably still love him seeing as how they are clearly living in a fantasy world. Once upon a time, they tried to find a family farm that was lost to the inheritance tax, and failed. Now they don’t even try to find a real world example, they just flock to a liar who pretended to be one.
Posted by: jhw539 | March 31, 2009, 11:13 pm 11:13 pm
Joe the plumber was acting as an agent of the Republican party approaching Obama with a loaded question, so the word ‘accost’ is not inappropriate to someone who agrees with this assessment. I would be very surprised if it was shown that this happened on the street on which Joe actually lived.
Posted by: Skip | March 31, 2009, 11:14 pm 11:14 pm
Angie:”I make less than thirty thousand a year. Guess what goes up tomarrow. That’s right my taxes.”
Could you specifically cite what portion of the federal tax code has increased for someone in the $30k tax bracket? Thanks.
Posted by: jhw539 | March 31, 2009, 11:15 pm 11:15 pm
Concerned in OH:”Let me guess… a carbon tax cut? Oh wait, that’s a tax every single person in the US is going to be punished with.”
That tax doesn’t yet exist, and the objective is to counter it with an offsetting tax cut. And what a horrible punishment it will be in 10 years after the market does it’s optimization work and we can tell the tribal idiots in Saudi Arabia to shove off and go pound sand themselves.
Posted by: jhw539 | March 31, 2009, 11:17 pm 11:17 pm
“I am not a liberal democrat, so I didn’t expect to be a fan of anyone Obama would nominate for HHS.”
No kidding. Even though you go by the name of ‘moderate’ I think you come down well to the right of the aisle on most issues.
Posted by: Skip | March 31, 2009, 11:20 pm 11:20 pm
I bet Angie smokes.
There is a dollar a pack tax taking effect tomorrow. (In my state) They are calling it the “Obama tax” at all the gas stations in my city.
So then it would seem that yes, if you make less than whatever Obama said, your taxes are going up.
Posted by: llnt | March 31, 2009, 11:33 pm 11:33 pm
“We know for a fact that if we start drilling today we’ll be off foreign oil…”
Where??
Posted by: Skip | March 31, 2009, 11:34 pm 11:34 pm
Concerned in OH:”We’ve spent 30 years pumping money into green technologies. How much of our energy does it account for? 2%? We know for a fact that if we start drilling today we’ll be off foreign oil.”
Pumping money into green technologies for thirty years? That’s a joke; I guess Reagan sold that solar system he had torn off of the Whitehouse to fund research or something? Price oil at it’s true cost – including the huge cost of having to suck up to thuggocracies and sheiks – and let the market do it’s job.
And if we start drilling today we won’t be off foreign oil. That’s not a fact, it’s just another Republican fantasy with no basis in reality.
Posted by: jhw539 | March 31, 2009, 11:36 pm 11:36 pm
“We’ve spent 30 years pumping money into green technologies.”
How much money? -Anywhere near as much as we’ve spent looking for oil?
Posted by: Skip | March 31, 2009, 11:37 pm 11:37 pm
Anyone remember that application that was thrown at us in November from the media about Obama and how thurough he was going to be at weeding out corruption from his cabinet?
Well? What happend?
This is getting sickening.
Is everything a dog and pony show? Must be.
Posted by: hailey | March 31, 2009, 11:38 pm 11:38 pm
“I’m getting ready to buy a company that makes $250,000 to $280,000 a year,” he told Mr. Obama”
Was he really going to buy a company? Did he buy it?
Posted by: Skip | April 1, 2009, 12:12 am 12:12 am
” She and her husband misunderstood home mortgage interest deduction laws and claimed the deduction even after she’d sold the home she’d taken out the mortgage for.”
=======================================
How difficult is to understand you can can’t claim an interest deduction on a house you no longer own because if you don’t own it, you are NOT paying interest on it.
Dude!! That ain’t rocket science.
Posted by: mad | April 1, 2009, 12:20 am 12:20 am
” The [undiscovered] federal OCS resources currently off limits that [could be recovered] with today’s sophisticated technology are estimated to be 18 billion barrels of oil and 77 trillion cubic feet of natural gas, according to the U.S. Minerals Management Service (MMS). The resources [expected to be found] in these areas represent enough natural gas to heat 15 million households using natural gas for more than 77 years. And, it is enough oil to produce the gasoline needed to power over 20 million cars and the heating oil for 956,000 households for 30 years. ”
“-undiscovered”
“-could be recovered”
“-expected to be found”
It sounds like wishful thinking. What will the cost be compared to just drilling a hole in the ground in Saudi Arabia?
Posted by: Skip | April 1, 2009, 12:21 am 12:21 am
This is a joke, right? Nobody could hand-pick this many crooks for a single cabinet.
Posted by: Rachel | April 1, 2009, 12:33 am 12:33 am
While you’re busy attacking Joe the Plumber for asking Obama a question…
Let’s not lose sight of Obama’s answer (which is what the distraction of attacking Joe is really all about).
Obama replied, “And I think when you spread the wealth around, it’s good for everybody.”
The Obama camp and media minions saw it as a huge gaffe that revealed more about Obama’s plans that they wanted made known.
Too bad Obama didn’t provide more insight into his plans by adding, “And I think that if there isn’t enough wealth, we’ll just print up a few trillion more out of thin air and crash the dollar. That will teach those greedy wealth-mongers.”
Posted by: marylou | April 1, 2009, 12:35 am 12:35 am
” The undiscovered federal OCS resources currently off limits that could be recovered with today’s sophisticated technology are estimated to be 18 billion barrels of oil…”
So you think there might be a whole 18 billion barrels out there huh? Since the Saudis alone have about 250 billion barrels that they already know about I’m not real impressed.
Posted by: Skip | April 1, 2009, 12:42 am 12:42 am
It’s ‘slew of’, but I like ‘slough of’, too. It’s a clever pun if intentional; if not, it’s just plain magical.
=====================================
Posted by: kim | April 1, 2009, 1:05 am 1:05 am
“makes amends”? She downright cheated the government and finally paid her taxes when it became convenient all, to receive a higher position. The Obama administration? The administration of tax cheats and corruption. Now, they are expecting us to pay higher taxes!
Posted by: Mihann | April 1, 2009, 2:41 am 2:41 am
This is SO small potatoes. If Sebelius wanted to cheat the IRS, don’t you think she would have done a better job of it?
The audit likely cost her more than the back-taxes.
And how could this be part of the vetting process, except to mandate an audit on every candidate (which is what they did)
Does anyone wonder why it’s hard to find a perfect person – maybe because there aren’t any???
Let’s move on to something important.
Posted by: Elcee | April 1, 2009, 4:37 am 4:37 am
Amoung the criteria used by Obama to evaluate possible nominees, honesty, integrity and competence don’t even make the list. Instead, Loyality to Obama, Loyality to The Party and Ideological Purity are primary.
Posted by: Rasputin3.14 | April 1, 2009, 6:33 am 6:33 am
Ok another tax cheat. How many is that now 4 or 5. It looks all the world to me that this administration is full of liars, tax cheats, and lobbyist. Who by the way the president said would not be in his cabinet. So the truth be told Mr Obama and his cabinet is full of cheaters that are defrauding our country. Does that not sound like the same thing AIG and the Banks are doing. Hmmm!
Posted by: Lara | April 1, 2009, 6:36 am 6:36 am
WastingtonDC: At least we know that the disloyal Democrat’s socialism tax increase bias supports the “truthiness” in government, that our MSM elected Messiah President promised. They support larger and larger taxes, because they do not feel, or understand, or cannot find the correct records to allow their paying taxes. It is odd that the IRS has not referred any of these non payers for criminal prosecution, as they certainly would any Republican who did exactly the same criminal pattern of non payment of taxes.
Posted by: Franklin D. Lomax | April 1, 2009, 7:01 am 7:01 am
The one item that concerns me is not understanding you can’t take a deduction on something that you sold…the rest are understandable.
That being said, I hope every other person that gets audited is treated as forgivingly as the administration officials have been.
Posted by: jb | April 1, 2009, 8:46 am 8:46 am
FAT CHANCE, jb!!
We are toad stools to them. Meant for kicking and stomping on!!
Posted by: American Infidel | April 1, 2009, 9:50 am 9:50 am
If you people did some proper research and got your news from a real news source you would find that Sebelius sold her house at a loss and continued to pay the balance of the loan that was not covered by the selling price. She mistakenly thought that because this was interest being paid on the balance of a mortgage loan that it was tax deductible.
Posted by: sdube60 | April 1, 2009, 10:09 am 10:09 am
If Democrats would just pay their taxes would not have a budget deficit.
And why aren’t these people being penalized or punished for cheating on their taxes?
Posted by: Sally J | April 1, 2009, 10:24 am 10:24 am
ABC news:
“She [Sebeleius] also said she mistakenly paid off a home loan that included deductable mortgage interest.”
—————————————
I HATE when I do that.
Posted by: mad | April 1, 2009, 10:44 am 10:44 am
Sorry, that should have been CBS news.
Posted by: mad | April 1, 2009, 10:55 am 10:55 am
Ok and so?
Posted by: TV | April 1, 2009, 11:33 am 11:33 am
Another day, yet another crooked, tax-cheating Obama nominee.
Another sortid chapter in life of the “most ehical administration ever.”
Posted by: Hope and Change from Crook County, Illinois | April 1, 2009, 1:49 pm 1:49 pm
How is it these people don’t use an accountant to prepare their taxes? I shell out $250 to have a professional to prepare my taxes and I am sure I don’t make close to what these people make. That’s right, they are politicians. it is in their nature to cheat.
Posted by: HobokenJohn | April 1, 2009, 2:14 pm 2:14 pm
The real question here is, how many taxpayer dollars are doled out to support H1B contractors contracting with the bailed out banks, the government, and pseudo “small business” companies?
Americans pay more for not-so-real employees on the unaudited books of not-so-real “small businesses” that are “h1b-dependent”. Fake workforces as exhibited by companies like Satyam of India and IBM suitor are bilking us all. Regulate the crooks to regain American consumer confidence and end fraud on U.S. taxpayers.
Posted by: Common Senseq | April 1, 2009, 8:22 pm 8:22 pm
All that needs to happen now to fix the economy is for BO to go through every politician for his cabinet.
Once he gets to the end, we’ll have a surplus of money. ;-)
If democrats are all about sharing the wealth through taxation, you’d think they would at least lead by example.
Posted by: Phil G | April 1, 2009, 11:37 pm 11:37 pm
What is it with all the Deadbeat Dems? I dare to think what would happen if we, the “little people” got caught CHEATING on our taxes and then tried to LIE our way out of it. This is getting to be hysterical…..the Obama Cabinet of LIARS, TAX CHEATS, AND OTHER ASSORTED NUTS. HAIL TO THE EMPEROR (until 2012!)
Posted by: Peggy97478 | April 1, 2009, 11:43 pm 11:43 pm