WASHINGTON — Timothy Geithner didn’t pay Social Security and Medicare taxes for several years while he worked for the International Monetary Fund, and he employed an immigrant housekeeper who briefly lacked proper work papers. Those issues, and a series of other tax matters, scuttled a tentatively scheduled confirmation hearing Tuesday for Mr. Geithner as Treasury secretary, Senate Finance Committee aides said. The tax matters were instead the subject of a closed-door meeting between the nominee, currently president of the Federal Reserve Bank of New York, and members of the Senate Finance panel, in whose hands his confirmation lies.
Several senators said after the meeting that they intended to remain supporters of Mr. Geithner, who has playing a central role in tackling the financial crisis. Senate Finance Chairman Max Baucus (D., Mont.) called the issue serious, but not disqualifying. “I still support him,” said Sen. Orrin Hatch (R., Utah) as he emerged from the meeting. “He’s a very competent guy.”
Sen. Charles E. Grassley of Iowa, the committee’s senior Republican, didn’t give Mr. Geithner a pass. “It’s serious, and whether or not it’s disqualifying is to be determined,” Mr. Grassley said after the meeting. Obama aides said they didn’t think these issues would present a problem, given what they characterized as the minor nature of the infractions and the gravity of the role Mr. Geithner has been nominated to take.
The tax issue relates to Mr. Geithner’s work for the International Monetary Fund between 2001 and 2004. As an American citizen working for the IMF, Mr. Geithner was technically considered self-employed and was required to pay Social Security and Medicare taxes for himself as both an employer and an employee. In 2006, the IRS audited Mr. Geithner’s 2003 and 2004 taxes and concluded he owed taxes and interest totaling $17,230, according to documents released by the Senate Finance Committee. The IRS waived the related penalties.
I think the issue here is not the relatively small amount of taxes owed, around $34,000.00, but the fact that the future Secretary of the Treasury didn’t know he had to pay Social Security and Medicare while being self employed. Is anybody buying this? I took some bad advice from an accountant years ago when I was working outside the US for the same issue. You can bet they didn’t forgive any of it.
#23 Yup! It was taken down to eliminate all previous comments.
The second theory was that the Ed’s got the info that Mustard couldn’t find his meds and in order to make him feel centered, they twisted reality ’til he felt better.
He loves to distort realityt to feel better.
#24 Actually, Madoff was already on his way to jail. They needed a guy with such commitment and compromise to the cause. No conflict of interest is too big to backpedal on. So they found the next in line more compromised that him to run the treasury.
#25 I see reality’s too hard for you to take. Like a macfan in denial of Job’s news.
#28 I disagree. If he weer the financial expert that you remark he is, he wouldn’t have been discovered.
#29 As I said in other reply somewhere. The change is coming. Thing is, they didn’t tell people outside the Dem. party that the change meant changing a crooked Rep. for aan even crooked Dem.
#34 Like saying “she didn’t kill someone before he hired her. She did after he renewed her contract. No biggie”
Laaaaaaaaaame
#38 Yeap Repugblicans and Americans everywhere. Ignores the signs of more corruption in the Lord’s ruling era. You have other people already done robberies to worry about. Worry about our God’s in 8 years.
#37, Cow Paddy, Ignorant Shit Talking Sociopath and retired Mall Rent-A-Cop, And Desk Arranger,
Actually, the statute of limitations for collections is 10 years not 3.
I just love your ignorance. The limit for auditing by the IRS is three years. If they can’t audit it then they can’t claim an underpayment. In this case Mr. Baggins is quite correct. And we all know you wouldn’t pay the IRS if you didn’t have to.
How can Obama dismiss the facts concerning Geithner. Obama should be looking out for the people who pay taxes not the folks who cheat on their taxes.