Friday, January 23, 2009

Treasure nominee Geithner - Not fit to run the IRS

There has not been enough in the media in regard to Timothy Geithner's nomination to head the US Treasury. His nomination made it through the Senate yesterday and will be voted on by the full senate on Monday. The disturbing thing is that this man is clearly not fit to be responsible for the IRS. Why?

According to Senate documents, Geithner made several mistakes on his taxes. The first are typical for our elected and appointed political classes-domestic help issues. Geithner neither checked the immigration status of employees as required by law nor do he properly pay taxes on said employees.

The worse transgression was in regard to his employment for the International Monetary Fund (IMF). As a rule, employees of that organization do not have self employement taxes taken out of their checks. United States employees are required to pay self employment taxes on what they earn from the organization and the IMF through multiple means notifies them of that fact. Apparently, this elite financial guru forgot to pay his taxes.

But that isn't all to this story. He was caught by the IRS on the self employment tax issue and had to amend his return and pay the taxes he owed. So he was CLEARLY informed that he incorrectly(fraudulently?) filed a tax return those years by NOT DECLARING TAXABLE INCOME. If we assume it was an honest mistake, why is it he then did not correct the EXACT SAME MISTAKE for years 2001 and 2002. The first mistake may have been okay (that is debateable), the second one is clearly TAX FRAUD.

Please refer to this document from the United States SenateFinance committee and read it through.

The net is this is that in a civilized society:

. You do not allow felons to be police officers
. You do not allow arsonists to be fireman
. You do not allow child molesters to teach in k-12 schools
. You do not tax cheats to be in charge of the taxing autority

It can happen but it shouldn't.



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