Flashback: What happens when a tax-evader runs the IRS?

I’m a bit surprised that this retro-snit hasn’t come up in the current IRS flap …

Think back to early, 2009.

Newly annointed President Obama nominated Tim Geithner to be Secretary of the Treasury.

During his confirmation hearings, Geithner ran into an “issue”.

It was revealed that Mr. Geithner, he failed to pay payroll taxes on income he received from the International Monetary Fund in 2001, and then repeated the error in the three subsequent years, despite explicit disclosures and instructions from the IMF, and with the help of an accountant.

According to the WSJ:

Apologizing to the committee, Geithner took responsibility for what he called “careless” and “avoidable” mistakes while insisting they were unintentional.

He acknowledged signing an IMF statement at the time that he understood he had been reimbursed to pay those self-employment taxes, adding that he should have read the statement more carefully.

In his testimony, he laid blame on his TurboTax software

Why is this important?

At the time, folks like us pointed out that:

1) The IRS reports into the Treasury Department

2) It’s not advisable to have a tax-evader overseeing the IRS.

Not saying that Geithner had anything to do with the current dust-up.

In fact, I doubt that he did.

Still, you have to ask the question: What kind of a signal did his appointment send to the IRS organization?

As Rev. Wright would say: “The chickens have come home to roost.”

* * * * *
Follow on Twitter @KenHoma               >> Latest Posts

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google photo

You are commenting using your Google account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s