Will Another Politician Lose Nomination for Not Paying Taxes?
It has happened before: Zoe Baird, Linda Chavez, Bernard Kerik, and Kimba Wood, all have lost political appointments due to not paying their domestic employee's taxes, which is required by law.
Now another politician, Timothy Geithner, may lose his bid for Treasury Secretary for not paying taxes of a former housekeeper. Perhaps the failure to pay was due to a, "common tax mistake," from 2001-2004 while working for the International Monetary Fund. Geithner claims he has since paid all back taxes owed, but he did not admit the error or pay the taxes until after his nomination by President-elect Obama.
Quote from CNBC:
"Treasury Secretary nominee Timothy Geithner is facing questions over the immigration status of a former housekeeper and whether he paid Social Security and Medicare taxes.
Sen. Charles E. Grassley, the ranking Republican on the Senate Finance Committee, has raised questions about both issues, the Wall Street Journal reported, though Senate Democrats told CNBC that they don't think this will derail the nomination. Geithner's confirmation hearing is scheduled for Thursday.
According to the Journal, the former housekeeper's immigration papers expired while working for Geithner, though she later received a green card and became legal. The second question involved employment taxes while Geitner was working for the International Monetary Fund from 2001 to 2004."
Zoe Baird was nominated by Bill Clinton in 1993 to be attorney general until it was uncovered that she had hired two illegal immigrants as a driver and a nanny and did not pay their social security taxes.
Linda Chavez was nominated by George W. Bush in 2001 for Secretary of Labor. But Chavez allowed a woman to live illegally in her home in the 1993's and gave her money and did not become Secretary of Labor.
Bernard Kerik was nominated by George W. Bush in 2004 to be Secretary of Homeland Security. But Kerick lost the nomination once it was discovered he had not filed taxes for a former housekeeper and nanny.
Kimba Wood was Bill Clinton's second nominee for attorney general in 1993. But, like Zoe Baird, Wood had hired an illegal immigrant as a nanny. Due to the controversy over Baird, she decided to not accept the nomination. Clinton's third nominee for the top U.S. law enforcement position, Janet Reno, was confirmed.
If you work as a nanny, are you legally filing and paying taxes?