http://online.wsj.com/article/SB126091986848592805.html
This Wall Street Journal article tells how Sen. Chris Dodd and Treasury Secretary Geithner try to strip the FDIC of practically of all bank supervisions even though FDIC chair Sheilar Bair was the only government official who predicted a wave of foreclosures back in 2007 when she directed her staff to study securitized subprime loans from 2004-2005 and discovered that 75% of them carried balloon payments due in a few years.
The article described a July meeting called by Geithner with Bair and Fed chairman Ben Bernanke in attendance where Geithner used profanity. Here is an excerpt from the article, "Mr. Geithner immediately lit into the regulators in an expletive-laced fury, at times raising his voice to the verge of shouting, according to several people familiar with the meeting."
Remember Geithner cheated on his tax return and had to pay back taxes during his confirmation hearing.
That article says 133 banks had failed year to date. But 7 more banks failed on Friday, making the total at 140.
Showing posts with label tax evasion. Show all posts
Showing posts with label tax evasion. Show all posts
Friday, December 18, 2009
Thursday, October 8, 2009
Rangel Keeps Job Running Tax Committee
http://www.webcpa.com/news/Rangel-Keeps-Job-Running-Tax-Committee-52001-1.html
By WebCPA Staff
Democratic lawmakers turned back efforts by House Republicans to depose Charles Rangel, D-N.Y., as chairman of the House Ways and Means Committee after revelations of his tax and financial disclosure lapses led to an expanding ethics investigation.
Rangel survived two votes on a resolution to oust him from his chairmanship of the tax-writing committee until the Committee on Standards of Official Conduct completes its investigation. After House Democrats struck down the resolution Wednesday by a 246-153 vote, Republicans insisted on a second out-loud reading of the resolution, which catalogs Rangel’s financial lapses, and another vote. The reading was interrupted several times and challenged before the resolution was defeated a second time. Rangel sat in the front row throughout the vote.
Democrats charged that Republicans were not giving the House ethics committee time to finish its investigation of Rangel. The long-time Harlem representative had agreed to the ethics committee investigation after allegations emerged last year that he had failed to pay nearly $75,000 in taxes on rental income from a vacation property he owns in the Dominican Republic.
Rangel also was criticized for failing to disclose extra income he received and bank accounts on his congressional disclosure forms, as well as his use of several rent-stabilized apartments in his apartment building, and his efforts to get taxpayer money for City College and Yankee Stadium. “I have been waiting patiently for the ethics committee to make a judgment,” Rangel told The New York Times after the vote. “That is where it belongs. It does not belong on the floor.”
Rangel has dismissed the resolution as an attempt to sidetrack Congress in the midst of the Democrats' push for a health care reform bill. His committee approved the tax part of the bill on the House side prior to the August recess, and it will have to be reconciled with any bill that the Senate Finance Committee is able to pass.
John Carter, R-Texas, had introduced the resolution in the House. "Today the majority party in the House of Representatives approved a double-standard for taxpayers, one for powerful Washington politicians, and another for regular working Americans,” he said. “Chairman Rangel can neglect his taxes for years and pay no penalty or interest, while the American public faces massive penalty and interest charges for the same infractions. That was the judgment delivered by House Democrats today. Let the voters take note.”
Carter added that Rangel in August made new confessions of failure to report nearly a million dollars in assets on federal disclosure forms. Since the ethics committee investigation of Rangel began in July 2008, it has already been expanded twice before the latest revelations emerged.
By WebCPA Staff
Democratic lawmakers turned back efforts by House Republicans to depose Charles Rangel, D-N.Y., as chairman of the House Ways and Means Committee after revelations of his tax and financial disclosure lapses led to an expanding ethics investigation.
Rangel survived two votes on a resolution to oust him from his chairmanship of the tax-writing committee until the Committee on Standards of Official Conduct completes its investigation. After House Democrats struck down the resolution Wednesday by a 246-153 vote, Republicans insisted on a second out-loud reading of the resolution, which catalogs Rangel’s financial lapses, and another vote. The reading was interrupted several times and challenged before the resolution was defeated a second time. Rangel sat in the front row throughout the vote.
Democrats charged that Republicans were not giving the House ethics committee time to finish its investigation of Rangel. The long-time Harlem representative had agreed to the ethics committee investigation after allegations emerged last year that he had failed to pay nearly $75,000 in taxes on rental income from a vacation property he owns in the Dominican Republic.
Rangel also was criticized for failing to disclose extra income he received and bank accounts on his congressional disclosure forms, as well as his use of several rent-stabilized apartments in his apartment building, and his efforts to get taxpayer money for City College and Yankee Stadium. “I have been waiting patiently for the ethics committee to make a judgment,” Rangel told The New York Times after the vote. “That is where it belongs. It does not belong on the floor.”
Rangel has dismissed the resolution as an attempt to sidetrack Congress in the midst of the Democrats' push for a health care reform bill. His committee approved the tax part of the bill on the House side prior to the August recess, and it will have to be reconciled with any bill that the Senate Finance Committee is able to pass.
John Carter, R-Texas, had introduced the resolution in the House. "Today the majority party in the House of Representatives approved a double-standard for taxpayers, one for powerful Washington politicians, and another for regular working Americans,” he said. “Chairman Rangel can neglect his taxes for years and pay no penalty or interest, while the American public faces massive penalty and interest charges for the same infractions. That was the judgment delivered by House Democrats today. Let the voters take note.”
Carter added that Rangel in August made new confessions of failure to report nearly a million dollars in assets on federal disclosure forms. Since the ethics committee investigation of Rangel began in July 2008, it has already been expanded twice before the latest revelations emerged.
Wednesday, March 4, 2009
Trade Rep Nominee to Pay Back Taxes
I have sympathy for Mr. Kirk. His motive was good, his problem was he used an unqualified paid preparer. We should always report all 1099 income received. IRS matches them every year with tax returns in a program called CP-2000. Not reporting income is asking for trouble.
http://www.webcpa.com/article.cfm?ARTICLEID=30898
Washington, D.C. (March 3, 2009)
By WebCPA staff
Ron Kirk, the Obama administration’s nominee for U.S. Trade Representative, has agreed to pay $9,975 in back taxes he owed on $37,750 in speaking fees.
The former Dallas mayor routinely asked for his speaking honoraria to be donated to his alma mater, Austin College, but he made the wrong entries on his 2004-2007 tax returns for the income and charitable deductions, according to a report by the Senate Finance Committee. He explained to the committee in answers to a questionnaire that since he routinely asked for the speaking fees to be donated to Austin College, he did not think the honoraria counted as taxable income and his paid preparer agreed. However, he now plans to file amended tax returns.
His confirmation hearing is scheduled for Monday, March 9. Kirk is at least the fifth nominee for an Obama administration post to run into tax problems. Other problems have arisen with Treasury Secretary Timothy Geithner and Labor Secretary Hilda Solis, who were both confirmed. However, Health and Human Services Secretary-designate Tom Daschle and chief performance officer Nancy Killefer were forced to withdraw their nominations (see How (Expletive) Hard Is This?).
In Kirk’s case, he paid additional tax of $2,188 and additional interest of $139 last October for tax year 2006 after the IRS notified him that he had failed to report a speaking honorarium of $5,000 and dividend income of $819. The return was prepared by a paid tax preparer and filed jointly with his wife. The IRS identified the unreported income during a routine match of his Form 1099 income with the Kirks’ tax return.
Despite the tax problems, Senate Finance Committee Chairman Max Baucus, D-Mont., expressed his support. “Mayor Kirk is the right person for this job and I will work to move his nomination quickly,” he said in a statement.
http://www.webcpa.com/article.cfm?ARTICLEID=30898
Washington, D.C. (March 3, 2009)
By WebCPA staff
Ron Kirk, the Obama administration’s nominee for U.S. Trade Representative, has agreed to pay $9,975 in back taxes he owed on $37,750 in speaking fees.
The former Dallas mayor routinely asked for his speaking honoraria to be donated to his alma mater, Austin College, but he made the wrong entries on his 2004-2007 tax returns for the income and charitable deductions, according to a report by the Senate Finance Committee. He explained to the committee in answers to a questionnaire that since he routinely asked for the speaking fees to be donated to Austin College, he did not think the honoraria counted as taxable income and his paid preparer agreed. However, he now plans to file amended tax returns.
His confirmation hearing is scheduled for Monday, March 9. Kirk is at least the fifth nominee for an Obama administration post to run into tax problems. Other problems have arisen with Treasury Secretary Timothy Geithner and Labor Secretary Hilda Solis, who were both confirmed. However, Health and Human Services Secretary-designate Tom Daschle and chief performance officer Nancy Killefer were forced to withdraw their nominations (see How (Expletive) Hard Is This?).
In Kirk’s case, he paid additional tax of $2,188 and additional interest of $139 last October for tax year 2006 after the IRS notified him that he had failed to report a speaking honorarium of $5,000 and dividend income of $819. The return was prepared by a paid tax preparer and filed jointly with his wife. The IRS identified the unreported income during a routine match of his Form 1099 income with the Kirks’ tax return.
Despite the tax problems, Senate Finance Committee Chairman Max Baucus, D-Mont., expressed his support. “Mayor Kirk is the right person for this job and I will work to move his nomination quickly,” he said in a statement.
Friday, February 6, 2009
Labor Secretary nominee's tax problem
http://www.webcpa.com/article.cfm?articleid=30706
Washington, D.C. (Feb. 6, 2009)
By WebCPA staff
In the latest sign of tax trouble in the Obama cabinet, Labor Secretary-designate Hilda Solis’ husband had tax liens filed against him.
Confirmation hearings for Rep. Solis, D-Calif., were delayed after news of the tax problems surfaced. The White House admitted to the latest tax snafu after USA Today discovered 15 tax liens dating back to 1993 from the State of California and Los Angeles County totaling $7,630, some of which have since been paid. The tax liens had been filed against Solis’s husband, Sam H. Sayyad, and his business, Sam’s Foreign and Domestic Auto Center. Sayyad paid $6,400 this week to settle the outstanding tax liens, but still plans to appeal them.
Solis is the fourth nominee to the Obama administration to face tax questions in recent weeks. Earlier this week, former Senate Majority Leader Tom Daschle withdrew his nomination for secretary of Health and Human Services after he was forced to pay $140,000 in taxes and interest, mainly for the use of a car and driver provided by a private equity firm between 2005 and 2007 (see Daschle Bows Out After Tax Problems).
Treasury Secretary Timothy Geithner also needed to pay over $42,000 in taxes, interest and penalties for self-employment taxes that he owed from work he did between 2001 and 2004 for the International Monetary Fund (see Geithner Admits Back Tax Problems).
A third nominee, Nancy Killefer, was forced to withdraw after being named to the new post of chief performance officer. The Associated Press discovered a 2005 tax lien for $946.69 filed by the District of Columbia on her home for failure to pay unemployment compensation tax on household help.
Washington, D.C. (Feb. 6, 2009)
By WebCPA staff
In the latest sign of tax trouble in the Obama cabinet, Labor Secretary-designate Hilda Solis’ husband had tax liens filed against him.
Confirmation hearings for Rep. Solis, D-Calif., were delayed after news of the tax problems surfaced. The White House admitted to the latest tax snafu after USA Today discovered 15 tax liens dating back to 1993 from the State of California and Los Angeles County totaling $7,630, some of which have since been paid. The tax liens had been filed against Solis’s husband, Sam H. Sayyad, and his business, Sam’s Foreign and Domestic Auto Center. Sayyad paid $6,400 this week to settle the outstanding tax liens, but still plans to appeal them.
Solis is the fourth nominee to the Obama administration to face tax questions in recent weeks. Earlier this week, former Senate Majority Leader Tom Daschle withdrew his nomination for secretary of Health and Human Services after he was forced to pay $140,000 in taxes and interest, mainly for the use of a car and driver provided by a private equity firm between 2005 and 2007 (see Daschle Bows Out After Tax Problems).
Treasury Secretary Timothy Geithner also needed to pay over $42,000 in taxes, interest and penalties for self-employment taxes that he owed from work he did between 2001 and 2004 for the International Monetary Fund (see Geithner Admits Back Tax Problems).
A third nominee, Nancy Killefer, was forced to withdraw after being named to the new post of chief performance officer. The Associated Press discovered a 2005 tax lien for $946.69 filed by the District of Columbia on her home for failure to pay unemployment compensation tax on household help.
Friday, January 30, 2009
Daschle Paid $100,000 in Back Taxes
First it was Tim Geithner who did not pay his self-employment tax while working for IMF. Now Tom Daschle has the same problem. Didn't Joe Biden said it was patriotic to pay taxes? What message is the Obama administration and Congress telling the general public about paying their income taxes (NOTE: Sen. Daschle did the right thing by withdrawing his nomination on February 3, hours after Nancy Killefer, nominee for a new White House oversight position, withdrew her nomination after it was revealed she too didn't pay all of her taxes. The only good news is that between Daschle and Gaithner, they paid $183,000 to the IRS which they otherwise would not have paid).
http://online.wsj.com/article/SB123335984751235247.html
By JONATHAN WEISMAN
Former Senate Majority Leader Tom Daschle, President Barack Obama's nominee for the secretary of Health and Human Services, paid around $100,000 in back taxes after his nomination to pay for a car and driver he was supplied but did not report as income, according to documents being prepared by the Senate Finance Committee.
Mr. Daschle also took two vacation trips aboard a $30 million corporate jet belonging to non-profit lender EduCap, which faces a separate probe by the Finance Committee into its tax status.
The issues will dominate a closed-door meeting of the committee called for Monday afternoon, according to committee aides. His confirmation has been held up for weeks as committee staff pours over tax records and business ties of the former Senate majority leader.
A Daschle spokeswoman didn't respond immediately to requests for comment.
On the back-tax issue, Mr. Daschle was supplied a luxury car and driver by InterMedia Advisors, LLP, an investment firm specializing in buyouts and industry consolidation. Mr. Daschle served as chairman of the firm's executive advisory board. He told committee staff he had grown used to having a car and driver as majority leader and did not think to report the perk on his taxes, according to staff members.
Write to Jonathan Weisman at jonathan.weisman@wsj.com
http://online.wsj.com/article/SB123335984751235247.html
By JONATHAN WEISMAN
Former Senate Majority Leader Tom Daschle, President Barack Obama's nominee for the secretary of Health and Human Services, paid around $100,000 in back taxes after his nomination to pay for a car and driver he was supplied but did not report as income, according to documents being prepared by the Senate Finance Committee.
Mr. Daschle also took two vacation trips aboard a $30 million corporate jet belonging to non-profit lender EduCap, which faces a separate probe by the Finance Committee into its tax status.
The issues will dominate a closed-door meeting of the committee called for Monday afternoon, according to committee aides. His confirmation has been held up for weeks as committee staff pours over tax records and business ties of the former Senate majority leader.
A Daschle spokeswoman didn't respond immediately to requests for comment.
On the back-tax issue, Mr. Daschle was supplied a luxury car and driver by InterMedia Advisors, LLP, an investment firm specializing in buyouts and industry consolidation. Mr. Daschle served as chairman of the firm's executive advisory board. He told committee staff he had grown used to having a car and driver as majority leader and did not think to report the perk on his taxes, according to staff members.
Write to Jonathan Weisman at jonathan.weisman@wsj.com
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