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Another Obama Cabinet Nominee Didn't Pay Taxes on Time

Another nominee, another tax problem:

Kathleen Sebelius, President Obama's nominee to become Health and Human Services secretary, said in a letter obtained by the Associated Press that she made "unintentional errors" on her taxes and has corrected her returns from three different years.

In the letter, which was sent to senators and dated today, Sebelius wrote that she had made changes related to charitable contributions, business expenses and the sale of a home, according to the AP.

The wire service reports that she and her husband paid just over $7,000 in back taxes, along with $878 in interest, for the years 2005-2007.

...

CBS News has obtained Sebelius' letter to the Senate Finance Committee. She writes in it that she and her husband hired a Certified Public Accountant to review their returns after her nomination and that the CPA uncovered the errors, after which they amended their returns.

On the charitable contributions front, she writes that she could not locate three acknowledgment letters out of her 49 charitable contributions in excess of $250, and thus eliminated those three deductions.

No, this isn't as shocking at Daschle's $140,000 tax problem, but that's not the point. It's important because we have, once again, another of Obama's nominees hasn't paid all of her taxes. This is becoming standard operating procedure for this administration that I will be surprised if Obama doesn't have any more nominees with tax problems.

More at Hot Air.


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Comments (17)

Does it really matter? Pres... (Below threshold)
JC Hammer:

Does it really matter? President Bush had people who paid their taxes, but were unqualified to be in their position.

What is worse, unqualified people, or people who like most people, are qualified, but not having off shore accounts, cheat on taxes.

Get over your ODS, like you accused everyone who didn't agree with President Bush as having BDS. What is the difference? Explain it will you?

Does it matter? You can ho... (Below threshold)
John:

Does it matter? You can honestly ask that question JC?

I guess you would support unpatriotic Americans, as Biden would claim, into positions of policy, eager to be their sheep.

You want to know what the difference is? The difference is that these unpatriotic Americans should be facing possible jail time, just like every other ordinary citizen would if they failed to pay taxes, but they are not. These people who fail to pay their taxes are rewarded with government jobs, collect a pay check, keep their possessions, while ordinary Americans would face more severe penalties, including loss of property. I don't care what party they are in, if they are tax cheats they have no place within our government.

Your post just shows how intellectually inept you are. You have no problems with tax cheats telling you how to live, what to buy, what to eat, how your taxes are going to be raised and how you need to pay. All the while, they laugh at all Americans, detractors and supporters alike, but they cheated the system, America, and they get to live off of you.

JC Hammer, are you sure you... (Below threshold)
Chuck:

JC Hammer, are you sure you want use a phrase like "people unqualified to be in their position" when you're talking about the Obama administration? It's headed by a guy who's never had any executive experience at all, and it shows. He's muffed the meeting with the British PM, started a trade dispute with Mexico, tried to charge veterans foe service-related injuries, signed into law a bill that explicitly authorizes bonus payments to AIG executives and now wants to renege on it, thinks the gov't can do a better job running GM (well, they did such a good job with Fannie and Freddie, the Post Office, Amtrak...) etc., etc., and has nominated how many tax cheats now? Is it five, six? Is there any prominent Democrat that doesn't cheat on taxes? You clearly don't think honesty is important - forgive me if I do.

At least you can ... (Below threshold)
irongrampa:

At least you can give them credit for consistency.

The only victim of ODS here... (Below threshold)
John Irving:

The only victim of ODS here is JC Hammer.

So much for Obama's vaunted "leadership." If he could assemble a worthwhile crew, he'd have done so.

No one with the ability and a decent record wants to be a part of this disastrous administration.

these unpatriotic Americ... (Below threshold)
Brian:

these unpatriotic Americans should be facing possible jail time, just like every other ordinary citizen would if they failed to pay taxes, but they are not. These people who fail to pay their taxes are rewarded with government jobs, collect a pay check, keep their possessions, while ordinary Americans would face more severe penalties, including loss of property. I don't care what party they are in, if they are tax cheats they have no place within our government.

Hear hear!

Brian: "Hear hear!"<p... (Below threshold)
Drago:

Brian: "Hear hear!"

Brian, did you even read the article you linked to?

Here's the key paragraph in the article that "Why won't Media Matters hire me"-Brian "forgot" to highlight:

"The state this week reversed a policy that had treated the payments as legitimate business expenses under the Internal Revenue Code, said state administrator Annette Kreitzer. Payments to employees charging "per diem" expenses to stay in their own homes will be treated as income subject to taxes, Kreitzer said, and the state will update the employees' W-2 forms."

Gee, that means that until this very week, Palin's claims for per diem were considered legitimate business expenses under the IRS code by the state of Alaska.

This establishes a brand new double standard policy by Dems:
Dems are innocent if they do not pay taxes on income for which they know they owe taxes (see Geithner) and Repubs are guilty for not paying taxes on income that is not currently considered income for taxable purposes by state agencies or the IRS.

Fab-u-lous.

Brian is batting 1.000 for ... (Below threshold)
John Irving:

Brian is batting 1.000 for links failing to make his point.

He's got to be a super-secret plant from Free Republic working to discredit the last shreds of credibility the left has.

Gee, that means that unt... (Below threshold)
Brian:

Gee, that means that until this very week, Palin's claims for per diem were considered legitimate business expenses under the IRS code by the state of Alaska.

Wrong. It means that Palin received an interpretation of tax law that was incorrect, and when asked about it, the person providing that opinion said "whoops!" No codes were changed.

By the way, if we go with your interpretation, that means that the state just instituted a retroactive tax applicable to all state citizens! I suppose that would establish a brand new double standard policy by Republicans.

brian - "Wrong."</... (Below threshold)
marc:

brian - "Wrong."

Good, glad you admit you are.

Now for the quotes from the linked article: "The state this week reversed a policy that had treated the payments as legitimate business expenses under the Internal Revenue Code,"

And that's wrong? Bet it happens all the time at both the state and fed level.

"Reimbursement for legitimate business expenses is not considered taxable income under the Internal Revenue Code, tax lawyers said. At the time of The Post's story, some tax lawyers and liberal groups suggested that Palin's per diem expenses should be treated as income."

Gee looky there, even the tax experts are divided on the issue.

brian... aren't you missing something?

Why haven't you jumped on the idiot blogger's bandwagon in AK that has filed ethics charges again Palin because... OH, M.. A.. Y.. GOD, she was seen wearing a coat with a logo of a commercial enterprise when attended the annual snow machine race.

You're slipping. Better take a few more of your "Palin Hate Pills."

If anything, this ongoing m... (Below threshold)
Oyster:

If anything, this ongoing mess should be a clear message to all of us that our tax system needs to be simplified. It's so convoluted now you could take all your paperwork for a year to any number of tax experts and watch them all come up with different results.

Brian, what does Sarah Pali... (Below threshold)
419:

Brian, what does Sarah Palin have to do with this thread? Its about Obamas failure to pay taxes and everyone He picks failures to pay their taxes.

Bad attempt at trying to change the subject from Your criminal messiah.

This sounds like good faith... (Below threshold)
Neoluddite:

This sounds like good faith errors on Governor Sebelius' part. They are doing worst case retro-active tax audits as part of their vetting. That she could not find all the required paperwork for a charitable deduction does not mean the donation was not made. In the past, I have had to remind charities to get the required statements. I'm no fan of the good Governor or Obama, but there is no evidence of fraud or evasion in this story. Let's not lose credibility howling over this one.

I hope this doesn't ruin he... (Below threshold)
Wayne:

I hope this doesn't ruin her chances. We are hoping to get rid of her as Governor.

Neo, you make no sense. Wh... (Below threshold)
Sue:

Neo, you make no sense. When you have your taxes done you need the paperwork to do the taxes........and then it is kept WITH the copy of the taxes.

This means she knew she did not have the paperwork when she DID the taxes. And she KNEW she didn't have the paperwork to document her contributions.

It's a pretty good reason in itself to disqualify her for a high level position in government...if she can't even keep her own accounting/taxes in order and follow the most basic rule the IRS has-having documentation of tax deductable donations-what makes us believe that she would be up to the demands of that kind of job.

Again it's an indicator of her integrity, willingness to follow the law, and her ability to understand "complicated" things. She flunks.

I dunno. The mortgage excu... (Below threshold)
SCSIwuzzy:

I dunno. The mortgage excuse sounds like one that would confuse plenty of people. It doesn't take much to have 7k of deductions on a mortgage.
She spotted the mistake, took steps to fix it. Unlike Geitner...

brian - "Wrong."G... (Below threshold)
Brian:

brian - "Wrong."
Good, glad you admit you are.

Good lord, marc, what are you, 12? You don't need to answer.




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