Killefer withdraws nomination over tax issues

[Psephos]

Source: CNN Political Ticker

From CNN Senior White House Correspondent Ed Henry

WASHINGTON (CNN) – Nancy Killefer withdrew her nomination Tuesday to become chief performance officer, a new post in President Barack Obama's administration, a White House spokesman told CNN.

Officials said privately the reason for the withdrawal was unspecified tax issues.

The withdrawal is an embarrassment to the White House, as the much-touted post was aimed at scrubbing the federal budget.

<end of article>

Read more: http://politicalticker.blogs.cnn.com/2009/02/03/killefe... /

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More here: http://thecaucus.blogs.nytimes.com/2009/02/03/citing-ta...

[LakeSamish706]

1. And the tax issue (according to MSNBC) is $1000.00... hmmm n/t

[stillcool]

3. Damn...that's amazing..

We were audited a few years back, and had to pay back taxes, but it didn't affect my employment. After that we always used an accountant..and he filed late one year. I guess I'm a tax-cheat!

[IndianaGreen]

2. Haven't these people heard of H&R Block?

Or like Indy car racer Helio Castroneves, did they rely on slick tax advisers to evade taxes and defraud the US government?

[stillcool]

4. for 1000,00 bucks?

I guess you've never been audited.

[IndianaGreen]

5. I guess I am not in a high enough income bracket to get audited

or to have many deductions or investments of any sort. It must be nice to have a job with benefits and 401k plan.

[stillcool]

7. we've been audited..

and have just barely made it into middle class. No health benefits, no retirement, no assets. It can happen to you too.

[riderinthestorm]

18. We got audited making $19k/yr.

Even though my husband's job title was (at the time), "Equestrian Manager" for a govt facility, the IRS said he wasn't an "equestrian professional".

Got hit for penalties and backtaxes. We hired an attorney too and still lost. Then of course, the IRS goes after the previous year's taxes and the year after that (essentially auditing 3 years cause they know you've claimed the same stuff and so once you lose, they get you).

For many, many, many, many years, the IRS ONLY went after low to low-middle income people because the very wealthy can afford the best tax preparers, so low income people are easy pickings (as our tax attorney said).

We're "horse people". A big red flag for tax crime according to our tax attorney and why we were flagged.

The IRS has had several years of underemployment but I expect as the fed govt gets squeezed, revenue collectors (the IRS) will wind up again and I bet we're going to hear a lot of horror stories about people who get audited even though they are below the poverty line. And lose. And get levied so much more money than they can possibly pay. And begin a vicious cycle.... About 2 decades ago there were Congressional hearings into IRS abuse and it's terrible.

[brooklynite]

6. This isn't an income tax issue...

per Time Magazine: "The former McKinsey consultant faced a $900 lien in 2005 on her home for not paying taxes on household help"

[IndianaGreen]

8. Isn't that a systemic problem among the American elites?

And closer to home, don't we have the same problem with payroll taxes not being paid on laborers?

[karynnj]

13. Why do so many do this?

It is not hard to pay the taxes and it is really important to do for the person doing the work. This is also a values issue.

[high density]

9. I thought all of these people...

...had to fill out those forms that basically ask how many guns you own, who you've had sex with, and if there's anything dangling out there that will embarrass the President.

[Xenotime]

10. This is a non-issue. The GOP is causing the pressure to step down..

[Donnachaidh]

11. perhaps we should demand audits of EVERY single representative in Washington

I'll bet we'll find all sorts of nonsense that was *forgotten*. We can start with Boehner and McConnell -- and audit them for the previous 10 years or so.

[tonycinla]

12. ALL CROOKS

Everybody in DC ,on both sides of the aisle,is a crook.It is the end of ethics in our country.It is, and has been for some time ,a grab the money and run country.Anyone who thinks this is just one party is delusional.This is a circus.Obama ,IMHO,will make little progress.

[karynnj]

14. Actually there are honest people on both sides of the aisle

as well as people on each side who either break the rules or cut it very very close.

[marshall]

16. I just wish Obama would start nominating some of the honest ones

I'm tired of the crooks stinking up the administration.

[toopers]

15. If they are not crooks then they are really only interested in . . .

maintaining their own power. And a lot of Americans want these people to be in charge of important parts of our lives.

[blueworld]

17. what's the point of tax cuts if they're not paying anyway? n/t

[biopowertoday]

19. "household help" is code for a Nanny problem which Obama aware of:

Welllllll....she would not get raked over the coals if she did not have these problems. Blaming the Senate in advance is being a victim.



http://politicalticker.blogs.cnn.com/2009/02/03/obama-t... /

February 3, 2009
Obama team was fully aware of Killefer tax issues
Posted: 01:32 PM ET

From CNN National Political Correspondent Jessica Yellin


(CNN) — A senior administration official says the tax issues surrounding former chief performance officer nominee Nancy Killefer are "a little more complicated" than some reports have suggested.

There are actually a few tax issues — all in equally small amounts, all related to household help. Killefer’s withdrawal came after the Obama team spoke with people on the Hill, and came to believe the Senate would rake her over the coals as the third Obama nominee with a tax issue.

This official says the vetting team was aware of all Killefer’s tax issues, and that she was immediately forthcoming about them. Going back to the fall, the transition had decided they wanted her for this role when they unveiled the economic team, but held off on announcing her while they determined if they were comfortable with her tax issues. They decided they were, and announced Killefer about two weeks after the rest of the team........

[Kablooie]

20. Yes. The most important aspect of Obama's cabinet must be a perfect tax record.

Anyone with any tax issues certainly wouldn't be good at their job no matter what it is. .

[Psephos]

21. After eight years of ethically questionable people in govt, asking for better is a good idea

When elites hide their tax avoidance and pretend it was all just a simple mistake, I immediately wonder what other corners they would cut, and what else would be withheld from public knowledge. People of such demonstrated inability to discipline themselves should not be placed in positions of high trust.

You appear to think it's about skill. Skill is neutral, and can be used for good ends or bad ends. The real determinant is character. The sorry slate of "ethically challenged" candidates we've seen so far has been notably deficient in that.