Tuesday, January 27, 2009

Geithner Confirmed for Treasury Secretray

Timothy F. Geithner was confirmed by the Senate as the secretary of the Treasury despite questionable tax record.

Through 2001-2003, Geithner worked at IMF, the International Monetary Fund. IMF does not withheld federal tax for its US employees. However, IMF does provide detailed tax information, and even provides partial payment, so that the US employees can use the money to pay the IRS.

Mr. Geithner knowingly chose not to pay federal tax, including social security tax and medicare tax. Unfortunately, his 2003 tax form was audited by the IRS in 2006. He was forced to pay back tax for 2003. Still, Mr. Geithner knowingly chose not to pay back tax for 2001 and 2002, because "the statue of the limitations had run out on the 2001 and 2002 liabilities (NY Time)".

Mr. Geithner paid the back tax after being tapped for the Treasury post. The US Senate confirmed his appointment on Jan 26, 2009, because US is in urgent need of an honorable person to run the $700 bail-out project, and the $825 stimulus plan.

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