What is it With Obama Democratic Cabinet Nominees and Not Paying Taxes, First Geithner Now Daschle


There are now three certainties … Nothing is certain but DEATH, TAXES and Democrats Tom_Daschlewill get a free pass and a Cabinet position after having not paid their taxes. Obama choice for Health and Human Services Secretary-designate Tom Daschle has not paid his taxes either? Does anyone not see a real issues with this and a double standard? Think the IRS will be so generous and understanding to you?

A funny thing has happened on the way to Barack Obama choosing his Presidential Cabinet, he is finding that this superior intellect Democrats have not paid their taxes. This time it’s Heath and Human Secretary designate Tom Daschle who has not paid taxes to the IRS. The tax issue was learned by the White House during the vetting process of Daschle. He recently filed amended tax returns to report $128,203 in back taxes and $11,964 interest.

Most of the additional taxes resulted from unreported income from the use of a car service provided him by a close friend and business associate, Leo Hindery Jr. The unreported income for that service totaled more than $250,000 over three years.

Daschle also had unreported consulting income of $88,333, in 2007. He also had reductions to charitable contributions totaling about $15,000 over the three years covered, according to the Senate Finance Committee document. The document, marked “Confidential Draft,” is a committee statement concerning Daschle’s nomination.

In the past such an embarrassing hit as being a tax cheat would have been fatal to a nominee; however, not when the Obamamessiah has chosen you and is committed to your nomination. Once again we are learning that there are a different set of rules for Democrats.

For now anyway, there is little evidence that Daschle’s tax delinquency is fatal to his nomination. Democrats have called a Senate Finance Committee meeting for Monday to discuss the impact on his prospects. Sen. Chuck Schumer (D-N.Y.) endorsed him yesterday, saying, “I believe Tom’s reputation for integrity will assure that he will be confirmed by the Senate Finance Committee and the full Senate.”

While Republican response has been muted, party members are signaling that the case of not one but two tax scofflaws on Obama’s staff is just too good to pass up — a chance to puncture Obama’s squeaky-clean image, particularly at a time when he is scolding Wall Street for about the need for greater personal responsibility.

It would have been one thing if one Obama Cabinet choice had a tax issues; however, there was been others.  First it was Treasury Secretary Timothy Geithner designate who was bagged for not paying self-employment taxes. However, Democrats are allowed to get away with blaming TurboTax. So what happens when a Democrat does not pay taxes and is chosen to be Treasury Secretary over the same IRS who they did not pay taxes to … Geithner gets a pass and is approved. What would have happened if this was a Republican? Hell, what would have happened if it was you?

Geithner said he was careless in failing to pay $34,000 in Social Security and Medicare taxes from 2001-2004 when he worked for the International Monetary Fund.

He apologized to Congress. “I have paid what I owed,” President Obama’s Treasury pick said. He also paid penalties.

UPDATE I: Daschle Delayed Revealing Tax Glitch

Thomas A. Daschle waited nearly a month after being nominated to be secretary of health and human services before informing Barack Obama that he had not paid years of back taxes for the use of a car and driver provided by a wealthy New York investor.

So why did former SD Senator Tom Daschle wait a month to tell Obama about his little issue of not paying taxes? Could it be because he would have been taken out of the running for the Secretary of Health and Human services? As The Corner states, if Obama was really serious about ending the “business as usual” in Washington, DC he would nix the Limousine Liberal Tom Daschle. Will Republicans draw a line in the sand and hold Daschle’s tax feet to the fire?

UPDATE II: Tax Revelations Mar, But May Not Derail Daschle Confirmation

Remember when the mere mention of not paying taxes meant your political career was up in smoke? Remember when hiring an illegal alien as your nanny or gardener meant certain doom? Not any more. Didn’t Barack Obama say he was going to end the “business as usual” politics in DC? What a farce. Obama is on the threshold of having two tax cheats in his Cabinet. They only reason why they paid their back taxes is they were caught.

If you liked this post, you may also like these:

  • Obama Cabinet Ethics: Tom Daschle & Nancy Killefer nominations Ended Due to Tax Troubles … “I screwed up” … “tired of being in the White House”
  • If its an Obama Nominee, It Must be Another Tax Cheat … This Time Kathleen Sebelius, Nominee for Health and Human Services Sec
  • Barack Obama – Tom Daschle Withdraw Nomination due to Tax Issues Caption Contest
  • Ground Hog Day 2009 … Punxsutawney Phil Sees Shadow, Six More Weeks of Winter
  • US Economic Crisis & Obama/Geithner Cannot Staff Treasury Dept, Annette Nazareth & Caroline Atkinson Withdraw

  • Comments

    26 Responses to “What is it With Obama Democratic Cabinet Nominees and Not Paying Taxes, First Geithner Now Daschle”

    1. Greg on January 31st, 2009 5:15 pm

      Tom Daschle is a tax cheat! See, Obama’s pattern?
      I predict we are heading for a flat tax. Might be a good move?

    2. katablog.com on January 31st, 2009 7:08 pm

      Flat tax? In your dreams Greg! Congress doesn’t want a flat tax because then they might actually have to pay those taxes they dump on us.

    3. Armed in Ohio on January 31st, 2009 7:46 pm

      It seems BO has trouble finding honest people for his cabinet,is that because he has always associated with this kind of people????

    4. Armed in Ohio on January 31st, 2009 7:48 pm

      What moderation do you expect to see????

    5. Armed in Ohio on January 31st, 2009 7:53 pm

      A flat tax has been suggested before however the politicans would have to pay thier fair share then!!!

    6. PA Mom on January 31st, 2009 8:55 pm

      Does the Obama administration know anyone that is not a tax evader or an unpunished felon?

    7. katablog.com on January 31st, 2009 9:55 pm

      PA – or a terrorist?

    8. Richard on January 31st, 2009 11:22 pm

      The best politicians that money can buy …

    9. rightknight on February 1st, 2009 12:28 am

      A healthy Free Enterprise System produces jobs
      and money that the government can confiscate
      and distribute around. Daschle and Geithner work
      for the government. Why would they willingly want
      to have any of their ‘own’ money confiscated for
      further distribution? Hey, and after the printing presses
      really get cranking, all the government guys and
      gals will be forced to give themselves huge raises
      in order to compensate the dollar-watering. It’s good
      to have a cabinet of folks who think alike in the
      face of hard times on the horizon. It is good PR
      to fess up if you get caught however.

      Please pass the Tax Amendment Forms.

    10. Michael on February 1st, 2009 6:43 am

      And what about this: http://jumpinginpools.blogspot.com/2009/01/us-mint-contemplates-putting-obama-on.html
      SM: Hell, why dont they just redo Washington’s head on Mt Rushmore and make it Obama’s likeness. The man has accomplished nothing and they want to make him a hero. Normally one has to earn their place in history.

    11. wg on February 1st, 2009 8:26 am

      I wonder if the Obama administration will invoke some kind of tax holiday for all those that have failed to pay or file or amend their taxes for say the past twenty years?

      Kinda like the library (forgot what they call it) asking for all their real overdue books back, making honest folks out of those that have slipped off the path.

      Maybe force this on states as well.

      I like the idea of a flat tax, no one can do everything, everyone can do something.

      It could be part of the Obama plan for honest government. Honesty and integrity start at the top, the highest among us.

      What are the chances that anyone will fix the problems with Freddie/Fannie and Wall Street? Close that sucking hole of financial waste being forced on taxpayers and look to recover the money already spent? Maybe look and find out WHY those things were allowed to happen in the first place and why some did not care to fix the problems when they became public? Why the media didn’t report the problems like they do other scandals?

      Maybe because the face in the mirror of financial disaster for the US and globe would look a lot like the faces of the Obama administration?


    12. Scared Monkeys on February 1st, 2009 9:58 am

      No wonder they love to raise people’s taxes … they do not pay their own.

    13. wg on February 2nd, 2009 7:06 am

      Another voice -
      Digging Hawaii Out of This Recession

      By Gov. Linda Lingle, 1/30/2009 12:20:45 PM

      This is taken from Gov. Linda Lingle’s 2009 State of the State address.

      Today’s struggling economy has created a deep hole in our budget that we need to dig out of this session.

      The Council on Revenues has never in its history lowered its projections by so much in such a short period of time.

      Over the past eight months, the Council has reduced its general fund revenue projection by $1.4 billion.

      This downward projection reflects an unprecedented decline in tourism, construction, business activity, and consumer demand brought about by national and international events beyond our control.

      These events – including sub-prime lending, frozen credit markets and volatile oil and other commodity prices – will impact us for at least the next couple of years.

      Climbing our way out of this hole won’t be easy.

      It won’t be quick.

      It won’t be without pain; but it will be done.

      The pain that will be felt by individuals and organizations both in and out of government will cause some to search for a specific reason or person to blame.

      When a recently retired couple watches the value of its 401K drop dramatically…or a family struggles to make the mortgage payment now that their work hours have been cut back…or a social service agency faces the need to lay off employees because the government reduces the purchase of a service contract they were counting on…it is natural to want to understand why this is happening, and to hold someone accountable.

      But we must refrain from playing the blame game because we know this downturn was not caused by any of us.

      And we know we had been making good decisions in recent years to create a brighter future for Hawai‘i’s people by lowering taxes, increasing science and math education, moving toward energy independence, and preserving more of our natural and cultural resources.

      We also know that we are all in this together, and it is only by sticking together that we will be able to deal effectively with the immediate fiscal crisis and strengthen our economy in the long run.

      We will need a mixture of courage, compassion, and collaboration to cope with the unprecedented budget gap we face.

      Collaboration doesn’t mean we will see all issues the same way, it means that for the sake of Hawai‘i’s future, we must acknowledge our predicament and find an acceptable way to move ourselves forward.

      In order to do this, we must start by accepting the fact that in this new economic and fiscal environment, there is simply no possible way to continue operating and spending the way we have.

      Although I am extremely optimistic about Hawai‘i’s long-term prospects, I am not going to sugarcoat the immediate challenge we face.

      In order to maintain the public’s confidence and trust, we must be open and honest about the nature and magnitude of what we are facing.

      The reality is that we will have to make some unpopular choices that will reduce some services and cause others to be delivered in a different way.

      Not because we want to, but because we can’t afford business as usual.

      A number of projects will likely be delayed, curtailed, or possibly eliminated.

      Not because we want to, but because we can’t afford business as usual.

      We will have to ask government employees, like those who work in the private sector, to accept some reduction in wages and benefits.

      Not because we want to, but because we can’t afford business as usual.

      Some who currently enjoy special tax credits, exemptions and deductions will see them reduced or eliminated.

      Not because we want to, but because we can’t afford business as usual.

      This is a time of shared sacrifice when everyone must be willing to give up something.

      This is a time when we must rely on each other, because no one is coming to rescue us.

      We must also keep in mind that the economy will likely continue to soften in the near-term, perhaps causing the Council on Revenues to further reduce projections at its March meeting and then again in May after the budget is adopted.

      We are not alone in facing this new reality and near-term uncertainty.

      Families and businesses across the country and throughout our state have had to come to terms with this same situation.

      But we should also recognize that the difficulty we face is temporary.

      Our nation will regain its economic footing, and so will Hawai‘i.

      How fast we recover here at home will depend to some degree on the decisions we make during this session.

      Our solutions need to be decisive enough to address our immediate situation, but just as important, must prepare the way for our future.

      Short-term solutions that merely defer the hard choices to those who will follow us are just as bad as no solutions at all.

      We can’t meet our responsibility by kicking the can down the road.

      We must make meaningful choices now that address the reality we face today while laying the foundation for a better future.

      That better future is one that transitions us from an economy over-reliant on land development to one that is innovation-driven and relies on the capacity of our people.


    14. Rusty Bridges on February 2nd, 2009 11:21 am


    15. ANewGirl on February 2nd, 2009 12:28 pm

      Nothing is certain but DEATH, TAXES & CROOKED POLITICIANS!

      Doesn’t matter DEM/REP…really most of them are all the same when you think about.

      #14- Rusty- lol @ Wesley Snipes…2 funny!

    16. ANewGirl on February 2nd, 2009 12:41 pm

      #11- wg says,

      It could be part of the Obama plan for honest government. Honesty and integrity start at the top, the highest among us.


      {While a flat tax may indeed be somewhere down the pike under the current Administration…}

      Please, WG!!!….knock it off, will you or I’m going to have to go borrow one of my GrandMother’s Depends!!!!

      Go easy on that Kool-Aide,too or at least see if you can pull yourself out of that dream state you appear to be languishing in that the OBAMESSIAH has a plan for HONEST Government! NOT GOING TO HAPPEN

      *** Somehow-the words “honest” & “government” just don’t seem even belong in the same sentence…Let’s keep things real here ******


    17. Dan on February 2nd, 2009 7:56 pm

      Thanks for the article. Obama would look good in one of these t-shirts.

    18. arubatraveladvisory on February 3rd, 2009 9:49 am

      Is Obama completely inept? Or, is the Democratic Party completely corrupt?

      Yes, you know, the party that believes they should TAX YOU MORE!

      Today the news is out that ANOTHER nominee has tax problems. Obama’s “Government Performance Czar”, Nancy Killefer, seems to have some tax paying problems herself.

      Let’s see. Daschle, Geithner, Caroline Kennedy, Al Franken, Killefer, Rangel….this is at the point of unbelieveable.

      Again, the party that has no problem saying they need to tax YOU, the American Middle Class, more because it is your patriotic duty (yep, Joe Biden said this), ARE TAX CHEATS themselves!

      Why the MSM is not all over this and exposing just how corrupt our elected officials and their appointees are is beyond me. Well, after watching the most recent election cycle I guess it isn’t beyond me.

      NEWS FLASH – NYTimes editorial demands Daschle step aside (maybe they should ask him to pay his taxes too!). How about asking Geithner, Killefer, Rangel, Franken, etc. to also step aside?

      The most ethical congress and administration ever are a bunch of frauds. It is time they are exposed. America deserves better.

    19. super dave on February 3rd, 2009 12:47 pm

      this will be the most corrupt white house in history. and the taxpayers will do all the suffering for it.

    20. Rusty Bridges on February 3rd, 2009 3:46 pm

      No wonder Dem. controlled senate/congress couldn’t run this country, they to busy stuffing their pockets with our money.

      Someone pass me back my “Michael Phelps Hydro High” bong, this is going to be a long four years.

    21. nelson on February 3rd, 2009 7:09 pm

      How many other reps and senators are tax cheats/felons etc>

    22. Angie on February 3rd, 2009 7:37 pm

      So the Democrates who are going to raise taxes on already overtaxed Americans are themselves TAX CHEATS. I guess the transparency Obama talked about in his bid for the presidency means there’s going to be no effort to even try to hide the fact that the party’s top picks for Obama’s cabinet are cheater’s and fraud’s.

    23. Janice on February 3rd, 2009 9:01 pm

      Tom Daschle withdrew his name today for the cabinet post he was wanting.

    24. Obama Cabinet Ethics: Tom Daschle & Nancy Killefer nominations Ended Due to Tax Troubles … “I screwed up” … “tired of being in the White House” | Scared Monkeys on February 5th, 2009 6:36 am

      [...] people and one for ordinary folks who have to pay their taxes. Obama nominees Bill Richardson, Tom Daschle and Nancy Killefer all out of Obama Cabinet on ethics [...]

    25. US Economic Crisis & Obama/Geithner Cannot Staff Treasury Dept, Annette Nazareth & Caroline Atkinson Withdraw | Scared Monkeys on March 6th, 2009 7:37 am

      [...] it said that Timothy Geithner, Turbo Tax problems and all, was the only man in America that could do the job of Treasure Secretary? Of course it seems [...]

    26. If its an Obama Nominee, It Must be Another Tax Cheat … This Time Kathleen Sebelius, Nominee for Health and Human Services Sec | Scared Monkeys on April 1st, 2009 6:32 am

      [...] interest when the returns were originally prepared? Or do we have another implausible case here, a la Geithner, of a public official — the governor of Kansas, in this case — using Turbo Tax or something to do her own [...]

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