Tim Geither Questioned Over Unpaid Social Security, Medicare Taxes

Treasury Secretary nominee Tim Geithner ought to be really good with finances, you would expect. But perhaps not. According to a WSJ report, Geithner's confirmation has been put off over questions about Medicare and Social Security tax payments.

Or rather, the lack thereof, for several years while he worked for the International Monetary Fund.

Additionally, Tim Geithner apparently employed an immigrant housekeeper who briefly lacked proper work papers. I suppose the word briefly might be helpful, as the issue is really that her employment authorization expired three months before she quit working for Geithner's household.

Because of the issues, rather than a hearing, Tim Geithner had a closed door meeting on Tuesday with members of the Senate Finance panel, who will confirm, or reject, his nomination.

Several senators proclaimed they would still back him. Support even including GOP support, such as Sen. Orrin Hatch of Utah:

"I still support him. He’s a very, very competent guy.”

With regard to Medicare and Social Security taxes, the IMF, as an international organization, does not withhold Social Security and Medicare taxes from its American employees' paychecks. Those workers are supposed to to pay tax themselves, as if they were self-employed.

According to reports, Geithner’s accountant told him he was exempt from self-employment taxes (according to Obama transition officials), thus the issue with unpaid taxes.

A tempest in a teapot? Apparently Geithner volunteered to amend the earlier returns and pay the taxes and interest, a total of $25,970, after Obama indicated that he wanted to nominate him for the Treasury job.

Hopefully this will be resolved soon, as making it right is simply, it would appear, be a matter of writing a check. Still, what would a nomination be without controversy.