Suppose Obama is "forced" to drop Tim Geitner and ends up nominating Robert Reisch instead

[hedgehog]

(Or does something similar with any of his appointments) would you say Obama made a terrible error in judgment, or would you suspect that he is smarter than most people realize?

[MarjorieG]

1. Reich fabulous, but revealing that comment to Kudlow said needing someone to fight for him.

Guessing from outside. Wonder if different functions, and even if Reich wants to be Sect'y. I think we're underestimating Geitner knowledge of inside stuff, and ability to follow a different lead than path before.

[hedgehog]

3. I don't know enough about the man to have an opinion one way or the other.

I do know the Bre'r Rabbit story in which Bre'r Rabbit makes his escape by begging the Fox "Please, whatever you do, don't throw me into that briar patch!" It would be a hoot if somewhere along the line, Obama regrettfully is pressured to withdraw his first choice and ends up with the person he really wanted all along!

[rox63]

2. I'd love to see Reich in Obama's cabinet n/t

[WI_DEM]

4. neither. It means something developed and Geitner had to be dropped and

it's time to nominate somebody else. Remember Bill Clinton nominated two women for Attorney General in 1992-93 who had to withdrawl before getting Janet Reno. These things happen.

[grantcart]

5. BTW

When I worked for an international organization the choice of participating in a national retirement scheme (like social security) was voluntary and US law did not require it, or that's what they told us.

Because you are contributing to an alternative UN system most people opted not to.

When you serve in the international system there is no one to explain any of the benefits to you and the HRO is in Geneva so advice is passed around from old hands and I am sure that there is a lot of misunderstanding.

Also as an American there are a whole set of additional rules and regulations that you have to study.


For example Americans are the only nationality that have to pay taxes for working in jobs outside their country. There is a high exemption and local taxes are counted against it so it applies to only a few individuals. Americans who serve as International Civil Servants and pay income tax (maybe they don't qualify for the residency exemption that year) then get it reimbursed by a payment stipend (which ironically is paid for by the US Government). Those taxes have to be paid by the organization because you can't have the same employees doing the same job paying different tax rates.

[hedgehog]

6. I'm really suspicious that the hoops you have to jump through to

pay the tax up front or to correct any missed payments are so complicated that the real story is that Mr Geitner looked at the paperwork and said "Screw it!"

[grantcart]

8. more likely somebody told him to ignore it, as it didn't apply to him

[crimsonblue]

7. Geitner is the only man in America that fully understands TARP

so we need him. A couple of tax peculiarities won't derail his nomination.

[avaistheone1]

9. Oh, but mark my words Geitner will be derailed.

Geitner did not pay his taxes despite being warned by the IMF to do so. This is not a pecularity.
This making a deliberate run around the IRS - not a good message from a man who would be the number one government finance person in the country.

Geitner is dead in the water. Perhaps he can take on a consultant role and his TARP knowledge can then be tapped.

[crimsonblue]

10. haha. Wrong on all accounts.

this is a commonplace tax error, and is nothing serious. He has paid full restitution and the IRS considers the matter closed. The tax code is so convoluted that anybody can make a small mistake. This is nothing big. Geitner will be confirmed. Both sides of the aisle have repeatedly stated that this will not derail his confirmation.

[avaistheone1]

12. Bye, bye Geithner

IMF Informed Geithner on Taxes

By JOHN D. MCKINNON and BOB DAVIS

Timothy Geithner, whose nomination as Treasury secretary has been delayed by his past failure to pay taxes, was repeatedly advised in writing by the International Monetary Fund that he would be responsible for any Social Security and Medicare taxes he owed on income he earned at the IMF between 2001 and 2004.

Questions about Mr. Geithner's initial failure to pay more than $34,000 in taxes are clouding his prospects for confirmation. The Senate Finance Committee postponed Mr. Geithner's confirmation hearing from a tentative Friday date to next Wednesday, which means President-elect Barack Obama will take office without a Treasury secretary amid the biggest financial crisis in decades.
Current and former IMF officials said the fund provided numerous warnings to U.S. employees about payroll taxes. According to IMF documents released by the Senate Finance panel, Mr. Geithner regularly received information about his tax obligations.

Mr. Geithner didn't make any Social Security or Medicare tax payments on his income during the years he worked for the IMF, though he did pay income taxes. After the Internal Revenue Service audited him in 2006 and discovered the payroll-tax errors, Mr. Geithner corrected them for 2003 and 2004. Only after Mr. Obama picked him for Treasury secretary last fall did Mr. Geithner pay the Social Security and Medicare tax he owed for 2001 and 2002...


http://online.wsj.com/article/SB123194884833281695.html



So even though Geithner was warned repeatedly in writing by the IMF he was responsible for taxes
Geithner deliberately chose not pay them. Then only after Geithner was caught did he pay his taxes.

No, I don't trust a tax cheat to run the IRS and nor do I trust Geithner to be honest with the American people. This is a positon of trust and he already has violated our trust. This country is already in turmoil due to the fact we had a bunch of scam artists running it for the last eight years. We don't need more of the same to run Treasury. Geithner is toast. Bye, bye.

[crimsonblue]

13. tax cheat?

bullshit. it is a COMMON tax error. i guess you can't get that through your vindictive little mind. A few tax improprieties say nothing about the character of Geitner. The guy has plenty of money, there's no reason for him to willingly not pay his taxes. "Greed" is not a viable excuse. He simply did not understand the arcane tax code. He has stated in his own words that he was led to believe that the taxes he was paying were more the only taxes he owed. Once he found that he owed back taxes, he immediately settled the matter.

It's disgusting that you are letting your vitriolic and immature hatred of Geitner cloud your judgment. Geitner is the best person to handle the current economic situation.

[high density]

16. Derailed because of this? You've got to be kidding.

Look at the people that were easily confirmed in the past 8 years... This is nothing.

[avaistheone1]

17. Got it! War is peace, freedom is slavery, and ignorance is strength

and Not paying your taxes is a noble thing to do, and entitles one to a fiduciary position and lead the Treasury.

Crime does pay.

[Bleacher Creature]

11. Not gonna happen.

There's nothing here that will derail Geitner. Maybe there's something else out there, but this won't do it.

[Mudoria]

14. Not going to happen.

[EFerrari]

15. Neither choice, really. I think Geitner made a mistake and that's all. It happens.

:shrug:

[Warren Stupidity]

18. Congress will buy him a new spell checker for his crackberry.

[On the Road]

19. Do You Mean the Initial Appointment Was an Error

or retracting would be an error?

In any case, there is enough need for Geithner to make it hard to derail him. Not saying it won't happen, but if it can presented as a mistake, IMO he'll make it through.

I actually would not want Robert Reich at Treasury right now. The financial sector is not out of the woods yet. If another shoe drops, you need someone with his instincts and background.