Today I had the television on for the confirmation hearings for the nomination of Tim Geithner to be the next Secretary of the Treasury, who has been identified as the person to get the economy going. In case you did not know this or not, he his hit some road blocks on his tax return which he refers to as as "wage versus self-employment income mishap."
Ask anyone self-employed person what this means!!! Anyone of them can tell you that if you are self-employed or receive a 1099 you have to pay both halves of social security (7.65% as the employee and 7.65% as the employer). It is pretty simple stuff and for the next Treasury Secretary to refer to this as a mishap is pretty scary.
It gets better. Although he took responsibility, he indirected blamed his software program--TurboTax. I almost fell off my chair when I heard that. Being self-employed, I have not even tried to do my own taxes in 25 years and hire a CPA to do my returns. Honestly, the next Treasurer should not being making mistakes like this.
Same Time Next Year
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It’s been nearly a year since I wrote about the problems that come from
having 11 bosses who are not on the same page about anything, as well as
suggestion...
4 months ago
4 comments:
Bill, I suspect the problem comes when you are an employee, and do work on the side.
Let's say I work as a teacher, but go to a conference where I am paid to make a speech. The company that paid my fee sends a 1099 for $1000.
If I tell turbo-tax that it's 'other income' and it puts it on line 21 of the 1040, it will not calculate self-employment tax for me.
I have no idea if this was the case or not, but I've seen paid preparers do exactly that.
Steve:
This guy is suppose to be the next head of the Treasury? This is basic accounting/tax return 101. The fact he got this wrong is pretty scary.
Bill
This clown makes good money and if hes married his wife prob. does too and he cant afford to pay for tax prep or maybe he didnt want to b/c he knew the tax preparer would make him pay the req'd tax and now this clown will soon become the top dog in the US Teasury that oversees the IRS...........Dam joke!!!.so much for "change" in Washington.....more of the same old same.
Hire a CPA (Constant Pain[in] Ass) or another preparer.git her done right
And oh ya He's the only person who can do this particular job h'es going to get..........ya right!!!!!! No one should have to depend on one single person like that ...!!!!!!!
I hope ther republican fillibuster this appt.
Thanks for sharing this information about TurboTax...
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