Posted on 01/14/2009 3:36:57 PM PST by Molly Pitcher
From your link:
Samuel R. Berger, who was deputy national security adviser in the first Clinton term and national security adviser in the second, also would not comment on Mr. Panetta's role, apart from praising him as "someone with tremendous integrity....
Like Lucky Luciano vouching for Al Capone's integrity.
If this is the case, and it probably is as hey, the IMF, they should certainly know, then this is legal. So long as the gross is taxed and goes in taxable income.
Think about it, however. The increase in that GROSSED UP amount is ALL subject to the 15.2% self-employment tax. So they get an increased gross to make up for the self-employment tax, but they must then pay 15.2% on the increased gross which was originally given to pay that 15.2%.
This is why this sort of thing is not normally done although the way it’s done, if you are correct, is legal. It’s like paying tax on tax forever. Like looking at a picture of a mirror, it goes on into infinity.
Nicely stated!!
That makes some sense, actually. Thx.
There goes the innocent explanation for not paying taxes. Also the IMF should have a claim on the return of funds given to pay taxes that wasn’t used for this purpose.
And this is the “great guy” that “everybody likes”. Prolly cuz he is a liar like most of the people down there in the gubmint.
Am I reading this correctly, he worked for an outfit (IMF) who reimbursed him for the taxes he paid???
If it's "self-employment" tax then he was not their employee. He would have been some kind of contractor performing a contracted service for them. The additional cash they gave because he had the additional cost of self-employment tax would be additional gross income for him. If you give me an additional 10 grand for SE tax, then I owe an additional 1400, and if you give me that 1400, then I owe an additional ~180, and if you give me the 180, then I owe an additional ~24, and if you give me the 24, then I owe an additional 3.20, and if you give me 3.20, I owe an additiona .40.....06.... Therefore, if instead of 10, you give me 11,700, then you and I break even on my SE tax owed.
Hmm. Four years of malfeasance? Sounds perfect for Zero’s MalAdministration.
I'm sure some of them want to copy.
You are right...an independent contractor is not an employee.
So long as the money is reported it is legal.
Paying an employee’s taxes, even a contractors, certainly can be done, but it’s generally avoided just for the confusion here.
But hey....I was just trying to offer a point of view.
Now I wonder if Geithner was REALLY an independent contractor, according to the legal definition of the word.
Employer can’t tell when to report to work...you think the IMF never told him when to come to work? Employee can’t have office on site....there’s rules.
....hey....there’s rules and no matter how you pick it apart...Geithner has no business being Sec. of the Treasury. And by me the IMF is skirting the rules but I don’t suppose anybody will go after them.
If Hussain was a Repub this would be the most corrupt regime ever. How can the head of the IRS be a tax dodger?
Pray for W, America and Our Troops
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