More Tax Troubles: Hilda Solis Edition

Another day, another tax problem for an Obama cabinet nominee.

The Washington Post has just reported that a Senate session considering Hilda Solis for Labor Secretary was abruptly canceled this afternoon after USA Today disclosed that her husband had paid about $6,400 to settle tax liens against his business-some of which had been outstanding for 16 years. The Solis appointment has already been held up due to obstruction by at least one Republican senator, who used an anonymous hold to delay Solis's confirmation hearing due to her "less than forthcoming answers" on the Employee Free Choice Act. Senate Republicans also questioned whether she lobbied during her time as an official for American Rights at Work, a pro-union advocacy group.

Given how integral job-creation is to the stimulus, it's an especially inopportune time for the Obama administration to be without a Labor Secretary. Recognizing the danger of this leadership vacuum, Obama announced on Monday that Ed Hugler, a long-time Labor official, would serve as acting secretary in the interim. But if Obama truly is losing the stimulus message war, he also needs stronger, more visible figures by his side to sell the recovery plan to America-and a trusted Labor secretary would be invaluable in assuaging the public's fears about skyrocketing unemployment rates. It's too early to tell whether Solis will go the way of Geithner or Daschle. As it's her husband's tax troubles that are in question, not her own, I'd be more optimistic about her eventual confirmation. But given the sour turn of events this week, it might be wise to keep a few alternates on the Labor reserve bench...

--Suzy Khimm

More Articles On: Business, Labor, Law, Hilda Solis, Labor

COMMENTS (18)

02/05/2009 - 5:27pm EDT |

The silver lining of all these tax embarrassments is that maybe now pols will have some real motivation to reform the tax code.

02/05/2009 - 6:30pm EDT |

I'm beginning to wonder if I should change my party affiliation since I actually pay the taxes that I owe. This week does not seem to bode well for the Obama Administration. Yet, it is only one week. The partisans over at HotAir are chattering about the possibility of a lame duck in the first year. Overstatement to be sure, but our man has to get his act together pronto.

02/05/2009 - 6:32pm EDT |

Oy.  Getting annoying.

02/05/2009 - 6:57pm EDT |

The Killefer thing was a $900 and change deal that she paid a few months later.  With Solis's husband it's about $6,500, in connection with his own business that she doesn't run.

Not saying it's all above board, or that people shouldn't pay their taxes.  But these are such ominous and egregious offenses that they legitimately deprive the administration of talented people?

Daschle was a different ballgame.  So was Alberto Gonzales, however.

02/05/2009 - 7:17pm EDT |

irony, I know but at this point the first question should be "do you pay all of your taxes" if the answer is no, then no second questions. And the Killefer thing was egregious in that it got to the point that a lien was placed against her house for not paying taxes on her nanny. That is just idiot stupid.

02/05/2009 - 7:27pm EDT |

this is friggin ridiculous.  What were they doing in Obama land during the transition?  they were supposed to have ha dthe most thourough vetting process in the history of anything and somehow they ended up with a bunch of corrupt hacks!  WTF

02/05/2009 - 8:59pm EDT |

I know, I know.

The Killefer thing is inexplicable except in the sense that it might have been inadvertent and she doesn't seem to have particularly been thinking of high-level govt service at the time, and to that extent it could have slipped through the cracks of the vetting -- stupid but people aren't perfect.

The Solis thing is BS as it stands -- it's not about her, and at this rate nobody will ever meet the threshold.  To me it looks like the GOP wants to make life miserable while they can for a pro-union Labor Secretary.

02/05/2009 - 9:47pm EDT |

Yes, yes, the Killefer thing is bullshit, the Solis thing is bullshit, etc.  Problem is, too many freakin' "things."  Fact is, Dashcle is the one we *shouldn't* have given up on, and it wasn't a big deal.  It was big in terms of cash, but only because we were talking about the taxes on a driver over many years, and because he decided he wanted to overpay instead of account for the times he wasn't using the car.  (It still seemed like too much, but whatever.)  Obama should have said no to Daschle instead of grovelling for forgiveness from all the retarded editorial boards.  (Nobody else gave a shit.)  I love the NYT.  One day, it writes a snot ... view full comment

02/05/2009 - 10:05pm EDT |

If Obama is losing the stimulus package war i't sbecause he let Congress put together their risible package.

The administration ought to have taken the initiative and put together a program that would have actually had a chance of being efficacious and could then have won broad support.

What the House produced and sent to the Senate, smells bigtime, and worse, looks like it will blow an immense amount of money for nothing.

02/05/2009 - 10:09pm EDT |

Jhildner writes, re Daschle's tax amnesia, "...it wasn't a big deal.  It was big in terms of cash..."

Jhildner, that's like Thain saying a $35,000 commode and a 1.5 million office decorating bill is not big deal.

Maybe not to you and the bigshots, but to ordinary people who have ever had any dealings with the IRS for their mistakes, $128,000 in unpaid taxes sounds like a damn big deal.

Democrats love to imposes taxes.  Now we know why.  They don't expect ever to pay them.

02/05/2009 - 10:26pm EDT |

simon greenwood said:

The silver lining of all these tax embarrassments is that maybe now pols will have some real motivation to reform the tax code.

george:

When a tax "embarrassment" revolves around legal loopholes that are written into the tax code in the manner in which Dick Cheney invited the energy industry to write the legislation impacting their own bottom line, there might actually be a lot more money coming into the treasury.

Or maybe we could reform the tax code by mirroring the band Radiohead, who released their last cd on the web. People could download the songs and pay whatever they felt they were worth. Or pay nothing at all.

Like so many in the afflulent class do now.

ge ... view full comment

02/05/2009 - 10:38pm EDT |

Just pasted this in from the Doonesbury site:

"I screwed up."

-- Barack Obama, February 3, 2009

"I wish you'd have given me this written question ahead of time so I could plan for it... I'm sure something will pop into my head here in the midst of this press conference, with all the pressure of trying to come up with answer, but it hadn't yet... You know I... I hope I... I don't want to sound like I have made no mistakes. I'm confident I have. I just haven't... You just put me under the spot here, and maybe I'm not as quick on my feet as I should be in coming up with one."

-- George W. Bush, August 13, 2004, when asked if he'd made any mistakes since September 11, 200

02/06/2009 - 12:00am EDT |

Eh. This is so not comparable to Daschle's foibles. What ironyroad said.

02/06/2009 - 12:48am EDT |

If these were Republicans up for confirmation, would TNR bloggers wish to give them a pass? To ask this question is to answer it. Obama set the bar quite high during his campaign on ethical matters. Any number of TNR posters are essentially saying: "It's just rhetoric. Standards are for the opposition. What me worry?"

02/06/2009 - 1:11am EDT |

Some element of partisan preference is inseparable from political life.  But even if overriding principles are set in place, a grading of offences is required too, and the point of measurements is to measure -- prevent everyone being evaluated on absolute criteria.

Me personally? -- yes, I'd have given a few Bush appointees a pass.  I believe that the president is entitled to get the people he wants, more or less.

I'd rather rush to judgment on what they do or don't do in office, rather than what they did in private life.

02/06/2009 - 2:51am EDT |

Lib ref:  I assume I'm one of the TNR posters you're referring to, and, yes, I don't give a shit about this kind of stuff for the other side either, and I doubt you could ever produce damning evidence of my taking a high-minded goo-goo stand against Bush and Co. for similarly trivial matters, as opposed to expressing my utter disdain for the adminsitration's sheer incompetence, indifference, stupidity, dishonesty, impeachable violations of the law and abuse of power, its repeated use of the Constitution to wipe its ass, and fuck up after fuck up.  Anyway, as I asked you before, do you think that Daschle was a deliberate tax cheat?  Do you think that he was in the pocket of var ... view full comment

02/06/2009 - 3:05am EDT |

Ha ha, Chan, laughing here.  Yeah, I don't really care about Thain's expensive French not-a-toilet either.  And I didn't care about McCain's houses.  (I chuckled at some of the jokes about McCain, but in that way you do when you know that it's not really a big deal but it's helping your side, so why not?  I found Cindy McCain's wardrobe at the convention to be pretty hilarious, I guess, but only because I did not have super-charitable views toward her as a person.)  Anyway, yes, Daschle made a mistake on his taxes.  It was a big number, because a car and driver over several years is worth a lot.  For a conservative Republican to don the mantle of concern ov ... view full comment

02/06/2009 - 8:33am EDT |

Liberal Reformer - I'd like to think that I would be able to make the distinction between a rather egregious case like Daschle's and the non-issue that is Dolis's (it's not even about her, it's about her husband) if they were Republicans too.

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