-Geithner paid $16,732 in back taxes and interest for the years 2003 and 2004 after an Internal Revenue Service audit, but didn't amend his 2001 and 2002 returns, which reflected the same error, at that time.
-He made amends for the 2001 and 2002 omissions, paying $25,970 in self-employment taxes and interest, but only after he was nominated to serve as Treasury secretary.
-The IMF circulated documents to Geithner offering extra pay to cover his U.S. self-employment taxes. He filled out the forms and received the extra cash, but he didn't pay the taxes.
All the same, there has been some juicy stuff, albeit somewhat less circulated, about his personal finances:
All of the Geithners' mortgages...carried adjustable-rate mortgages with the risk that annual rate increases could raise their interest payments to as much as 11.25 percent, though the couple tended to refinance or sell their homes before they faced a rate adjustment.
They also took out second mortgages, now known as home equity lines of credit, borrowing a total of nearly $1 million in 2002 on their second Bethesda home, which they bought a year earlier for $1,085,000.
In 2004, they sold that house for $1.45 million and bought their current house in the New York suburb of Larchmont with a $1 million Wells Fargo mortgage, later adding a $400,000 home equity line of credit, also from Wells Fargo.
Just a couple days ago, by happenstance, an otherwise hapless pup thought she mighta saw a putty tat:
"The causes of this crisis are many and complex. They accumulated over a long period of time, and they will take time to resolve," Geithner said.
"Governments and central banks around the world pursued policies that, with the benefit of hindsight, caused a huge global boom in credit, pushed housing prices and financial markets to levels that defied gravity.”
Maybe me simply dumb dog; irregardless, does it not instill great confidence in one's mind that the arguably second most important financial person in the country--if not the world--considers the causes of the crisis manifold and complex, and allegedly requires hindsight to see bubbles in housing and credit? Perhaps elaborate plan, as conniving as certain kibble-crunching kitties.
But truly, what conviction, to actually be smarter than the average bear, but to partake continually of trufflesque ARMs and HELOCs simply to show the masses how good they taste. Kudos to the new Maestro.
Would that I had a smorgasbord of delicacies with which to demonstrate palatability thereof to others. Cruel fate.
2 comments:
so basically geithner was part of the problem. Not only did he not pay his taxes on time, he only paid them when he was forced to because of a public position he would hold, but he also contributed to the subprime mortgage crisis but continually refinancing.
Is this correct? I'm a cat so I'm not as smart as a dog.
Scary stuff but how do we fix it? This depresses me. I need some catnip.
Silly kitty. Geithner was doing his job brilliantly.
As NY Fed head, he not only made sure Wall St. and the banks had plenty of wherewithal and berth to give and trade toxic loans and derivatives thereof, but made sure to set a great example by availing himself of these instruments to show how great they were.
Not to mention demonstrating that taxes are only payable when explicitly audited. Because then it's an honest mistake. Like when you and your ilk "accidentally" stumble upon and munch my kibble.
Fix? What's there to fix? We got the right guy in the right place, as per always.
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