As stories of a snag in his confirmation as HHS secretary floated across the Internet, ABC News reported late Friday that former Senate Majority Leader Tom Daschle, D-S.D., owed more than $128,000 in back taxes mostly on a car-and-driver service. The revelation came just two weeks after Timothy Geithner, President Obama's nominee as treasury secretary, admitted he owed $34,000 in taxes. Geithner was ultimately confirmed, but weekend press reports said it's unclear whether Daschle's nomination would be jeopardized.
After losing his reelection bid in 2004, Daschle consulted with New York private equity firm InterMedia Advisors, where he was provided with the car service, according to the ABC report. A White House spokesman told reporters that in prepping for Obama's nomination, Daschle and his accountant found the tax errors and fixed them, filing an amended return and making payments with interest. The ABC story totaled the amount at $140,167 involving taxes and interest for 2005, 2006 and 2007.
Obama's health care adviser during the presidential campaign, Daschle got the nod early on to rehabilitate the nation's health care system in a dual role on the president's Cabinet and as director of the White House Office on Health Reform. Daschle was to meet today with members of the Senate Finance Committee, which will take up his nomination, to answer questions on the tax matter.