Spring Break
Labor pick deals with husband's tax problems
Sam Hananel
Issue date: 2/6/09 Section: News
WASHINGTON (AP) - Labor Secretary nominee Hilda Solis became the latest Cabinet nominee to face questions about unpaid taxes Thursday as a Senate panel abruptly postponed a scheduled vote on her confirmation.
The postponement came after revelations that Solis' husband settled tax liens on his California auto repair business this week that had been outstanding for as long as 16 years.
The discovery posed another political headache for a White House already chafing after tax problems and other controversies derailed some administration appointments, including former Sen. Tom Daschle's nomination as health secretary. President Barack Obama pledged in TV interviews this week that he would "make sure that we're not screwing up again" in the vetting process.
White House spokesman Robert Gibbs insisted that Solis' own tax returns "are in order."
"She's not a partner in that business," Gibbs said. "So we're not going to penalize her for her husband's business mistakes."
Asked if the Solis nomination was in trouble, Gibbs said, "I don't believe it is at all."
USA Today first reported Thursday that Los Angeles County records showed 15 outstanding state and county tax liens totaling $7,630 against Sam Sayyad and his business.
White House spokesman Tommy Vietor said Solis and Sayyad were unaware of the liens until asked about them this week. He said Sayyad paid about $6,400 to Los Angeles County on Wednesday to settle the liens, but he plans to appeal.
Vietor said Solis and her husband file personal income taxes jointly, but that Sayyad is the sole proprietor of the business and all tax communications about it go only to him at a separate business address.
"Sayyad does not believe the penalties were accurately assessed, but he's paid them out of an abundance of caution and is planning to appeal," Vietor said.
The Democratic and Republican leaders of the Senate Health, Education, Labor and Pensions Committee issued a joint statement minutes before the committee was to have met to vote on Solis' nomination to say that lawmakers need more time to review documentation submitted in support of Solis.
The postponement came after revelations that Solis' husband settled tax liens on his California auto repair business this week that had been outstanding for as long as 16 years.
The discovery posed another political headache for a White House already chafing after tax problems and other controversies derailed some administration appointments, including former Sen. Tom Daschle's nomination as health secretary. President Barack Obama pledged in TV interviews this week that he would "make sure that we're not screwing up again" in the vetting process.
White House spokesman Robert Gibbs insisted that Solis' own tax returns "are in order."
"She's not a partner in that business," Gibbs said. "So we're not going to penalize her for her husband's business mistakes."
Asked if the Solis nomination was in trouble, Gibbs said, "I don't believe it is at all."
USA Today first reported Thursday that Los Angeles County records showed 15 outstanding state and county tax liens totaling $7,630 against Sam Sayyad and his business.
White House spokesman Tommy Vietor said Solis and Sayyad were unaware of the liens until asked about them this week. He said Sayyad paid about $6,400 to Los Angeles County on Wednesday to settle the liens, but he plans to appeal.
Vietor said Solis and her husband file personal income taxes jointly, but that Sayyad is the sole proprietor of the business and all tax communications about it go only to him at a separate business address.
"Sayyad does not believe the penalties were accurately assessed, but he's paid them out of an abundance of caution and is planning to appeal," Vietor said.
The Democratic and Republican leaders of the Senate Health, Education, Labor and Pensions Committee issued a joint statement minutes before the committee was to have met to vote on Solis' nomination to say that lawmakers need more time to review documentation submitted in support of Solis.
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