Perhaps the most daunting part of all of this, however, is how much effort and paperwork it takes to do the right thing. They may demand higher wages to make up for money that an employer takes out, raising employer costs even more. The employees often balk, too, because they don’t want taxes withheld from their paychecks. Some employers don’t want to pay the extra 10 percent or so on top of the employee’s salary to cover the taxes and other costs. “And why should I pay for something when the vast majority of people are not paying it?” Ellis, president of the Nanny Tax Company in Chicago, which helps clients pay on time. “The chances of getting caught are slim,” said Arthur U. By 2006, the latest year for which data are available, the number was down to 225,441. In 1997, taxpayers filed 310,367 household employee tax payment forms with the Internal Revenue Service. Various estimates put the tax cheat rate at 80 to 95 percent of people who employ baby sitters, housekeepers and home health aides. Geithner’s nomination for Treasury secretary hit a snag over, among other mistakes, an issue relating to a housekeeper.Įvery time this happens, it leaves a little pit in the stomach of hundreds of thousands of people who are breaking the law themselves.
This week, it became part of the chatter around Caroline Kennedy’s decision to pull out of contention for New York’s vacant United States Senate seat.
The nanny tax issue simply won’t go away.Įver since Zoë Baird, President Bill Clinton’s first nominee for attorney general, withdrew her name from consideration because she had broken rules relating to household employees, the issue has tripped up public figures every couple of years.
0 kommentar(er)
