Isn't that right Jose?

Bill

http://www.breitbart.com/article.php?id=D979CMGO0&show_article=1

Sebelius admits errors, pays $7,000 in back taxes
Mar 31 10:02 PM US/Eastern
By ERICA WERNER
Associated Press Writer
WASHINGTON (AP) - Health and Human Services nominee Kathleen Sebelius
recently corrected three years of tax returns and paid more than
$7,000 in back taxes after finding "unintentional errors"—the latest
tax troubles for an Obama administration nominee.

The Kansas governor explained the changes to senators in a letter
dated Tuesday that the administration released. She said they involved
charitable contributions, the sale of a home and business expenses.

Sebelius said she filed the amended returns as soon as the errors were
discovered by an accountant she hired to scrub her taxes in
preparation for her confirmation hearings. She and her husband, Gary,
a federal magistrate judge in Kansas, paid a total of $7,040 in back
taxes and $878 in interest to amend returns from 2005-2007.

Asked by The Associated Press to comment on the amended tax returns as
she left a Capitol Hill restaurant Tuesday night, Sebelius said, "We
put out a statement and the statement speaks for itself."

Several Obama administration nominees have run into tax troubles,
notably the president's first nominee for HHS secretary, former Senate
Democratic leader Tom Daschle. He withdrew from consideration while
apologizing for failing to pay $140,000 in taxes and interest.

Finance Committee Chairman Max Baucus, D-Mont., quickly issued a
statement supporting Sebelius.

"Congress is going to need a strong partner at the Department of
Health and Human Services to achieve comprehensive health reform this
year, and we have that partner in Gov. Sebelius," Baucus said. "There
is absolutely no doubt in my mind that Gov. Sebelius has the political
experience, determination, and bipartisan work ethic to get the job
done with Congress this year. She's the right person for the job."

There was no comment from the White House.

Sebelius is to appear Thursday before Baucus' committee, which will
vote on sending her nomination to the full Senate. Sebelius testified
Tuesday before the Senate's Health, Education, Labor and Pensions
Committee before the tax issue became public, getting a friendly
reception.

Sen. Chuck Grassley of Iowa, the top Republican on the Finance
Committee, said through a spokeswoman that he is reserving judgment
until the vetting process, including the nomination hearing, is
completed.

In her letter to Baucus and Grassley, Sebelius wrote that the
accountant discovered these errors:

_Charitable contributions over $250 are supposed to include an
acknowledgment letter from the charity in order for a deduction to be
taken. Out of 49 charitable contributions made, three letters couldn't
be found.

_Sebelius and her husband took deductions for mortgage interest that
they weren't entitled to. The couple sold their home in 2006 for less
than what they owed on the mortgage. They continued to make payments
on the mortgage, including interest. But since they no longer owned
the home they weren't entitled to take deductions for the interest.
The same thing happened with a home improvement loan. Sebelius said
they "mistakenly believed" the payments were still deductible.

_Insufficient documentation was found for some business expense
deductions.

An administration official said Sebelius filed the amended returns
before documents formalizing her nomination were sent to the Finance
Committee. Sebelius advised the committee of the mistakes, and
senators requested an explanation, said the official, speaking on
condition of anonymity because of the sensitivity of the issue.

In a letter to Sebelius dated Tuesday, Baucus and Grassley wrote that
they'd reviewed the three years of amended returns and "no additional
items were identified that needed to be addressed."