Tax Day! Avoid These Famous Mistakes

You might need a tax extension

If you haven’t filed your taxes yet, you might be panicking. If your taxes are complicated, you may want to file for a tax extension at this point.

The internet has made many financial transactions easier, including quick payday loans and filing taxes. But if you’re determined to get those things in the mail or e-filed before midnight Wednesday, make sure you don’t make the same mistakes that these high-profile politicians made.

Tom Daschle

As you may know, Tom Daschle’s name was withdrawn from nomination for Health and Human Services secretary because of tax mistakes. He didn’t pay taxes on use of a corporate car and driver.

If you get corporate perks for personal use, make sure you figure out how much tax you owe.

Tim Geithner

Our current treasury secretary put up with a lot of heat for his taxes, as well. He didn’t pay enough Social Security and Medicare taxes.

If you’re self-employed or working for an international company,the feds won’t take these taxes automatically like they do for everyone else. You need to figure out how much you owe.

Nancy Killefer

Nancy Killefer also had her name withdrawn from consideration for a cabinet position. She didn’t pay unemployment tax on household help.

Remember, if you fire a housekeeper or a nanny, you must pay unemployment tax.