Tom Daschle has “tax problems” too.

ABC News has learned that the nomination of former Senator Majority Leader Tom Daschle, D-S.D., to be President Obama’s secretary of health and human services has hit a traffic snarl on its way through the Senate Finance Committee.

The controversy deals with a car and driver lent to Daschle by a wealthy Democratic friend — a chauffeur service the former senator used for years without declaring it on his taxes.
[...]
After being defeated in his 2004 re-election campaign to the Senate, Daschle in 2005 became a consultant and chairman of the executive advisory board at InterMedia Advisors.

Based in New York City, InterMedia Advisors is a private equity firm founded in part by longtime Daschle friend and Democratic fundraiser Leo Hindery, the former president of the YES network (the New York Yankees’ and New Jersey Devils’ cable television channel).

That same year he began his professional relationship with InterMedia, Daschle began using the services of Hindery’s car and driver.

The Cadillac and driver were never part of Daschle’s official compensation package at InterMedia, but Mr. Daschle — who as Senate majority leader enjoyed the use of a car and driver at taxpayer expense — didn’t declare their services on his income taxes, as tax laws require.

During the vetting process to become HHS secretary, Daschle corrected the tax violation, voluntarily paying $101,943 in back taxes plus interest, working with his accountant to amend his tax returns for 2005 through 2007.
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In the meantime, the White House and Democratic allies are coming to Daschle’s defense.

“The president has confidence that Sen. Daschle is the right person to lead the fight for health care reform,” White House deputy press secretary Bill Burton said. “In preparation for his nomination, Sen. Daschle and his accountant identified some tax issues and fixed them. They filed amended return with the IRS and made payments with interest. Sen. Daschle brought these issues to the Finance Committee’s attention when he submitted his nomination forms and we are confident the committee is going to schedule a hearing for him very soon and he will be confirmed.”

Jim Manley, a spokesman for Senate Majority Leader Harry Reid, D-Nev., added: “Sen. Daschle will be confirmed as secretary of health and human services. He has a long and distinguished career and record in public service and is the best person to help reform health care in this country.”

So does that translate as “he’s uniquely qualified”?

*** Update, Sunday, 10:20 a.m. ***

Democrats are rallying around Daschle, in a manner that, frankly, reminds me of Republicans’ blind support of anything Bush did or said, to the point of making dishonest statements (a.k.a. lies):

Roll Call reported that, as of last night, Senate Democrats “sought to downplay” the significance of Daschle’s controversy. Sens. Pat Leahy (D-Vt.) and Charles Schumer (D-N.Y.) issued public declarations of support, and John Kerry (D-Mass.) said in a statement, “Months ago, Tom personally and proactively addressed the taxes issue and took all necessary steps to correct his innocent error. I’ve known Tom Daschle for years and he is a man of great character and integrity who will do a superb job in helping us fix our healthcare system. I look forward to his speedy confirmation.”

No sir, no sir, three bags full! Tom did not personally and proactively take all necessary steps months ago to correct his innocent error. Months ago, he only took some necessary steps to cover his ass. It was only during the vetting process that he took the most necessary step to correct his error: filing amended returns, and paying up the evaded taxes plus penalties and interest.

*** Update #2, Sunday, 10:52 a.m. ***

Maybe some chapter and verse is in order.

From Jake Tapper, ABC News‘ Senior White House Correspondent:

“In June 2008, Sen. Daschle mentioned the use of the car to his personal accountant and asked him if there were any potential tax consequences,” the (Daschle) spokesperson said. “His accountant said that there could be tax consequences and said he was going to fix them as part of Daschle’s 2008 filing. So when he got down to vetting, Sen. Daschle decided to amend his returns for 2005, 2006 and 2007, and he paid all the taxes.

The Washington Post made it very clear in its headline:

Daschle Owed Back Taxes That Exceeded $128,000
Former Senator Paid Days Before First Confirmation Hearing

The NYT, yesterday, had it in the second paragraph:

Mr. Daschle, concluding that he owed the taxes, filed amended returns and paid more than $140,000 in back taxes and interest on Jan. 2, the officials said.

The NYT, today:

President Obama’s choice for health secretary, Tom Daschle, was aware as early as last June that he might have to pay back taxes for the use of a car and driver provided by a private equity firm, but did not inform the Obama transition team until weeks after Mr. Obama named him to the health secretary’s post, senior administration officials said Saturday.

So really, wherever John Kerry gets his news from, he doesn’t have much excuse for claiming that Daschle had taken all necessary steps months ago.