Anonymous wrote:I don't know how likely one is to be caught, but I have security clearance and believe it is always best to keep one's nose "clean." Penny wise, pound foolish. Murphy's Law. Etc.
Let's say you decide you don't need to mention your nanny's presence in the home, so as not to draw attention to your unethical tax-dodging. As a result of this, you don't know your nanny is a foreign national violating the terms of a visa, or undocumented. And maybe no one finds out. But if you are ... Do you want to know an investigator makes of an failure to report one's employment of a foreign national in the home? I don't.
Consequences aside, the law is the law. I know a lot of people circumvent it. A lot of employers and nannies refer to go "off-the-books." But too bad: that's the law. If you are going to work in a career that involves that level of public trust then you, and people who want to work for you, are going to have to play by the rules.
Anonymous wrote:In my (limited) experience being honest about this and paying the taxes is in your best interest if you want to obtain or retain a security clearance. My DH had a staff member being sponsored for clearance, and the issue came up when Treasury did the neighborhood canvas - the neighbors didn't mean to rat them out I am sure but when asked about household members and regular visitors, the babysitter (nanny) came up. Turns out she was both undocumented and off the books. The answers given on the questionnaire were not truthful, and the application was denied. The employee not only didn't get clearance, he lost his job because it was a job requirement.
https://forum.federalsoup.com/default.aspx?g=posts&t=33115#post353988
I am considering applying to be a FSO at DOS in the next year or so. My spouse and I just had our first child and we are hiring a nanny for when mom goes back to work. Legally, we can only hire someone who is authorized to work in the US, have to complete an I-9 form, and pay both state and federal taxes. I don't have a problem paying the taxes, since its a good thing for the worker in the end if they ever apply for unemployment or social security, but we have been unable to find anyone who is (a) legally authorized to work in the US and (b) not willing to be paid in cash. We would also like a bi-lingual nanny, and 99% of them are undocumented.
I read in the below NYT article that 95% of people don't pay these taxes, so my question is this: will not paying this tax come up in an SSBI investigation? I am aware the SSBI form asks if you have ever failed to pay any taxes when due, but I think this tax might be akin to the state sales taxes that no one pays on their online purchases (required but just not enforced).
(Gotta love the interpretation of "ever failed to pay any taxes when due!)
http://www.dod.mil/dodgc/doha/industrial/08-06997.h1.pdf
http://www.dod.mil/dodgc/doha/industrial/06-20084.h1.pdf
https://books.google.com/books?id=JQBvM7NceUoC&pg=PA198&lpg=PA198&dq=security+clearance+nanny+tax&source=bl&ots=3ZK_nJhdrE&sig=0ECLU_cggxxQ5N_9lP22X7TPKCo&hl=en&sa=X&ved=0ahUKEwjao8ni-rPMAhUD9x4KHfI0BkE4ChDoAQg7MAI#v=onepage&q=security%20clearance%20nanny%20tax&f=false
Anonymous wrote:What about those who are working with the World Bank/IMF, are there risks too when hiring illegal nanny?
Anonymous wrote:In my (limited) experience being honest about this and paying the taxes is in your best interest if you want to obtain or retain a security clearance. My DH had a staff member being sponsored for clearance, and the issue came up when Treasury did the neighborhood canvas - the neighbors didn't mean to rat them out I am sure but when asked about household members and regular visitors, the babysitter (nanny) came up. Turns out she was both undocumented and off the books. The answers given on the questionnaire were not truthful, and the application was denied. The employee not only didn't get clearance, he lost his job because it was a job requirement.
https://forum.federalsoup.com/default.aspx?g=posts&t=33115#post353988
I am considering applying to be a FSO at DOS in the next year or so. My spouse and I just had our first child and we are hiring a nanny for when mom goes back to work. Legally, we can only hire someone who is authorized to work in the US, have to complete an I-9 form, and pay both state and federal taxes. I don't have a problem paying the taxes, since its a good thing for the worker in the end if they ever apply for unemployment or social security, but we have been unable to find anyone who is (a) legally authorized to work in the US and (b) not willing to be paid in cash. We would also like a bi-lingual nanny, and 99% of them are undocumented.
I read in the below NYT article that 95% of people don't pay these taxes, so my question is this: will not paying this tax come up in an SSBI investigation? I am aware the SSBI form asks if you have ever failed to pay any taxes when due, but I think this tax might be akin to the state sales taxes that no one pays on their online purchases (required but just not enforced).
(Gotta love the interpretation of "ever failed to pay any taxes when due!)
http://www.dod.mil/dodgc/doha/industrial/08-06997.h1.pdf
http://www.dod.mil/dodgc/doha/industrial/06-20084.h1.pdf
https://books.google.com/books?id=JQBvM7NceUoC&pg=PA198&lpg=PA198&dq=security+clearance+nanny+tax&source=bl&ots=3ZK_nJhdrE&sig=0ECLU_cggxxQ5N_9lP22X7TPKCo&hl=en&sa=X&ved=0ahUKEwjao8ni-rPMAhUD9x4KHfI0BkE4ChDoAQg7MAI#v=onepage&q=security%20clearance%20nanny%20tax&f=false
Anonymous wrote:Anonymous wrote:EVERYONE I know in DC pays on the books due to federal background clearances, and every nanny I have hired expects it. New York, not so much. Most of the people in DC who can afford to hire a nanny are either current feds, might want to be a fed someday, or are attorneys.
People generally aren't going to be truthful about breaking the law.
If you really want to know, you need to see pay stubs or tax papers.
Anonymous wrote:EVERYONE I know in DC pays on the books due to federal background clearances, and every nanny I have hired expects it. New York, not so much. Most of the people in DC who can afford to hire a nanny are either current feds, might want to be a fed someday, or are attorneys.
Anonymous wrote:I'm surprised by this as I thought most adults preferred to be paid legally. How else can you buy things like a car or house!?! Maybe you are offering a wage that only brings in those candidates? Do you have an ad posted somewhere? Be sure to mention that you pay legally.