We'd like to say we knew something last week when we wrote in a blog that the nomination of Vinson & Elkins partner and former Dallas Mayor Ron Kirk as U.S. trade representative, "assuming he has paid his taxes," would likely be sent to the full Senate for a confirmation vote shortly after Kirk's March 5 hearing before the Senate Finance Committee. But the committee staff's March 2 three-page release describing the results of a review of Kirk's tax returns for 2005, 2006 and 2007 surprised us. As a result of the review, the release says, Kirk has agreed to promptly file amended tax returns reflecting adjustments that will total approximately $9,975. Specifically, the release states that Kirk answered questions that the committee staff submitted to him on Feb. 6. Kirk supplied written responses 11 days later on Feb. 17. The committee staff asked Kirk about his speaking fees, which he routinely "assigned" to his undergraduate alma mater, Austin College, to fulfil his pledge for a scholarship fund at the school. Kirk assumed those fees weren't taxable, an assumption with which his tax preparer agreed, according to the release. The speaking fees totaled $37,750 for 2004, 2005, 2006 and 2007 , the committee's release says. The release says Kirk has subsequently found that the fees should have been reported as income and then deducted as charitable donations, adding approximately $5,800 to his tax bill. In 2005, 2006 and 2007, Kirk deducted as business entertainment expenses $17,382 worth of Dallas Mavericks basketball tickets. But, according to the committee's release, he has substantiated that only $9,900 of that qualified as entertainment expenses, triggering another tax return amendment that will be for about $2,600 more in taxes. He also will amend his taxes and pay an extra $1,000 for deducting too high a percentage of his tax and accounting fees in 2005, 2006 and 2007, according to the committee release. Kirk did not immediately return a call seeking comment about the committee's release. Kirk's confirmation hearing, which had been scheduled for March 5, is now scheduled for March 9. In a statement, U.S. Sen. Max Baucus, D-Mont., chairman of the Senate Finance Committee, expressed his support for Kirk's nomination and said the White House's Health Care Summit is the reason for Kirk's delayed hearing.
-- Miriam Rozen
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