(Getty Images)
LOS ANGELES -- A $79,000 tax lien against Governor Arnold Schwarzenegger resulted from a computer glitch, according to his business manager.
Paul Wachter said the confusion stemmed from a disparity between the reference number on Schwarzenegger's federal tax returns and the one on payroll forms for his workers that were filed with the Social Security Administration.
The governor's tax return used his Social Security number, and the payroll forms used an employer identification number.
For some reason in 2004 and 2005, the two agencies that received the documents were unable to recognize that the forms were filed by the same taxpayer, Wachter said.
"There seems to be this computer glitch that somehow the IRS and the Social Security Administration don't realize that it's the same person filing the different forms," Wachter told the Los Angeles Times. "The IRS says, or apparently thought, that we hadn't filed the W-2s. So they send us a notification that we haven't filed them."
Wachter also said IRS warning notices were sent to the governor's home instead of his business office or to his accountants. The post office is under instruction not to deliver mail to Schwarzenegger's home, and the forms were sent back to the IRS.
The governor and his aides were unaware of the situation until TMZ posted a document filed in Los Angeles County Superior Court in May, showing a $39,047.20 lien from 2004 and $40,016.80 from 2005.
According to the document, the governor owes a grand total of $79,064.00.
Schwarzenegger's accountants say the lien will likely be erased when the situation is settled.
Paul Wachter said the confusion stemmed from a disparity between the reference number on Schwarzenegger's federal tax returns and the one on payroll forms for his workers that were filed with the Social Security Administration.
The governor's tax return used his Social Security number, and the payroll forms used an employer identification number.
For some reason in 2004 and 2005, the two agencies that received the documents were unable to recognize that the forms were filed by the same taxpayer, Wachter said.
"There seems to be this computer glitch that somehow the IRS and the Social Security Administration don't realize that it's the same person filing the different forms," Wachter told the Los Angeles Times. "The IRS says, or apparently thought, that we hadn't filed the W-2s. So they send us a notification that we haven't filed them."
Wachter also said IRS warning notices were sent to the governor's home instead of his business office or to his accountants. The post office is under instruction not to deliver mail to Schwarzenegger's home, and the forms were sent back to the IRS.
The governor and his aides were unaware of the situation until TMZ posted a document filed in Los Angeles County Superior Court in May, showing a $39,047.20 lien from 2004 and $40,016.80 from 2005.
According to the document, the governor owes a grand total of $79,064.00.
Schwarzenegger's accountants say the lien will likely be erased when the situation is settled.
