NEW ORLEANS — Mayor Latoya Cantrell faced widespread public backlash when news broke of her tax debt, totaling more than $95,000.
But at a press conference in New Orleans East Friday afternoon, Cantrell said it showed New Orleanians she "gets it."
"I'm more aligned. I'm more aligned with the citizens that I represent, who are in no way free of challenges," said Mayor Cantrell to reporters in New Orleans East Friday.
The very residents she said she feels aligned with criticized Cantrell on social media. Some called her a "thief" or "corrupt." Others asked how she legally ran for public office with so much debt owed to the IRS. Others called for her resignation.
The backlash comes after reports Cantrell and her husband owe the IRS more than $95,000. Over a six-year period, the IRS placed multiple liens on her home.
The mayor has promised she'd pay back her debts.
"So, reporting is up to date and has been," said Cantrell. "It's about the penalties and fines that are associated with what's owed, so there's been some discrepancies — we had to hire a tax attorney to help us move through that to get to a settlement that we will pay."
Tax attorney Bill Neilson said he believed the uncollected taxes could be from her self-employed husband's income. Cantrell likely has her income tax deducted from her city paycheck.
"You know, if an individual is an employee and gets money withheld, then that usually goes to pay the liability," said Neilson. "But if one of the spouses is working as an independent contractor and money's not withheld, then people get behind. They have other obligations they want to satisfy, and IRS is not on top of the list."
Once you're on the IRS's radar, it is tough to dig out of the hole. The IRS does set up payment plans.
But based on clients he represents, Neilson said $95,000 is a modest number. Many of his clients owe millions.
"The dollar amount for a lot of the cases that I have is a zero — two or three more — those are the big cases," said Neilson.
While Cantrell's position makes the debt newsworthy, she's promising residents it won't change the way she governs.
She said, "I think you have to judge me on my work, and you have a lot of work to judge me on."
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