70 Federal Agencies Owe $14 Million in Unpaid Taxes, but Names of Agencies Censored
Individual Americans and businesses aren’t the only ones who owe the government back taxes. So do 70 federal agencies. But don’t ask which ones because the Internal Revenue Service’s watchdog won’t say.
A new report from the Treasury Inspector General for Tax Administration said that 70 U.S. government offices collectively owe $13,867,144 in taxes. The taxes are not for income, because federal agencies are exempt from paying such taxes. According to the report, “More than 90 percent of the delinquent taxes owed are employment taxes, which include monies withheld from employees’ wages that are required to be remitted to the IRS on the employees’ behalf. These taxes are necessary to support Federal programs like Social Security and Medicare.”
The report does not disclose the identity of the 70 agencies. The document devotes four pages (24-27) with the heading “Federal Agencies with Delinquent Tax Accounts” that has censored all names and amounts owed.
Another 18 federal agencies were delinquent in filing employment tax returns.
-Noel Brinkerhoff, David Wallechinsky
To Learn More:
A Concerted Effort Should Be Taken to Improve Federal Government Agency Tax Compliance (Treasury Inspector General for Tax Administration) (pdf)
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