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TAXES OWED BY GOVERNMENT EMPLOYEES

Taxes Owed by Government Employees, in the IRS Annual Report

 

As citizens of the United States of America, we are required by law to pay our taxes or we will suffer the consequences, which can often mean facing the wrath of the IRS. Given what seems like a straightforward concept, government employees should be held to the same standard. If anything, they should lead by example when it comes to following the laws of our great nation.

Unfortunately, we all know of numerous scandals that involve government employees at all levels. with the popularity of social media, these stories spread like wild fire. One story that has not received enough attention is the number of government employees who owe delinquent taxes.

Congress required the Internal Revenue Service to release a report on federal government employees who owe back taxes. The plan being that a condition of government employment was being in tax compliance. This idea has not passed through Congress as of yet.

The annual IRS report revealed that 40 of President Obama’s White House Aides owe their very own employer, the federal government a total of $333,485 in back taxes.

Looking at government employees as a whole, almost 312,000 federal employees and retirees are behind on their taxes. As of last September, they owed $3.52 billion, up to $100 million from last year.

The IRS is prohibited from releasing the names of the delinquent taxpayer. However, the report breaks down the delinquency by government agency.

Members and more than 500 employees of Congress are behind on their taxes:

 

  • The House and it’s employees has $8.8 million due
  • The Senate and it’s employees owe $1.9 million
  • The Treasury Department & IRS has 1,289 employees owing $9.3 million
  • The Department of Education has 201 employees owing $2.4 million
  • The Smithsonian Institution has 328 employees owing in excess of $3 million
  • The Department of Veteran Affairs has 13,594 workers owing $142.9 million

 

Among independent agencies with more than 1,000 workers:

 

  • The Government Printing Office has 167 people owing $2.3 million
  • The Social Security Administration has more than 2,400 workers owing over $22 million
  • The Department of Transportation employees has 1,530 workers owing $18.15 million
  • The U.S. Tax Court has five employees owing a total of $51,516
  • The Postal Service has 22,404 employees owing $215.2 million
  • The Federal Reserve Bank has 104 employees owing the IRS $1.5 million
  • The Justice Department has 2,552 employees owing $18.5 million
  • The Department of Interior has 2,066 employees owing $18.5 million
  • Homeland Security & the Transportation Security Agency, has 5,844 workers owing over $44.1 million to the IRS

 

Whether it is an inability or unwillingness to collect such a huge sum of money in the form of overdue taxes from it’s own employees, this only adds to taxpayer’s belief in the bias and inefficiency of the government.

While the IRS seems to make examples out of celebrities and go after them aggressively, perhaps they should take the same approach with it’s own employees. After all, government employees work for the public and are paid by the public.

If you or a loved one is suffering from back tax debt, please call Internal Tax Resolution today for a Free Consultation. Our team of experts will help you achieve financial freedom.

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Date published: 07/07/2015
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