Capitol Hill Employees Owed $9.3 Million in Backtaxes 2010

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    THE STAFFERS WHO OWE THE IRS

    An interactive table that shows federal

    workers who owed money to the Internal

    Revenue Service in 2009.

    TOOLBOX

    THIS STORY: READ +

    Capitol Hill employees owed $9.3 million in back taxes last year,data show

    By T.W. FarnamWashington Post Staff Writer

    Thursday, September 9, 2010; 6:28 PM

    Capitol Hill employees owed $9.3 million in overdue

    taxes at the end of last year, a sliver of the $1 billion

    owed by federal workers nationwide but one with

    potential political ramifications for members of

    Congress.

    THIS STORY

    Capitol Hill employees owed $9.3million in back taxes last year, datashow

    Workers who owed the IRS in 2009

    The debt among Hill employees has risen at a faster rate

    than the overall tax debt on the government's books,

    according to Internal Revenue Service data. It comes at

    a time when some Republican members are pushing for

    the firings of government workers who owe the IRS and

    President Obama has urged a crackdown on delinquent

    government contractors.

    The IRS information does not identify delinquent

    taxpayers by name, party affiliation or job title and does

    not indicate whether members of Congress are among

    the scofflaws. It shows that 638 employees, or about 4

    percent, of the 18,000 Hill workers owe money.

    The average unpaid tax bill is $12,787 among theSenate's delinquent taxpayers and $15,498 among those

    working in the House.

    IRS debt among government workers has surfaced

    repeatedly as a political issue over the years, most

    recently when Rep. Jason Chaffetz (R-Utah) introduced

    legislation this year to fire federal workers who owe

    back taxes unless they have entered into a payment plan.

    Eight Republicans co-sponsored the bill. No Democrats

    have signed on, and some have said firings would

    reduce the government's prospects of being paid.

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    ol Hill employees owed $9.3 million in back taxes last year, data show http://www.washingtonpost.com/wp-dyn/content/article/2010/09

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    "If you're on the federal payroll and you're not paying your taxes, you should be fired,"

    Chaffetz said in an interview. He said the policy should apply across the board and "there

    should be no special exemptions."

    An agency-by-agency breakdown of IRS debt is not published but is available in a redacted

    form from the agency upon request. Along with the Capitol Hill totals, it shows that three

    employees at the Office of Government Ethics owed a combined $75,000. And 41

    employees at the Executive Office of the President owed $831,000 altogether - about the

    same amount as during the last year ofGeorge W. Bush's administration.

    Some tax experts and watchdog groups say that Capitol Hill employees have an added

    obligation to settle IRS debts.

    "Congress and their staff - because they are

    the people who write the tax laws and

    because they work for the public - have to be

    held to a higher standard," Steve Ellis, vice

    president of the watchdog group Taxpayers

    for Common Sense, said when told of the IRS

    numbers.

    "These are hard times, but they are on the

    government payroll," said Mortimer Caplin,

    an IRS commissioner for presidents John F.

    Kennedy and Lyndon Johnson and a founding

    partner of the Caplin & Drysdale law firm."The idea of paying taxes is kind of

    fundamental to a sound democracy, and they certainly have a special obligation in that

    regard."

    Nationwide, debt to the IRS has been rising steadily, even before the current economic

    downturn, with $103.2 billion owed at the end of last year. Tax experts say that

    delinquencies are another sign of economic pressures on American families, but they also

    may represent bad individual money management or skewed spending priorities.

    On Capitol Hill, recent increases in delinquencies also may reflect the unusual nature of the

    workforce, which turns over dramatically when a new political party comes into power.

    From 2004 through 2006, the last three years that Republicans were in power, the total

    amount of back taxes owed each year by congressional workers hovered just below $9million. But in 2007, when Democrats took control of both houses, it dropped to $6.8

    million. Since then, it has increased by 37 percent.

    Jock Friedly, who publicizes congressional salaries on the Web site LegiStorm, said many

    new staffers come from the private sector, where they worked as lobbyists or in other higher-

    paying jobs. "They go to a somewhat lower-paying government job and then, over time, debt

    starts to build up," Friedly said.

    During 2008 and 2009 - when the financial crisis took hold and the economy started sinking

    - the Senate debt increased 80 percent and the House debt increased 25 percent.

    Aides to Senate Majority Leader Harry M. Reid (D-Nev.) declined to comment, and aides to

    House Speaker Nancy Pelosi (D-Calif.) did not respond to a request for comment.

    THIS STORY: READ +

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    ol Hill employees owed $9.3 million in back taxes last year, data show http://www.washingtonpost.com/wp-dyn/content/article/2010/09

    4/15/2013