Bad Tax Policy Strikes Again
I’ve twice in my life wrangled with the Internal Revenue Service and both times we went to court and once I won and once lost. Batting .500, which I guess is pretty good, but the tax system is busted and Griff Witte and Bob O’Harrow Jr. point that out eloquently in Thousands of Non-Defense Contractors Owe Taxes.
The General Accounting Office reports that 33,000 contractors currently working for the government are tax scofflaws to the tune of $3 billion. Part of why the Tax Code’s broken is the fact that they twice pursued little ol’ me all the way through the court system for amounts under ten thousand bucks and haven’t laid a finger on a guy, a health-care services provider, who used $18 million in unpaid payroll taxes to buy luxury properties and vehicles. Another joker, who provided security guards to Homeland Security, transferred his company payroll taxes to a foreign bank account and built a house overseas with the dough.
Both are still doing business with the government, alon…