As I write this, I'm watching a rapidly ticking U.S. National Debt clock. At this very moment, the United States owes $15,888,855,084,131. Since I wrote that, the number has changed climbed up to $15,888,856,623,214. If that doesn't give you a clear idea of how bad things are right now, I don't know what will. And, if you don't think the government isn't losing sleep over this, then you are most certainly wrong. Everyone has their own notion of how to satisfy our national debt, ranging from the slashing of Federally funded programs to higher taxation.
Many of our nation's leaders are searching for ways to more efficiently collect tax dollars owed to the U.S. Treasury Department. This is why a bill to lay off Federal employees who seriously delinquent with filing and paying their taxes has passed the House of Representatives and is on its way to the Senate. Nearly 100,000 U.S. workers were not compliant in 2010. This is responsible for more than $1 billion in uncollected taxes. Many of these employees work for the Department of Treasury, and 6.5% of the U.S. Office of Government Ethics haven't been acting ethically where taxes are concerned. There is a big hope that the threat of job loss will motivate these employees to get compliant, or at least we will no longer support people guilty of tax delinquency with money paid by those who have not ignored their tax obligations.
I don't really know how I feel about this. On the one hand, I want the IRS to stop pressing so hard on people who are in such dire situations. I talk to people every day who are barely getting by, yet the meager pennies they should be bringing home keep getting swiped by the IRS. People have to eat, but the IRS doesn't seem to care at all about that. On the other hand, why should Federal employees (especially IRS workers) be treated better than the rest of us? Why is a 15% wage garnishment the worst a Federal employee can expect, when the IRS can take anything and everything from the rest of us? I especially wonder this when I read of a couple who had proof of more than $25K in charitable donations were not allowed their deduction due to a tiny technicality, and now have a hefty IRS tax debt.
Maybe the answer is that taxpayers are not to blame for our government's expensive bill padding and exorbitant spending on non-essential programs. All taxpayers (whether they work for the government or not) should be treated equally by the IRS. And, the IRS needs to become that kinder, gentler collector they keep promising to be. No one should go home with only $700 a month to live on or discover an emptied bank account, simply because they can't pay off a large tax debt right now. Unfortunately, this isn't a perfect world, and these issues don't appear to be leaving any time soon.
If you need help with your tax debt (Federal employee or not), I can help you get compliant and keep you safe from IRS collection (or job loss). Just call 888-415-1337 or fill out the submission form for a free, no-obligation consultation today.
And, just so you know...the National Debt is now at $15,888,873,735,289.
Labels: IRS, Tax News, Taxpayers