IRS Workers Found to Have Evaded Tax Payment

A recent report indicated that over a 10 year period approximately 1,600 Internal Revenue Service (“IRS”) employees willfully evaded their tax obligations.  The wrongful activity included:

  • failing to file timely
  • claiming improper dependents
  • claiming improper first-time homebuyer credits

The law calls for the termination of such employees unless it is waived by the IRS commissioner.  Yet many of these employees were not only not fired, but went on to receive bonuses, raises and promotions.  Only within the last year has the IRS made it a policy that bonuses are not payable to employees who willfully fail to pay taxes.

Notably, the same report indicated that over 18,000 IRS employees underpaid their taxes, without the act being defined as willful.

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