Companies and Nonprofits that Received Stimulus Money Now Owe $750 Million in Taxes

[Donnachaidh]

http://www.allgov.com/Top_Stories/ViewNews/Companies_and_Nonprofits_that_Received_Stimulus_Money_Now_Owe_750_Million_Dollars_in_Taxes_110525

Thousands of businesses and non-profit organizations that benefited from the federal stimulus plan owe the IRS more than $750 million in back taxes.

A Government Accountability Office report states that at least 3,700 recipients of $24 billion in economic stimulus were in arrears with the federal government.

Of the total owed, about 55%, or $417 million, was in the form of corporate taxes. The remainder consists of payroll taxes ($207 million) and excise, unemployment and other taxes ($133 million).

It is not illegal for government contractors to owe unpaid federal taxes, and federal contracting officers are not required to review a company’s tax delinquency unless it is already debarred or suspended for tax evasion.

More at the link --