Federal workers owe IRS $3 billion

December 15, 2009

As Uncle Sam looks to refill his coffers, he need look no further than his office buildings.

Just released data shows that in 2008 almost 300,000 federal employees and retirees failed to pay more than $3 billion in
income taxes.

The tax delinquent employees come from nearly every federal agency with more than 25 employees, according to IRS documents.

The IRS is the only federal agency where
employees can be fired for not paying their taxes. The non-compliance
rate for IRS employees in 2008 was 0.76 percent. The good news is that the IRS delinquency rate is down from 0.89
percent reported in 2007, the last time such data was released.

In fact, the Treasury Department, which includes the IRS, had the best compliance rate.

Other notable agencies with hat harbor tax scofflaws include:

  • Executive Office of the President (includes the White House), with 50 employees who owe $812,917;
  • U.S. Senate, with  231 employees who owe $2,469,026;
  • U.S. House of Representatives, with 447 employees who owe $5,809,631; and
  • U.S. Tax Court, with three employees who owe $39,752.

Which agency has the worst compliance rate? The U.S. Postal Service. It has 28,913 employees who owe $297,933,756. Still, that's much better than in 2007, when more than 54,000
postal employees owed more than $407 million.

You can read more on the government employee and retiree tax delinquents at TaxProf Blog, The Tax Lawyer's Blog, WTOP and the Associated Press.

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Tax Season 2026 Continues!

We made it. Tax Day 2025 is finally over. For most of us. When the filing season started on Jan. 26, millions who were expecting refunds filed immediately. Most of us got our returns to the Internal Revenue Service by April 15. But plenty of taxpayers also got extensions. They are looking at an Oct. 15 filing deadline.

Those procrastinating filers aren’t a problem. In fact, the IRS appreciates taxpayers who take time to fill out their 1040 forms correctly. It also is grateful that tax submissions are spread out a bit, especially now that the IRS is a leaner agency. Processing returns is easier when they arrive throughout the year instead of in massive bunches.

But enough about Uncle Sam’s tax collection issues. The focus now is on all y’all who filed for extensions, giving you another six months to complete your return. Since your new mid-October due date will be here before you know it, let’s get started now on meeting it.

The ol’ blog is here to help you finish up your extended Form 1040. You can start with January’s tax tips page, which has links to the rest of the year’s tips by-month collections. You also can peruse various tax categories for more tailored advice by clicking on the More Tax Posts drop-down menu at the top of this (and every) page.

And to make sure you don’t miss your new filing deadline, the count-down clock below will let you know just how much time you to file by Oct. 15. At the latest.e. (Note: I’m in the Central Time Zone, so adjust accordingly for where you live.)

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