“A sizable portion of the “tax gap” of revenues that go uncollected by the Internal Revenue Service is attributable to current and would-be federal contractors.”
“Though the IRS is prohibited from sharing such information with agency procurement staff, contracting officers are supposed to examine the self-reporting of tax debts from the companies to which they give awards. That is not always occurring, according to a Government Accountability Office report released on Wednesday addressed to leaders of the House Oversight and Reform and the Ways and Means committees…”
“The Energy, Health and Human Services, and Veterans Affairs departments, along with procurement staff with the Army and Navy, awarded 1,849 agreements to contractors that reported qualifying federal tax debts (delinquent debts over $3,500), GAO found.” Read the full article here.
Source: Agencies Agree to Do More to Identify Contractors With Tax Debts – By Charles S. Clark, May 20, 2019. Nextgov.
