Lives of the Rich and Famous Tax Deadbeats

GAO finds 10 percent of GSA contractors owe back taxes

About 10 percent of all contractors hired by the General Services Administration owed $1.4 billion in unpaid taxes as of last June 30, GAO officials testified Tuesday before a Senate Homeland Security and Governmental Affairs subcommittee.

In the third hearing on delinquent contractors, GAO officials told the Permanent Subcommittee on Investigations that the agency does not routinely check whether prospective contractors have tax liens against them or have failed to pay the payroll taxes they have collected from employees, which is a felony.

Some abuses were so egregious, said Permanent Subcommittee on Investigations Chairman Norm Coleman, R-Minn., they could be turned into a reality TV show called, "Lives of the Rich and Famous Tax Deadbeats

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