Just when you think you’ve seen it all, another bureaucratic blunder is unearthed.
As of December, 70 federal agencies owed the U.S. Treasury $14 million in unpaid taxes that were withheld from federal workers’ paychecks, according to a federal audit released Thursday.
Unlike private businesses, federal agencies are exempt from paying federal income taxes. However, like private employers, federal law requires agencies to withhold and pay employment taxes on behalf of their employees, such as Medicare and Social Security withholdings.
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