There’s really no way to describe it other than, as they say these days, “fail” (or, actually, “EPIC FAIL”). I’m talking about the astounding statistics from the Treasury Inspector General for Tax Administration that about one out of every four payments under the Earned Income Tax Credit Program in fiscal 2013 was improperly made, and those improper payments are estimated to total between $13.3 and $15.6 billion!
In case you’re keeping score, the range of payments found to be improper has been more than 20% on the low end, and at least 25% on the high end, while the estimated total of improper payments has been at least $8.6 billion, every year since 2003.
And oh by the way, the Inspector General found that the IRS continues to be non-compliant with the Improper Payments Elimination and Recovery Act of 2010, a law designed to make federal agencies report information on, and take action to reduce, improper payments.
You will find the Inspector General’s press release here, and the full report here. I have written about the function of the Treasury Inspector General for Tax Administration here.
The contents of this blog, this web site, and any writings by me that are linked here, are all my personal commentary. None of it is intended to be legal advice for your situation.