Friday Tax News!
The Times reports that about $15 million in business tax revenue will probably go uncollected, because of a Councilmember Jack Evans-sponsored 2007 law that requires purchasers to only pay taxes on commercial property debt incurred since refinancing. The 2007 law conflicts with an earlier law that made commercial property purchasers pay taxes on all the debt the property has incurred, pre- and post-refinancing.
Apparently, the D.C. Council can't come to an agreement on how to make people (who thought they were paying the correct amount of money in taxes) pay the back taxes. And complicating the issue further is that some buyers have been getting around paying any taxes at all through loan modifications.
Meanwhile, Mary Ayers-Zander, the D.C. tax examiner who was accused of stealing more than 400,000 from the government has pleaded guilty, and will be expected to pay that money back as part of her sentence.
Though, with a felony on her record, it's hard to imagine Ayers-Zander will be able to find the kind of employment that would make it easy to return the money.
Photo by futureatlas.com via Flickr/Creative Commons Attribution Generic 2.0 License