IRS employees who didn’t pay their taxes got staggering bonuses

According to a government watchdog, the Treasury Department doled out $2.8 million in bonuses to IRS employees having disciplinary problems — and more than a third of that amount went to 1,146 employees who didn’t bother paying their own taxes.

The report was announced Tuesday by the Treasury Department Inspector General for Tax Administration, according to USA Today.

Tax cheating IRS agents weren’t just rewarded with bonuses. USA Today reported:

The bonuses weren’t just monetary. Employees with tax problems received a total of 10,582 hours of paid time off — valued at about $250,000 — and 69 received permanent raises through a step increase, the report said. The report looked at bonuses in 2011 and 2012.

Employees’ tax problems included “willful understatement of tax liabilities over multiple tax years, late payment of tax liabilities, and underreporting of income,” the report said.

“We take seriously our unique role as this nation’s tax administrator, and we will strive to implement a policy that protects the integrity of the tax administration system and the reputation of the service,” IRS chief Human Capital Officer David Krieg said in a written response to the audit.

Although the agency considers disciplinary matters before giving bonuses to senior agency executives, to make that policy apply across the board would require negotiations with the National Treasury Employees Union.

Watch the news report from Diane Sawyer via ABC News, then check out “MSNBC host tells Kansas parents to shut up over Michelle Obama’s graduation speech.”


ABC US News | ABC Business News

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