The Treasury Inspector General for Tax Administration has identified 70 federal agencies that still owe the Treasury nearly $14 million in unpaid employment taxes.
In an audit released Thursday, the TIGTA outlined its review of 132 agency accounts, finding that as of Dec. 31, 2011, those agencies were delinquent across 126 separate accounts and an additional 18 agencies were delinquent in filing 39 employment tax returns.
Auditors also noted the Internal Revenue Service does not have a process for addressing old agency tax debts, finding 40 unresolved accounts and a total of $2.6 million.
The IRS suspended collections on 34 of those accounts, the report said.
In response to the audit, the IRS said the amount of unpaid employment taxes has dropped from $406 million in 2005 to the amount TIGTA identified, claiming the $14 million number equals less than 0.03 percent of agencies’ total tax deposits.
In April, TIGTA reported nearly a third of IRS servers go unchecked for threats.