Delta community reaches payment settlement with IRS
by Associated Press
Published: February 10,2012
METCALFE — The Internal Revenue Service and the town of Metcalfe have agreed on a monthly payment plan to erase a tax debt.
The Delta Democrat Times reports the board of aldermen approved a repayment plan this week of $350 a month.
Officials said the town didn’t pay taxes on town employees for 10 years from 1999-2009. The figure has continued to grow because of interest and penalties.
Town attorney Bennie L. Richard says the town owes more than $500,000.
Richard says the payments will begin in March, for a two-year period at which the IRS will then re-evaluate the town’s financial situation.
“We are at point where the IRS felt that they can make an accurate snapshot of the town’s finances, and we must fulfill our monthly obligation for two years. This will put the town in a position to repay the amount owed after several years,” he said.
The town is suing former mayor Shirley Allen, former town clerk Brenda Gibbs and several former and current aldermen who served in whole, or part, between 1999-2009, in an effort to recoup money through their bonding agent — the Ohio Casualty Company.
If successful, Richard has said the money would be used to pay off the IRS debt.
To sign up for Mississippi Business Daily Updates, click here.
Top Posts & Pages
- Chris McDaniel gets a thank you note from Travis Childers
- Nehi Bottling Company has been a Cleveland fixture for 85 years
- UPDATED: House subcommittee tosses discrimination elements from religious freedom bill
- States settle with manufacturers in DRAM price-fixing case
- Quapaw Canoe Company gains legislative support in battle with tax department
- Reactive Surfaces files lawsuit against Toyota in patent dispute
- The link between education and economic development
- District at Eastover takes shape with financing in place, tenant signings under way
- Expeditors working out logistics to open Jackson office next month