Billions of dollars in delinquent taxes are being lost because of improper research and procedures at the Internal Revenue Service, according to an internal investigation. In an audit (pdf) dated Aug. 25, the Treasury Inspector General for Tax Administration found that cases involving $6.7 billion were closed after being labeled "currently not collectible" or "unable to contact or unable to locate."
The Veterans Affairs Department is making millions in improper disability payments because it isn't following up on initial decisions to make sure the claims are thoroughly reviewed, a June 6 VA inspector general report says. As of Jan. 8 Veterans Benefits Administration data showed the agency had identified over 8,300 temporary disability claims for regional offices to review.
Nearly half of the tax returns filed with alimony payment deductions in 2010 didn't correspond with the returns of the person receiving the alimony, resulting in a total monetary discrepancy in the billions, says a recently released March 31 Treasury Inspector General for Tax Administration report. The Internal Revenue Code says that alimony is deductible by the payer, but must be included in the former spouse's income, the report (pdf) says.
Medicare paid nearly $12 million in prescription drug benefits to prisoners from 2006 through 2010, according to an estimate from the Health and Human Services Department office of inspector general. Prisoners are supposed to be ineligible for the benefits.
Federal improper payments declined to about 3.5 percent of all payments made by the government in fiscal 2013, a Dec. 20 Office of Management and Budget blog post says. In fiscal 2012 the rate was about 3.75 percent, OMB says and back in fiscal 2009 the rate came in at 5.4 percent.
The Postal Service didn't identify and recover about $9.9 million in fuel overpayments to trucking contractors in 2009 and 2010 through its Voyager Card Program, which allows drivers to expense gas on a credit card, an Oct. 30 USPS inspector general report says. The USPS IG found that in 2009 and 2010 the Postal Service calculated and recovered $12.6 million in overpayments, but when the IG did its own calculations, it found $22.5 million in overpayments.
The Internal Revenue Service made no significant improvements to curbing improper payments of refundable tax credit for low income families and hasn't established improper payment reduction targets, a recently released Aug. 28 Treasury Inspector General for Tax Administration report says.
The Social Security Administration may have made $1.29 billion in disability benefits overpayments to about 36,000 individuals as of January 2013, a recently released Aug, 15 Government Accountability Office report says. The payment may have gone to recipients who were working during a mandatory 5-month pre-benefits waiting period, the report (.pdf) says.
The Veterans Benefits Administration delayed by 15 months pension adjustments for 93,000 veterans in fiscal 2012 because of increased workload, a Sept. 4 Veterans Affairs inspector general report (.pdf) says.
Agriculture Department's Farm Service Agency state offices didn't properly review tax returns or keep complete records of federal farm program particpants which led to improper payments to ineligible participants, an Aug. 29 Government Accountability Office report (.pdf) says. For each farm assistance program participant in 2009 and 2010, state offices were to maintain a file containing copies of complete tax returns, copies of the original self-certification forms submitted by the participant and calculation worksheets for average farm income and nonfarm income, among other documents, the report says.