EDITORIAL: Does Obama directive on taxes and government contractors mark policy shift? Let's hope so
We don’t know if it’s a sign of policy shift in Washington, but Americans should cheer the directive signed this past week by President Barack Obama that precludes companies from benefiting from government contracts when they’re delinquent in federal taxes.
The president castigated companies that reap huge rewards from government contracts while they themselves are “gaming the system.”
Reportedly, companies currently fulfilling contracts with the federal government owe, all told, more than $5 billion to the Internal Revenue Service. The president rightly noted that it’s “simply wrong” for companies to benefit from taxpayer dollars while falling short themselves.
“By issuing this directive, all of us in Washington will be required to be more responsible stewards of your tax dollars,” the president said. “All across this country, there are people who meet their obligations each and every day. You do your jobs. You support your families. You pay the taxes you owe because it’s a fundamental responsibility of citizenship.”
The president’s memorandum directs federal agencies to stop any companies from obtaining government contracts if they’re delinquent in taxes. It also orders the IRS to scrutinize the overall accuracy of companies’ claims.
We heartily approve of the administration’s directive, even as we reflect on the public servants seeking jobs in the Obama administration only a year ago when they, too, had been remiss in paying all taxes. It’s time for this to end. If a public servant can’t pay his or her taxes, he or she has no business serving the taxpaying public.
And, yes, we’ve taken some lumps for defending state Rep. Charles “Doc” Anderson for his continual problems in paying all his taxes to the IRS. We continue to respect his honesty. Even so, we encourage him to secure a good accountant and settle this chronic taxpaying problem.
This kind of thing cannot be permitted to continue if one wants to serve we the people.
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