Tuesday, September 1, 2015

Controller Directs City Treasurer To Withhold Pay From Tax Delinquent City Employees

Here's the release:

Controller Directs City Treasurer To Withhold Pay From Tax Delinquent City Employees

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Here's the release:

Butkovitz Directs City to Begin Withholding Pay from Delinquent City Employees
Initiative targets $2.6 million from 405 city employees who are delinquent on taxes


PHILADELPHIA – As part of the City Controller’s tax collection initiative, Philadelphia Controller Alan Butkovitz today directed the City Treasurer to begin withholding pay from 405 delinquent city employees owing $2.6 million in back taxes.

In a letter sent to the City Treasurer, Butkovitz directed the city to start withholding a percentage of pay from city employees beginning the pay period starting on January 11, 2010. Under Pennsylvania Law, the City Controller has the authority to withhold up to 20 percent of a city employees’ income.

Butkovitz first advised delinquent city employees of the pending withholding back on Oct. 1, 2009, which resulted in a number of employees paying their back taxes or entering into a payment agreement.

Under the Controller’s withholding process, 239 city employees, or 60 percent, will have paid off their tax delinquencies in less than one year. The City will receive more than $1.3 million over the next five years.

Employees had 30 days to pay their delinquent balance in full or enter into a payment agreement with the City.

“We provided city employees with ample opportunity to resolve their tax delinquencies before resorting to withholding their pay,” said Butkovitz. “Our initial outreach resulted in hundreds of employees paying their past due taxes. Now we must resort to withholding a percentage of some employees' salaries to force compliance.”

To review a copy of the letter sent to the City Treasurer’s Office, please visit the Controller’s website at www.philadelphiacontroller.org


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William Bender, a Drexel graduate who landed at the Daily News in 2007, has covered everything from South Philly mobsters to doomsday hucksters. He occasionally writes about local food trucks and always eats everything on his plate, whether it be a bloody rib eye or a corrupt politician. E-mail tips to benderw@phillynews.com
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David Gambacorta, has been a reporter with the Daily News since 2005, covering crime, police corruption and all of the other bizarre things that happen in Philadelphia. Now he’s covering the 2015 mayor’s race, because he enjoys a good circus just as much as the next guy. He’s always looking to get a cup of coffee. Send news tips and other musings on life to gambacd@phillynews.com
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