Wednesday, July 23, 2014
Inquirer Daily News

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

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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Chris Brennan, a native Philadelphian and graduate of Temple University, joined the Daily News in 1999. He has written about SEPTA, the Philadelphia School District, the legalization of casino gambling, state government, the mayor, the governor, City Council and political campaigns. E-mail tips to brennac@phillynews.com
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Jenny DeHuff is a 2005 graduate of the University of Rhode Island, where she cut her teeth in journalism. A South Philly transplant from New England, she joined the Daily News City Hall Bureau in 2013. For the past several years, she has worked as an investigative reporter exposing corruption in suburban politics, covering sometimes ghastly criminal court cases and following the people’s money and how its spent. In addition to being a dogged news hound, she enjoys reading and writing about travel, animals, Irish whiskey and aviation. E-mail tips to dehuffj@phillynews.com
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Sean Collins Walsh is from Bucks County and went to Northwestern University. He joined the Daily News copy desk in 2012 and now covers the Nutter administration. Before that, he interned at papers including The New York Times, The Dallas Morning News and The Seattle Times. E-mail tips to walshSE@phillynews.com
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