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McCaskill Bill Blocks Tax-Delinquent Companies from Receiving Go - KOAM TV 7

McCaskill Bill Blocks Tax-Delinquent Companies from Receiving Government Contracts

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NEWS RELEASE FROM THE OFFICE OF U.S. SENATOR CLAIRE MCCASKILL (MO.)

McCaskill Bill Blocks Tax-Delinquent Companies from Receiving Government Contracts

Senator introduces bill to prohibit companies with delinquent federal tax debts from contract awards

WASHINGTON – U.S. Senator Claire McCaskill has introduced the Contracting and Tax Accountability Act, which prohibits companies or individuals with seriously delinquent federal tax debts from receiving government grants or contracts.

“This bill has a simple premise—if you don’t pay your taxes, you shouldn’t be awarded a federal contract, and if you lie about it, you shouldn’t be able to do business with the government again,” said McCaskill, Chairman of the Subcommittee on Financial & Contracting Oversight and a former Missouri State Auditor. “When we’re dealing with the awarding of millions of taxpayer dollars in federal contracts, we have to hold companies accountable to ensure they’re playing by the rules—and serious tax delinquency should be a clear disqualifying factor in that process.”

The Contracting and Tax Accountability Act requires a person or entity applying for a federal contract or grant to certify whether they have a seriously delinquent tax debt. The bill also requires agencies to propose for suspension any applicant who certifies that they have a seriously delinquent tax debt and to propose for debarment any applicant who falsely certifies that they do not have a seriously delinquent tax debt. The bill defines “seriously delinquent tax debt” as an outstanding tax debt for which a notice of lien has been filed in public records.

Companion legislation was introduced by Republican Congressman Jason Chaffetz of Utah and passed unanimously by the House of Representatives.

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