Daily News Article - May 26, 2011
NOTE: The U.S. Government Accountability Office (GAO) is an independent, nonpartisan agency that works for Congress. Often called the "congressional watchdog," GAO investigates how the federal government spends taxpayer dollars. (from gao.gov/about/index.html)
1. What was supposed to be the purpose of President Obama's 2009 stimulus program?
2. a) How much in unpaid taxes do the 3,700 stimulus recipients owe?
b) How much in total did the 3,700, who owed taxes when they were given the money, get from the government?
c) Where did the government get the stimulus money to give the tax evaders?
3. a) What did Republican Senator Tom Coburn say about the billions of dollars given to people who owed millions in taxes?
b) Do you agree with Senator Coburn's assertion? Explain your answer.
4. a) What is the GAO?
b) Why does the GAO say the number of stimulus recipients who owed taxes, and the total dollar amount of their unpaid taxes is probably higher than their findings?
5. Federal law does not bar tax cheats from getting contracts, nor does it allow the IRS to share taxpayer information. It does allow the government to dock payments to cheats in order to make up their missing taxes, but only up to 15 percent.
Do you think it would be better for taxpaying Americans if the law was changed, or if the government stopped giving citizens' tax dollars to bail out companies? Explain your answer.