La. should check tax files of contractors

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Posted: Feb 23, 2010 8:01 AM by Andrea Fontenot
Source: Associated Press

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Topics: tax, Louisiana, contracts, Legislative Auditor's Office, audit, money

A new audit concludes that lawmakers should consider requiring "tax clearances" for individuals and
businesses that contract with the state.

The Legislative Auditor's Office made the recommendation in a report released to the public Monday.

The office looked at the state revenue department's methods for identifying people and businesses who fail to file a state tax return.

A recent tax amnesty program waived part of the interest and penalties owed by delinquent taxpayers if they paid their bill in full.

The program netted more than $450 million for the state.

In the audit, the revenue department noted that individuals and businesses that contract with the state are not required to undergo "tax clearances," which is a showing that they had paid their

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