About | HeinOnline Law Journal Library | HeinOnline Law Journal Library | HeinOnline
LOG IN
LOG IN

GGD-93-43R 1 (1993-05-21)

handle is hein.gao/gaobackic0001 and id is 1 raw text is: SGAO United States General Accounting Office Washington, D.C. 20548 General Government Division B-253509 May 21, 1993 The Honorable John Glenn Chairman, Committee on Governmental Affairs United States Senate 149246 Dear Mr. Chairman: This letter is in response to your constituent's inquiry regarding our June 17, 1992 letter to you in which we concluded that it would be costly to require the United States Postal Service to withhold both local residence and workplace taxes from employees at locations having 25 or more federal employees. Your constituent asked whether it would be practical to withhold only local workplace taxes for employees' at locations having 25 or more employees. On the basis of our discussions with Postal officials, we determined that withholding taxes based only on the employees place of work would still be burdensome to the Postal Service in terms of increased administrative and payroll software reprogramming costs. As currently required under 5 U.S.C. S5520, a city or county must have 500 or more federal employees before it is eligible to enter into an agreement with the federal government to withhold local government taxes. Postal officials believe that the cost of extending withholding to locations with 25 or more employees, even if only for workplace taxes, would be prohibitive because of the large number of new locations that would be included. Postal officials believed that as many as 20,000 postal facilities could require payroll modifications it the law's threshold were reduced. Two problems associated with correctly withholding local taxes, identified in our original letter, would still apply to workplace taxes and result in additional software and administrative costs. Those items, as stated in our previous letter, were: - - The diversity and complexity of local government taxing formulas require software modifications to the Service's automated payroll system every time a local government is added to the payroll system or changes its tax formula. GAO/GGD-93-43R, USPS Local Tax Withholding

What Is HeinOnline?

HeinOnline is a subscription-based resource containing thousands of academic and legal journals from inception; complete coverage of government documents such as U.S. Statutes at Large, U.S. Code, Federal Register, Code of Federal Regulations, U.S. Reports, and much more. Documents are image-based, fully searchable PDFs with the authority of print combined with the accessibility of a user-friendly and powerful database. For more information, request a quote or trial for your organization below.



Contact us for annual subscription options:

Contact Us

Already a HeinOnline Subscriber?

Log In

profiles profiles most