IRS cites ‘systematic error’ on Evarts bill
by Nola Sizemore Staff Writer
Certified public accountant and city bookkeeper Troy Gaw informed members of Evarts City Council approximately two months ago an Internal Revenue Service (IRS) agent came to the city with questions about the city’s 2013 first quarter payroll taxes.
“They tried to say the city owed $484,000 in payroll taxes,” said Gaw. “When the mayor and I sat and talked with the agent we told her we didn’t bring in $484,000 period. After a lot of discussion with the agent, and after I handed her the information — this is first quarter — this is second quarter, she calmed down and looked at it and said it might be their mistake, but the IRS don’t make mistakes.”
Gaw told council this week that he recently received a fax from the IRS agent saying the bill was “a systematic error on their part.”
“Basically, what happened was the person who was inputting the information put the city of Evarts’ federal ID number and another company’s information in under the city’s number,” said Gaw.
Mayor Eddie Manning said the IRS was saying the city had a first quarter tax payroll of $1.8 million. He said the fax stated the city does not owe anything to the IRS.
In other action council heard the city’s fire department report. Manning spoke on behalf of Fire Chief Cledo Powers, who was ill and unable to attend, saying the department had responded to one fire this month at Cotes.
“That family was very grateful to the Evarts Fire Department,” said council member Carrie Lipfird.
Manning said the fire department “works hard with very little recognition and volunteers who get no pay for what they do.” He added “they do a great job for the citizens of Clover Fork.”
City Clerk Kristi Lamb reported the fire department hosted a fundraiser at the annual Labor Day Festival where they raised $500.
She said the department also conducted a road block during the event and raised approximately $300. She said these funds will be used to purchase Christmas treats for needy children of Clover Fork.
Reach Nola Sizemore at 606-573-4510, ext. 115, firstname.lastname@example.org
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