Pangelinan to DOA Director: “Stop Sitting on Cash and Hiding Cash Balances”

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Guam – In his strongest blast yet on the issue of tax refunds, Appropriations Committee Chair Senator Ben Pangelinan is “demanding” that Department of Administration Director Benita Manglona pay 2011 tax refunds with the $33 million he estimates GovGuam has in the bank now.

In a release, Pangelinan states “there is $33 million in the bank that the Director continues to withhold from the taxpayers so that she can artificially create a crisis that will merit the Governor’s bond proposal. This is unethical and irresponsible fiscal management at its best.”

Manglona has repeatedly said that she is setting aside recent GovGuam revenues to pay for 2012 taxes, but the Appropriations Chair cites “cites several Public Laws that budgets almost $127 million for the payment of refunds ONLY for Tax Years 2011 and prior refunds AND NOT for Tax Year 2012.”

The Senator included a chart with his release which he says shows all the Public Laws that the Guam Legislature has budgeted, amounting to almost $127 million in refunds that should be paid by DOA between January 1, 2012 and September 30, 2012.”

 

READ Pangelinan’s release in FULL below:

PANGELINAN TO DOA DIRECTOR: “STOP SITTING ON CASH AND HIDING CASH BALANCES TO ARTIFICIALLY CREATE A CRISIS; PAY REFUNDS WITH $33 MILLION CASH IN THE BANK”

FOR IMMEDIATE NEWS RELEASE (March 1, 2012 – Hagåtña) – Senator Vicente (ben) Cabrera Pangelinan (D-Barrigada), Chairman of the Committee on Appropriations, Taxation, Public Debt, Banking, Insurance, Retirement & Land (Committee) once again, is demanding the Director of the Department of Administration (DOA) to use the cash that is currently in the bank to pay for Tax Year 2011 Income Tax Refunds.

The senator cites several Public Laws that budgets almost $127 million for the payment of refunds ONLY for Tax Years 2011 and prior refunds AND NOT for Tax Year 2012.

“The budget law only allows her to pay for Tax Year 2011 and prior refunds and not Tax Year 2012. Why is the Director of Administration sitting on millions of dollars in cash to pay for Tax Year 2012 refunds that can’t be even filed until companies issue W-2s at the end of January of 2013 and won’t be due until June 1, 2013,” questioned Pangelinan.

“Actual revenue collections are hitting their budgeted marks and there is $33 million in the bank that the Director continues to withhold from the taxpayers so that she can artificially create a crisis that will merit the Governor’s bond proposal. This is unethical and irresponsible fiscal management at its best.”

Senator Pangelinan provided a chart for the public that cites all the Public Laws that the Guam Legislature has budgeted, amounting to almost $127 million in refunds that should be paid by DOA between January 1, 2012 and September 30, 2012.

The Director publicly stated that, to date, she has only paid $2 million for the entire months of January and February 2012.