Previous Story
US govt seeks to collect $148K in back taxes from Rota hotel
|
Posted on Sep 04 2011
The U.S. government has gone to court to collect $148,347.65 in federal tax liabilities that Rota Coconut Village Hotel allegedly owes.
Lauren M. Castaldi, the U.S. Department of Justice’s Tax Division lawyer, also asked the U.S. District Court for the NMI to award the U.S. government for costs incurred in bringing the court action.
Castaldi stated Thursday that the Rota Coconut Village Hotel was given notice of federal income tax assessments and demand for payment was made as required by the statute. Despite these notice and demand for payment, Castaldi said the hotel “has neglected, refused, or failed to pay such assessments.”
As of Sept. 26, 2011, the trial attorney said, there remains due and owing to the U.S. the total of $148,347.65, plus statutory interest, and other statutory additions as provided by law.
Castaldi said that on July 17, 2001, the Internal Revenue Service sent a notice to the hotel that a Notice of Federal Tax Lien had been filed against it for its Form 941 tax liabilities for the last quarter of 1997, all four quarters of 1998, the first, second, and third quarters of 1999, and all four quarters of 2000; and for the statutory penalty for 1997.
Castaldi said that, on May 13, 2002, after a hearing was held, IRS Appeals issued a notice of determination concerning collection action and or sustaining the filing of the Notice of Federal Tax Lien.
“Rota Coconut Village Hotel did not file a Tax Court petition appealing the notice of determination,” the lawyer said.
Castaldi said that, on April 26, 2011, the hotel submitted a Form 656-L, Offer in Compromise (Doubt as to liability) to the IRS for the penalties for the 1997, 1999, and 2000 tax years.
The government lawyer said the IRS by letter dated May 18, 2011, returned the Form 656-L to the hotel.
