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Obama Targets Delinquent Gov’t Contractors

HeadlineJan 21, 2010

The expected announcement comes one day after President Obama signed an executive order to crack down on government contractors who avoid paying taxes.

President Obama: “I’m directing my budget office, together with the Treasury Department and other federal agencies, to take steps to block contractors who are seriously delinquent in their taxes from receiving new government contracts. I’m also directing the IRS to conduct a review of the overall accuracy of companies’ claims about tax delinquencies.”

Previous government studies have found thousands of companies have received government contracts despite owing billions in taxes.

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