Steve Martin has a comedy routine you may have heard on how to make a million dollars tax-free.
First, he says, get a million dollars. Then, don't pay taxes. And when the IRS shows up, just say, "Well, excuuuuse me!"
It's funny for a couple of reasons, not the least of which is the knowledge that government does not take "excuuuuse me" as a reason for tax evasion, but will instead gladly sell your home or send you to prison.
Ah, but what if it is the government that should be saying "excuuuuse me?"
Then it becomes a totally different story, and not one that bodes well for the taxpayer.
Norman Walters, 66, of rural Crown Point, in 1974 filed for a homestead property tax exemption to which he was entitled. Through a governmental goof-up, he has not gotten the break for the last 10 years.
When he discovered the error, he was told a correction can only be made for the last three years. "I apologize to the gentleman, but I cannot go beyond the law," said Dan Repay, tax director for the county auditor.
In other words, "Excuuuuse me, Mr. Walters."
There will be those who say Walters is at fault for failing to notice the mistake, but they're wrong for at least two reasons.
The first is that if Walters' paid his taxes through an escrow account at his bank, he would never see the tax statement to know he was being victimized. The second is that he did everything the government asked, and (in what was admittedly a mistake) trusted it to do the same for him.
Had Walters neglected to file the proper paperwork, it would have been his fault. But he had the 1974 exemption filing in his property papers.
I am not saying there was some grand conspiracy by anyone to gyp Walters. It was a foul-up, the kind that sends a billion dollar tax bill to an empty lot in East Chicago.
But there has to be a better way to deal with someone who has gone his whole life making an honest living than to say, "Tough luck, fella."
One is to extend full repayment to anyone who can prove they followed all the rules. Given all the goof-ups the county makes, this might mean someone might have to forego their new office furniture, but we all have sacrifices to make.
The second is to make the same rule for those who have innocently made tax mistakes and limit penalties to the past three years.
Maybe that would make the bean-counters in Crown Point count your beans a little more closely.
Excuuuuse me for wanting some accountability.
The opinions are solely those of the writer. He can be reached at markk@nwitimes.com or (219) 933-4170.
Posted in Mark-kiesling on Friday, February 1, 2008 12:00 am Updated: 1:03 am.
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