Vermont Tax Department issues new delinquent lists

The Vermont Tax Department has collected nearly $800,000 in delinquent taxes since the Legislature approved a new public accountability program last year.

The disclosure came Monday as the tax department released an updated list of the top 100 individuals and top 100 businesses that are delinquents.

"We plan to update it every week or so," Deputy Tax Commissioner Gregg Mousley said.

The state received $794,183 from people who were going to be included in the published lists, Mousley said.

Multiple warnings letters were sent to delinquents that names might be published if they failed to pay up, the tax department said.

The legislature voted last May for Vermont join more than 28 states in posting the most overdue tax accounts.

Mousley said the $794,183 paid to the state are voluntary payments.

Involuntary payments, including offsets and wage garnishments, are excluded in the amount recovered, he said. The same occurred with pledges of monthly payments.

Rep. Janet Ancel, chairwoman of the House Ways and Means Committee, D-Calais, considers the program one of "public accountability" to help encourage people and businesses to become current.

Ancel, a former tax commissioner, questioned why the tax department initially released only the names and hometowns on Jan. 12 and excluded the amounts and specifics addresses to ensure the proper identities.

The Burlington Free Press filed a public records request seeking the missing information, including the amounts owed by each account.

Gov. Peter Shumlin wanted the names out, but the tax department balked. Tax department lawyers punted the question to the office of Vermont Attorney General William Sorrell.

After the legal review the Tax Department eventually released names, amounts and specific addresses to the Free Press Jan. 27.

Extra collection efforts come as the state attempts to deal with a projected budget shortfall of $112 million next year.

Mousley said people or businesses will be added to future lists of the top delinquents as others pay what they owe to get off the lists.

He was unsure how many people or businesses have come off the original list released Jan. 12, but said there was movement.

The top 100 individuals and 100 businesses owed $25 million, Tax Commissioner Mary Peterson has said.

The state is owed about $175 million in overdue taxes. Peterson said some of that is contested.

Contact Mike Donoghue at 660-1845 or mdonoghue@freepressmedia.com. Follow Mike on Twitter at www.twitter.com/FreepsMikeD.