City to deduct taxes from paychecks

    Philadelphia is threatening to hit some tax delinquent employees right in the paycheck. The move is an effort to collect needed revenue for the city.

    Philadelphia is threatening to hit some tax delinquent employees right in the paycheck. The move is an effort to collect needed revenue for the city.

    Listen:
    [audio: 090721tmtaxes.mp3]

    About 2600 city employees owe roughly five million dollars in back taxes to the city. Mayor Michael Nutter says he understands times are tough, but the workers need to pay what they owe or face having the money garnished directly from their paycheck.

    Nutter: The employees will get a notice and will hopefully most will enter into payment agreements directly. But if we have to go to the next step, we will and will start a process after establishing criteria for the withholding of the outstanding taxes from the employees pay.

    The city controller can order up to 20 percent of a workers salary to be deducted to pay back taxes. Controller Alan Butkovitz says he’s also reviewing contractors who do work for the city to see if any owe taxes.

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