Tax Policy and Administration:
[Applicability of P.L. 99-177 to IRS Collections for the Virgin Islands and Guam]
B-221498.6: Published: Feb 7, 1986. Publicly Released: Mar 11, 1986.
GAO reviewed the applicability of the Balanced Budget and Emergency Deficit Control Act to Internal Revenue Service (IRS) collections for Guam and the Virgin Islands. GAO found that: (1) there is no authority under the act to exempt the accounts from being sequestrated; (2) even though these payments may be made to fulfill a federal government trust responsibility, this is not a sufficient basis to consider the payments exempt from sequestration; (3) the payment of IRS collections is provided for under permanent indefinite appropriations; and (4) since there is no specific basis for exemption, both accounts are subject to reduction.