County pays $31K IRS penalty

Published 4:28 pm Wednesday, December 4, 2019

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Daniel “Dan”
Witt

The Charlotte County Board of Supervisors is seeking the help of U.S. Representative Denver Riggleman regarding a $31,000 Internal Revenue Service (IRS) penalty in relation to a filing error.

During its Nov. 13 meeting, County Administrator, Daniel Witt, read a brief statement during the invoices for approval portion of the meeting.

“There was an error on the part of the staff in filing the Affordable Care Act (ACA) health paperwork to the IRS, and we have appealed that, and that appeal was denied, and rather than pay interest, we’re going to pay the expenses for this that are $31,000.” Witt read. “We have a second appeal in the process, and we also contacted congressman Riggleman, who is going to act on our behalf to work on this.”

Following his statement, there was no comment from any supervisor.

The Charlotte Gazette asked for comment from Red Oak/Wyllesburg Supervisor Kay Pierantoni, who is normally outspoken when it comes to county funds and the way they are used. Pierantoni said, “I rather not comment on that one. I need to refer all questions concerning that issue to Dan Witt.”

According to Witt Under the ACA, “Obamacare,” the county is required to file Form 1095C with the IRS, and the deadline was missed in 2017.

This filing was for the Charlotte County Public School System (CCPS).

“The county files for both the county and school employees,” said Witt. “The deadline was missed for the electronic filing with the IRS, and the schools were randomly drawn and assessed a penalty of $100 per employee.

Witt says that CCPS employees were issued their 1095C forms on time.

When asked for a comment, CCPS Superintendent Robbie Mason said only, “the county handles the filing of these forms for us.”

Witt further said the county did appeal the penalty but was denied, and to avoid additional penalties and interest that would begin after Nov. 18 the Board decided to pay the $31,000.

“It was an oversight, and when discovered, notification was made,” said Board of Supervisors Chairman Garland Hamlett Jr. “Hopefully this will be resolved and removed. The county went ahead and paid the penalty as required, and if the IRS removes the penalty, the U.S. government will return the payment.”

The Charlotte Gazette reached out to congressman Riggleman’s office for comment.

Communications Director Joe Chelak said, “Our office policy is that due to privacy concerns we don’t comment on constituent meetings unless they have given us approval, so I don’t have a comment for you.”