politics
IRS Inspector General Finds 9% of Federal Workers Delinquent on Taxes in 2024
The IRS inspector general released a report on May 11, 2026, showing 215000 federal employees owed $2.1 billion while current and former workers totaled 571000 delinquents owing $6.3 billion, a 43 percent increase in three years. The U.S. Postal Service recorded the highest rate at 10 percent.
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U.S. 9 percent of the total federal workforce, the IRS inspector general reported on May 11, 2026. 1 billion as of 2024.
About 50000 of those federal civilian employees failed to file tax returns in multiple years, and more than 1000 workers failed to file returns at least six times during their careers. The total number of current and former federal employees late on their taxes reached 571000 as of 2024, a 43 percent increase in three years. 3 billion.
The inspector general said federal employees have a higher responsibility to satisfy their tax obligations in good faith as citizens. U.S. Postal Service recorded a 10 percent federal tax delinquency rate among employees as of 2024, with an outstanding balance of $570 million in unpaid taxes.
3 percent among employees, who owed nearly $380 million. Civilian Defense Department employees had a federal tax delinquency rate above 7 percent. The Army had more actual federal tax delinquencies than the Navy among civilian employees as of 2024, though Navy civilian employees had a higher outstanding federal tax balance.
The IRS suspended collection notices and levy programs during the pandemic recovery. It began phasing collection notices and levy programs back in as of August 2024.
The IRS expects the federal employee tax delinquency rate to decline in the future. The IRS sent 427000 reminder letters to federal employees and retirees in summer 2025. Following those letters, 59000 people made payments totaling $58 million.
“While these outcomes cannot be attributed solely to the notice, the results suggest targeted outreach can be effective and will inform future compliance strategies,” said Lia Colbert, commissioner of the IRS small business and self-employed division.
