August 20, 2014

City moves forward on major business

By Chris Erickson

Two larger issues were addressed this week by Beulah’s City Council that puts the city in a little better position than it had been in previous months.
Those two items were the final resolution concerning an appeal to the Internal Revenue Service regarding late payments and moving forward with local entities to occupy the former MTI building.
Mayor Darrell Bjerke said that the city had been in the process of resolving the IRS problem since July 2013 when it was discovered by the city auditor.
“We have sent in two different appeals to the IRS that they waive the penalty that was assessed against the late payment of taxes,” he said. “These were withholding taxes that should have been submitted for the two final quarters of 2011, all four quarters of 2012 and three quarters of 2013.”
The amount of the overall penalty amounted to $159,837.99, with interest of $16,680.47. Through the appeals process the city was notified that the penalty would be abated although the interest would still be paid. Bjerke said that the city would be notified on how the refund would be made.

 


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