IRS Hits Miccosukee Tribe With $170M Tax Bill

IRS sends bill for failing to report and withhold taxes from distribution of gambling profits to tribal members

The Internal Revenue Service has hit the Miccosukee Indians with a $170 million bill for failing to report and withhold taxes from its distribution of gambling profits to tribal members.
 
The Miami Herald reported Tuesday that the IRS also sent bills totaling $58 million to hundreds of the South Florida tribe's members for failure to pay personal taxes on those distributions from 2000 to 2005.
 
The newspaper says the agency has been fighting with the tribe for years over its refusal to pay taxes on distributions of profits from the casino in west Miami-Dade County. The numbers are expected to rise as IRS examiners are now auditing the tribe's gambling distributions for 2006-2010.
 
The tribe contends it does not have to withhold taxes on gambling distributions.

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