Gov't opposes motion in tax refund case

by Mindy Aguon

Guam - The Government of Guam is opposed to the District Court granting a motion for summary judgment requested by the plaintiffs in the ongoing tax refund lawsuit. Jeffrey and Ria Paeste and sharon Zapanta have filed a class action suit asking the court to order the government to budget and pay for refunds in a timely and equitable manner. 

But GovGuam contends that setting aside and paying refunds when they're owed would result in a $74 million shortfall that would result in major cuts to government services and personnel. While the plaintiffs took issue with some refunds being expedited for medical and personal reasons, the government contends prioritizing payment of refunds based on hardship is allowed by the Internal Revenue Code and it does not set a deadline for tax refunds to be paid.