Century Files State And Federal Taxes Months Late, Amasses Thousands In Fees And Penalties

May 22, 2019

NorthEscambia.com has learned the Town of Century has been months late in filing and paying state and federal taxes, despite numerous notices and collection warnings, while amassing thousands of dollars in fees and penalties this fiscal year.

Internal Revenue Service Payroll Taxes

The town was assessed $2,346.61 for failure to file and pay their fourth quarter 2018  payroll taxes on time to the Internal Revenue Service.

Century is semi-weekly payroll tax depositor, meaning they are required to remit payroll taxes for each week’s payroll to the IRS by the following Wednesday. A Form 941 must be filed quarterly to report payroll taxes, and it should have a zero balance if the semi-weekly deposits are made, according to Council President Ann Brooks, who is an accountant by trade.

According to documents obtained by NorthEscambia.com, the town’s 2018 last quarter payroll report (Form 941) was due January 31, but was not received by the IRS until February 28 and showed a balance due of $14,060.26.  There was also a late filing penalty of $639.08.

And documents also show The first quarter 2019 form showed a balance due of $30,470.40.

“There would be a zero balance due on the 941 form if we paid our payroll taxes when they were required to be paid. We will receive a notice from IRS assessing large penalties and interest for failure to timely pay our first quarter 2019 payroll taxes,” Brooks said.

So far in the second quarter of 2019, the payroll tax deposits due by April 24 and May 1 had not be made as of Monday, May 20.

Florida Department of Revenue Problems

Century’s tax problems don’t end with the IRS but also extend to the Florida Department of Revenue, which is threatening collection activities.

The town’s January, February, March and April gross receipts tax returns were not filed and paid until May 15. The returns and payments are due by the 20th of each month.

Century received a Florida Department of Revenue “Notice of Final Assessment” dated January 14 and another letter on May 14 stating the town had failed to respond to previous communications about the delinquent returns. Another letter received May 13 warned that the failure to file the delinquent tax forms and pay amounts due would result in collection activities.

Documents show that during this fiscal year, the Florida Department of Revenue also sent notices to the town in October and November of 2018 and two notices in February 2019 assessing late fees and interest for failing to file and pay taxes for August, September, November and December 2018.

Who Is Responsible?

Brooks said billing clerk Toni Simmons is responsible for providing information from the town’s billing software to Chief Deputy Clerk of Finance Kristina Wood who then prepares the state returns.

“Kristina stated that she has repeatedly requested from Toni the information necessary to file the sales tax and gross receipts tax returns and has informed Kim, the Mayor, and Robert that the requested information had not been provided,” Brooks said. The “Robert” she referenced is Robert Hudson, the town’s accountant, and “Kim” is Kim Godwin, town clerk.

Simmons provided the information needed to file Florida Department of Revenue forms for January through April on May 15. The penalty for a late return or payment is 10% for each month, up to 50% of of the original tax.

“The town council is not being informed about many problems, but the council is responsible for issues we are never made aware of. The council has previously voted that anytime a late fee or penalty is incurred it is to be brought to the council’s attention, but that is not happening,” Brooks said. “in the list of services that Robert Hudson agreed to provide to the town, among other things, he will review the monthly filings with the state of Florida before submission and preparation of the quarterly payroll tax returns and instruct personnel to properly compute and record the payroll tax deposit for each payroll.”

Pictured top: Robert Hudson, Century’s accountant, discusses taxes with the Century Town Council. NorthEscambia.com photo, click to enlarge.

Comments

39 Responses to “Century Files State And Federal Taxes Months Late, Amasses Thousands In Fees And Penalties”

  1. Me on May 24th, 2019 4:34 pm

    I think Ann Brooks will have to report this to a higher authority and let them handle it.

  2. Terri Sanders on May 23rd, 2019 4:39 pm

    I think Ann Brooks should resign and become the towns CPA….She could at least save them unnecessary penalties and late filing fees among other monies….not that she isn’t doing a great job as a council member…..but her accounting talents are going to waste …

  3. just sayin on May 23rd, 2019 10:03 am

    You would think that letters of resignation would be starting to trickle in by now.

  4. Sickofpolitics on May 22nd, 2019 9:00 pm

    Why does the town have 24 employees? With that number of employees why is there not more work done? That seems to be a lot of people to keep a small town operating!

  5. shaking my head on May 22nd, 2019 7:54 pm

    You got nothing but a bunch of freaking country bumpkins running this place….no wonder they are in trouble. It’s absolutely insane what they get away with….
    Somebody needs to contact the governor and have him fire everyone and have the county take over….it can’t be any worse than what they got…

  6. Will on May 22nd, 2019 6:50 pm

    To the citizen’s of CENTURY dont be suprised if your monthly bill gets raised up a little to help them cover their butt in the matter of paying the fines….how much more screw ups is it gonna take to uncover too get these incompetent people out of thoes positions and hire competent people

  7. David Huie Green on May 22nd, 2019 6:29 pm

    You never really know how important a job is until it isn’t done correctly.

  8. Cuz Danny on May 22nd, 2019 5:04 pm

    ARE Ya.ll Serious . VOTE in MORE Liberals , , , ,

  9. Deja Vu on May 22nd, 2019 3:44 pm

    I thought I read this story last summer and saw the picture
    Hey I did..
    http://www.northescambia.com/2018/07/century-writes-41-payroll-checks-without-funds-to-cover-them-skips-paying-irs

    Same account..same shocked stern looks on their face.
    SOS

  10. Bama on May 22nd, 2019 3:40 pm

    Get rid of them all. This is a DISGRACE. There are some great folks left in Century.
    The council has a CPA and others that SHOULD have been on TOP of all this stuff. Let’s , should we say “IMPEACH” them all and start over with fresh new faces, minds with no strings attached. Or just let Pensacola take over. Beats anyone that has a “title” here in Century. And to think they did not rent out that building. Where on earth was the $ minds going there?
    Good grief… MAKE CENTURY GREAT AGAIN…not an continuous embarrassment.

    Please, please, please leave Pensacola out of this, we have enough problems now.

  11. IMHO on May 22nd, 2019 3:27 pm

    Brooks should call for the Governor to remove Hawkins, if they still want to try to make a go of the incorporation. He can’t be recalled by FL statute because he is not a voting member. He is supposed to be overseeing the day to day operations by current charter/strong mayor. With the make up of the board they will never adjust the charter to a council/manager and hire a qualified public servant. Or will they?
    The electorate put these in place. It looks like Mrs Brooks is attempting to get a handle on it but it’s pretty far run into the ground.
    Why isn’t Hudson on top of this ahead of time also?
    Very disappointing.
    The Grand Jury report was feed back, and the need to report the financial emergency seems apparent.

    They are a phone call and email away.
    Don’t elect some one unless they understand government, municipal services and finance.
    I don’t think the electorate has the available talent to continue.
    Surprise me though.
    It really now is up to the council to decide what to do. You stepped up to serve, now what?
    The people need running water and trash pickup, some need gas, the roads and parks need to be maintained.

  12. Charlie on May 22nd, 2019 3:14 pm

    My oh my! It just seems to never end. What is the old saying, Truth is stranger than fiction? This has all of the ingredients of a best selling non fiction book or TV series.

  13. chris on May 22nd, 2019 2:44 pm

    The town of Century is not Odom’s bar. Odom’s is probably run more smoothly.

  14. Anne on May 22nd, 2019 2:05 pm

    Federal Internal Revenue Service AND State of Florida unpaid or overdue on payments?
    I’d be a nervous wreck and unable to sleep or eat if we were in that situation.
    HOW can this Century Bunch just seemingly go on as if nothing was coming down the road for them?
    Guess nothing illegal in it though as none of the State Attorney or Federal Treasury or US Marshals are banging on the doors in riot gear.
    This whole M-E-S-S is embarrassing and rediculous.
    Please Someone in Authority DO SOMETHING…..

  15. Denny on May 22nd, 2019 1:50 pm

    For something as important as this, when “she didn’t give it to me” GET IT YOURSELF! There’s been times, when reporting the problem doesn’t work, I’ve had to do someone else’s sorry a** job to get mine done to avoid cost to the taxpayers.

  16. nod on May 22nd, 2019 1:06 pm

    At least the Water Park is open

  17. Concerned citizen on May 22nd, 2019 1:05 pm

    Get rid of them all. This is a DISGRACE. There are some great folks left in Century.
    The council has a CPA and others that SHOULD have been on TOP of all this stuff. Let’s , should we say “IMPEACH” them all and start over with fresh new faces, minds with no strings attached. Or just let Pensacola take over. Beats anyone that has a “title” here in Century. And to think they did not rent out that building. Where on earth was the $ minds going there?
    Good grief… MAKE CENTURY GREAT AGAIN…not an continuous embarrassment.

  18. anne 1of2 on May 22nd, 2019 12:41 pm

    Crazy reports cause me to eat the ice cream straight out of the carton. i adore Century!

  19. BIG JOHN on May 22nd, 2019 12:03 pm

    WELL HERE WE GO AGAIN, WHAT A BIG, BIG JOKE CENTURY IS.. HOW LONG BEFORE THE TOWN IS CLEAN UP ??? YES AS THE STORY IS, AS CENTURY TURNS .

  20. Bowhunter on May 22nd, 2019 11:59 am

    @Toni W / YES BACK IN FEBUARY HAWKINS WANTED ( NETANYA ” TONI ” SIMMONS HIRED AND AGAINT BROOKS AND BOUTWELL IT WAS 3-2 VOTE TO HIRE HER GUESS WHO THE THREE WERE

  21. Citizen on May 22nd, 2019 11:06 am

    They need to clean house at city hall.They do not have one person up there that is qualified to work in that office unless it is Kristina Woods. If they cant do their jobs and in a timely manner they need to be gone. The residents of Century deserve better. Clean House!!!!!!!

  22. Tee-bug on May 22nd, 2019 10:53 am

    I think Century might qualify to be on the Jerry Springer show. What you think ?

  23. Jared Dempsey on May 22nd, 2019 10:20 am

    This is now an OUTRAGE. THE GOVERNOR NEEDS TO COME IN AND TAKE OVER. WHAT A DISGRACE. HOW SAD FOR ALL INVOLVED. UNBELIEVABLE!

  24. M in Bratt on May 22nd, 2019 9:38 am

    @Mary; “we are paying employees a lot of money”. From the advertisements and reports on North Escambia, Century is not even paying fast food wages for their admin. jobs. Could be less employees with much higher qualifications and wages would do a better job. I still wonder how many of these people around the table were getting free utilities before the “error” was caught.

  25. Bob on May 22nd, 2019 9:06 am

    Wow, I was worried for a moment…

    Good thing they did not sell that empty building of 10 years for $240,000…

    I was afraid the tax payers would get ripped off…

    HAHAHAHAHAHAHAHAHAHAHAHAHAHAHAHAHAHAHAHA!!!!!

  26. Noah Berry on May 22nd, 2019 8:44 am

    Wonder who the city attorney is in Century and what kind of advice he is giving them? I also wonder if they are getting their fair share of revenue from the joint bond market they share with the city of Gulf Breeze.

  27. JW on May 22nd, 2019 8:14 am

    Maybe the IRS will be the one to finally step up and take down the Century Circus.
    They did it with Capone.

    Also, while I’m not familiar with Robert Hudson personally, but I’d venture to say an upgrade in the CPA dept would probably do wonders for all these financial shenanigans.

  28. Mary Hudson on May 22nd, 2019 7:53 am

    The citizens must get involved in the town meetings.. We are paying employees a lot of money and you can see they are not getting the job done. Costing the town much more than we have… Something is wrong!!!!!

  29. George on May 22nd, 2019 7:06 am

    Well, what is the town to do? I mean, it’s not as if they have any unused assets sitting around that they could sell for $240,000.

    Oh, wait…….

  30. tg on May 22nd, 2019 6:40 am

    Century working on a new manual How Not To Run A City. When will it ever end?

  31. Surprise on May 22nd, 2019 6:40 am

    And the beat goes on!

  32. Toni W. on May 22nd, 2019 6:36 am

    Isn’t this “Toni” person the one they hired and gave a raise to that had NO experience except for running Odom’s care register?

  33. retired on May 22nd, 2019 6:05 am

    GO FIGURE!!!!!!!!

    Yup, the saga of “AS CENTURY TURNS”. Guess they need to raise town taxes.

  34. Sam on May 22nd, 2019 5:48 am

    Century has a city government that is dysfunctional. The hammer is going to fall sooner or later. We need people in office that are honest and know how to run a town. We have neither.

  35. Oversight on May 22nd, 2019 5:31 am

    How much more evidence is needed to see that the town’s operation is a total sham. The town council turns down a source of revenue that would come from the empty building in the industrial park, which would cover these unpaid taxes and fees. It is time to shutter the town’s government.

  36. Dave on May 22nd, 2019 5:22 am

    Really? What will it take to get these clowns out of office? Someone please help the town of Century and remove them from office. We are tired of being the butt of all jokes. We see bad leaders and employees terminated from other county possitions on what almost seems like a daily basis but somehow these clowns contunue to rule the roost.

  37. SW on May 22nd, 2019 4:59 am

    Shut-r-down!

  38. IMHO on May 22nd, 2019 4:32 am

    Its ALWAYS someone else fault. No acceptance of responsibility whatsoever. Yet nothing is done.

  39. Duh on May 22nd, 2019 2:11 am

    Pluuueezzeee. Read the Grand Jury report and start the dissolution process.