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The Government Loses Almost $250 Billion a Year In Taxpayer Money

The Government Loses Almost $250 Billion a Year In Taxpayer Money

According to a new report, the U.S. government loses almost $250 billion a year in taxpayer money.

The Government Accountability Office (GAO) conducted a study in which it determined that improper payments -- payments that are made incorrectly by government agencies -- cost taxpayers $247 billion in 2022 alone.

The GAO reported that the federal government has lost a staggering $2.4 trillion to simple errors over the past two decades. 

Photographer: Bloomberg Creative Photos/Getty Images

Richard Stern, a budgetary expert from the Heritage Foundation, told CNBC, “That is money that was stolen from hardworking Americans to just simply get wasted.”

Stern also addressed "wasteful spending," stating, “As the government spends it runs up a deficit. What happens is, it’s sucking all the oxygen out of the room. It’s destroying investment. It’s mortgaging our futures. It’s slowing our growth. Today, the inflation you’re seeing is a large result of that.”

Recently, the IRS confirmed that Americans won't have to pay federal taxes on state relief payments that were made specifically because of the inflation crisis. This does not, however, mean that all relief checks are exempt from state taxes, so check your state's policies if you waited until today's deadline to file your taxes. 

Credit: Getty Images

For those unfamiliar with the Government Accountability Office, this legislative branch agency provides fact-based, nonpartisan information to Congress, primarily regarding federal spending and operations. The agency is often called the "Congressional watchdog."

Their annual report regarding federal expenditures is just one resource they provide to the American public and Capitol Hill leaders. 

The GAO also serves as the supreme audit institution of the federal government of the United States. It was founded on July 1, 1921. 

What do you think about the GAO's recent findings?

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Rebekah Barton

Rebekah Barton

Rebekah's search engine optimization career began completely by accident as a college student. Over the course of her career so far, she has "grown up" with the SEO industry, from writing content while juggling classes to managing her own teams of writers and overseeing SEO strategy in subsequent roles. She is excited to bring her passion for high-quality content to CountingWorks, Inc.

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