HEMINGFORD, Nebraska (AP) - Hemingford has worked out an agreement with the IRS to pay off delinquent payroll withholding taxes owed by the Hemingford Community Care Center.
An audit earlier this year found the city-owned nursing home was two years behind on its payroll taxes. Including interest and penalties, the city owed about $250,000.
But the management company that operates the nursing home for Hemingford negotiated a payment for $101,000.
Half will be paid off with a six-month, 4.75 percent interest bank loan. The remainder will be paid off by the village at a rate of $5,000 a month.
The management company blamed the delinquent taxes on problems using the IRS electronic transfer service.
(Copyright 2012 by The Associated Press. All Rights Reserved.)