Summary
A 63-year-old male applicant was denied a security clearance under Guideline F, Financial Considerations, due to significant and long-standing financial irresponsibility. The Statement of Reasons detailed his failure to timely file federal income tax returns for twelve consecutive years, from 2008 to 2019.
Furthermore, the applicant owed the IRS over $30,000 in delinquent taxes for tax years 2008 ($15,611) and 2009 ($14,944), and had failed to pay these amounts. While he did resolve a delinquent medical debt from 2017 and a charged-off energy bill from 2014, these limited efforts were insufficient to mitigate the broader pattern of financial mismanagement.
The denial was based on his failure to file tax returns for over a decade, the substantial delinquent tax debt, and his inability to establish a payment agreement with the IRS. These factors led to the conclusion that he did not meet the standards for a security clearance.
Why the Applicant Was Denied
- Failed to file federal income tax returns for tax years 2008 to 2019.
- Owed over $30,000 in delinquent taxes for tax years 2008 and 2009.
- Demonstrated limited efforts to resolve financial issues, failing to establish a payment agreement with the IRS.
Conditions Referenced
- AG ¶ 19(a)appliedInability to Satisfy Debts
- AG ¶ 19(c)appliedA History of Not Meeting Financial Obligations
- AG ¶ 19(f)appliedFailure to File Annual Federal Income Tax Returns
Key Rule Quoted
“Failure to file tax returns suggests that an applicant has a problem with complying with well-established governmental rules and systems.”
Procedural Posture
- SOR issuedJul 9, 2021
- Answer filedJul 12, 2021
- Hearing heldMay 27, 2022Applicant waived right to 15-day notice.
- Decision dateNov 17, 2022
Cite For
- Insufficient Evidence of Financial Responsibility Under Guideline F
- Failure to File Tax Returns as a Disqualifying Condition
- Limited Efforts to Resolve Financial Issues Impacting Security Clearance Eligibility