Summary
A 52-year-old senior logistics supervisor was denied a security clearance due to financial considerations under Guideline F. The applicant was indebted for unpaid federal and state taxes totaling approximately $5,074. Specifically, this included $3,134 owed to the federal government for tax year 2021, $1,726 owed to the federal government for tax year 2020, and $214 owed to his state of residence for delinquent taxes from at least 2021.
The applicant admitted to these tax debts, which raised disqualifying conditions under Adjudicative Guidelines paragraphs 19(a), 19(c), and 19(f). While mitigating conditions 20(a), 20(b), 20(c), and 20(g) were considered, they were not sufficient to overcome the concerns.
The denial was based on the applicant's failure to provide evidence of resolving these tax obligations or making arrangements to do so. This lack of action regarding his admitted financial irresponsibility led to concerns about his reliability and trustworthiness, resulting in the denial of his security clearance.
Why the applicant was denied
- The applicant admitted to being indebted to the federal government and the state for unpaid taxes.
- The applicant did not provide evidence of having paid the taxes or made arrangements to do so.
- The applicant's financial irresponsibility raised concerns about his reliability and trustworthiness.
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 or Fraudulently Filing Annual Federal, State, or Local Income Tax Returns or Failure to Pay Annual Federal, State, or Local Income Tax as Required
- AG ¶ 20(a)rejectedThe Behavior Happened so Long Ago, Was so Infrequent, or Occurred Under Such Circumstances That It Is Unlikely to Recur and Does Not Cast Doubt on the Individual's Current Reliability, Trustworthiness, or Good JudgmentThe applicant's failure to timely pay taxes is recent and did not occur under circumstances making it unlikely to recur.
- AG ¶ 20(b)rejectedThe Conditions That Resulted in the Financial Problem Were Largely Beyond the Person's ControlThe applicant provided no documentary evidence to support claims of financial hardship.
- AG ¶ 20(c)rejectedThe Individual Has Received or Is Receiving Financial Counseling for the Problem From a Legitimate and Credible SourceThe applicant submitted no evidence of financial counseling.
- AG ¶ 20(g)rejectedThe Individual Has Made Arrangements with the Appropriate Tax Authority to File or Pay the Amount Owed and Is in Compliance with Those ArrangementsThe applicant submitted no evidence that he has paid the taxes or made arrangements to pay them.
Key rule quoted
“Eligibility for a security clearance is predicated upon the applicant meeting the criteria contained in the adjudicative guidelines.”
Procedural posture
- SOR issuedMar 25, 2024
- Answer filedJul 2, 2024Applicant requested a decision on the written record without a hearing.
- Hearing held—Decision made on the written record.
- Decision dateNov 1, 2024
Cite for
- Failure to Provide Evidence of Resolving Financial Obligations Under Guideline F
- Recent Tax Delinquencies as a Basis for Security Clearance Denial
- The Importance of Demonstrating Financial Responsibility for Security Clearance Eligibility.