Summary
A 58-year-old engineering technologist with military service was denied a security clearance under Guideline F, Financial Considerations. The denial stemmed from his failure to timely file federal and state tax returns between 2007 and 2014, as well as outstanding tax debts.
Specifically, the applicant failed to timely file federal and state tax returns from 2007 through 2014, and state tax returns from 2007 through 2012. He also had an outstanding debt to the IRS of $700 and another for $5,494 for the 2008 tax year. These issues raised disqualifying conditions under Adjudicative Guidelines paragraphs 19(a), 19(c), and 19(g).
Despite acknowledging his tax filing issues, the applicant did not provide sufficient evidence of responsible financial behavior or mitigation. His explanations for the failures were deemed insufficient to alleviate security concerns, leading to the denial of his security clearance.
Why the Applicant Was Denied
- The applicant failed to timely file federal and state tax returns from 2007 through 2014.
- The applicant had outstanding tax debts, including a garnishment for delinquent taxes.
- The applicant's explanations for his failure to file were deemed insufficient to mitigate security concerns.
Conditions Referenced
- AG ¶ 19(a)raisedInability or Unwillingness to Satisfy Debts
- AG ¶ 19(c)raisedA History of Not Meeting Financial Obligations
- AG ¶ 19(g)raisedFailure to File Annual Federal, State, or Local Income Tax Returns as Required
- AG ¶ 20(a)rejectedThe Behavior Happened so Long Ago, Was so Infrequent, or Occurred Under Such Circumstances That It Is Unlikely to RecurThe applicant's failure to file spanned eight years and was ongoing.
- AG ¶ 20(b)rejectedConditions That Resulted in the Behavior Were Largely Beyond the Person’s ControlWhile the applicant cited travel and health issues, these did not justify the prolonged failure to file.
- AG ¶ 20(d)rejectedThe Individual Initiated a Good-faith Effort to Repay Overdue Creditors or Otherwise Resolve DebtsThe applicant did not demonstrate proactive efforts to resolve his tax issues until after the SOR was issued.
- AG ¶ 20(c)rejectedThe Person Has Received or Is Receiving Counseling for the ProblemNo evidence of counseling or clear indications of resolution were presented.
Key Rule Quoted
“The protection of the national security is the paramount consideration.”
Procedural Posture
- SOR issuedJun 16, 2015
- Answer filed—Applicant filed a timely answer.
- Hearing heldJan 29, 2016Hearing conducted with applicant appearing pro se.
- Decision dateMar 18, 2016Transcript received on this date.
Cite For
- Failure to Timely File Tax Returns as a Disqualifying Condition Under Guideline F
- Insufficient Mitigation of Financial Considerations Due to Ongoing Tax Issues
- Importance of Demonstrating Responsible Financial Behavior for Security Clearance Eligibility