Alna Treasurer Aaron Miller resigned Wednesday, April 22, after fielding questions from the board of selectmen about IRS payment errors that accrued penalties and interest for the town.
Miller, Alna’s treasurer for approximately one year, submitted a single sentence letter of resignation.
“I have decided to resign as the town’s Treasurer effective immediately due to personal reasons,” Miller’s letter, dated April 22, said.
Miller attended the selectmen’s meeting to give an update about his ongoing negotiations with the IRS regarding an abatement for penalties and interest accrued due to late tax payments.
According to Miller, due to his unfamiliarity with the QuickBooks accounting system used in Alna, he was unaware the IRS required monthly tax payments and was paying the IRS on a quarterly basis.
An abatement of $964 in fees and interest had already been granted for the first quarter of 2014, Miller said. Miller has submitted an additional abatement request of $1,306 for fees and interest charged for the second quarter of 2014.
The money has already been paid and the abatement, if granted, would be received as a refund, Miller said. It is unclear if the IRS charged Alna fees and interest for the third and fourth quarters of 2014, Miller said.
According to Miller, Alna is current in its tax payments to the IRS for 2014. Monthly payments for January, February, and March of 2015, however, have not been made.
The IRS sent Miller a letter in March stating Alna still owes $9,978 in taxes. The letter did not specify how that figure was reached, or if it encompasses the monthly payments not made in 2015, Miller said.
Selectmen voted to put $9,978 for the IRS on the warrant to pay the amount immediately, rather than risk accruing additional interest and fees for the town. If the amount turns out to be an overpayment, board members said, it would be better to receive a refund rather than pay additional fines.
Selectmen questioned Miller why payments to the IRS still had not been made on a monthly basis after the initial penalty was received. In response, Miller said he did not have a good explanation.
According to Miller, the TRIO system he is familiar with automatically generates the IRS payments, which are made in Whitefield, where he serves as town clerk, on a bi-weekly basis.
Miller cited his unfamiliarity with QuickBooks and confusion regarding IRS payment and quarterly filing schedules as the source of the mistake. Selectmen questioned Miller why, after a year, he still struggled with the accounting system in Alna.
They stated their expectation that Miller would rectify the problem, and regular monthly IRS payments would be added to the warrant.
At their previous meeting, selectmen voted down purchasing TRIO software, a municipal accounting system Miller requested, in favor of their current accounting software, which combines the John O’Donnell real estate program and QuickBooks.
Miller submitted his resignation after he requested selectmen allow him to hire former Treasurer Honora Perkins to help him learn QuickBooks. Third Selectman Doug Baston’s response was the town should not have to pay extra and suggested Miller should use his $4,000 stipend if he needed additional help.
Perkins attended the selectmen’s meeting to offer to help train Miller in QuickBooks for free. “I feel sad that I left and didn’t help train him adequately. It’s partially my responsibility,” Perkins said.
Her comments were made as Miller handed selectmen a pre-written letter of resignation and his copy of town office keys. The board voted to accept Miller’s resignation and asked Perkins to serve temporarily as treasurer until a permanent replacement is appointed, which Perkins agreed to do.
