Altoona Area, Spring Cove, Bellwood Antis, Hollidaysburg Area, Penn Cambria, and Claysburg-Kimmel School Districts on Monday filed lawsuits against the City of Altoona and two bonding companies trying to collect almost $400,000 in earned income tax owed by Centax.
The city is named because it contracted with Centax in 2007 to collect earned income tax for the city and the districts. The operation was then covered by two bonding firms, Fidelity and Deposit Co. of Owings Mills, Md., and Travelers Casualty and Surety Co. of America, Hartford, Conn.
The company went out of business more than a year ago, having been placed in receivership in Allegheny County. Centax no longer exists so the responsibility, according to the lawsuits, falls on the bonding companies.
The city of Altoona is not expected to be on the hook for any of the owed money.
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