Armed Forces News

Taxes and penalties imposed against the U.S. government and its contractors by the Afghan government already hit the $1 billion mark and are rising, according to the federal watchdog agency charged with monitoring those expenses. Additional fees could cost the U.S. millions of dollars and adversely affect military operations in Afghanistan, the Special Inspector General for Afghanistan Reconstruction stated in a June 28 report to Congress. According to the report, the U.S. has spent $93 billion on humanitarian and reconstruction projects in the country since 2002. Various government agencies, including the Defense and State departments, are charged with managing how the money is spent on infrastructure and training for the Afghan people and support of U.S. personnel there. The Afghan government has imposed a host of customs process fees, fines for delayed customs documentation, visa and work permit fees, and business license and registration fees upon the U.S., according to the IG report. "Congress’s appropriations for the Afghanistan reconstruction effort are intended to build afghan security forces, improve governance, and foster economic development in Afghanistan," the report stated. "However … a substantial portion of these funds are being spent not to achieve these important goals, but, rather, to pay the cost of doing business in Afghanistan." The white paper noted that Defense and State department officials are aware of the problem, and urged Congress to "take into account the costs we have detailed" when making future appropriations for Afghanistan reconstruction.