Marshalltown Schools fully reimbursed by IRS

The Internal Revenue Service (IRS) has fully reimbursed the Marshalltown Community School District in the amount of $642,149.51 – the IRS had initially charged the fines in 2018 due to a payroll reporting oversight.

“That was really good news,” district Business Director Paulette Newbold said Monday evening, shortly after the IRS sent notification of the refund. She said she ensured the refund checks were put in the bank immediately.

“We were pleasantly surprised to have received the full refund of the fees and penalties,” said district Superintendent Dr. Theron Schutte.

He credited Newbold and the entire Business Office team, as well as attorneys Chris Wertzberger and Bruce Baker, for their hard work in getting the funding returned to the district.

Since the payroll reporting issue was discovered by current Business Office staff in 2018, school officials have comprehensively reviewed oversight and reporting processes for all aspects of district finance.