Pago Pago, AMERICAN SAMOA — The Senate yesterday approved in final reading a Senate Resolution requesting the SSIC to review and investigate the disparity in personal and corporate tax collections for FY 2025.

The Senate Resolution grants authority to the Senate Select Investigative Committee (SSIC) to examine how the Department of the Treasury handles excise tax records, reporting practices, and compliance with statutory obligations. This includes its response to legislative inquiries, coordination with the Office of the Legislative Finance Officer, and its role in monitoring and intercepting the importation of illegal substances and firearms through customs and freight channels.

The SSIC is required to report its findings and recommendations to the Senate during the Third Regular Session starting on January 3, 2026. This report may include proposed legislative remedies, enforcement mechanisms, or administrative reforms necessary to ensure transparency, accountability, and responsible stewardship of public revenues and border controls.

According to the Resolution, Rule 3 of the Rules of the Senate Special Investigative Committee of the 39th Legislature mandates the SSIC to investigate any subject related to the American Samoa Government's conduct or operations, as well as any matters of public concern regarding public safety, public health, and public violations.

The Senate has recently identified significant fluctuations in the Department of the Treasury's reported personal and corporate tax collections, including a marked disparity between the first and second quarters, a subsequent increase in the third quarter, and a decline in the fourth quarter. 

In response to an official inquiry transmitted through the Office of the President of the Senate — requesting a comprehensive list of all individuals and entities owing excise taxes to the American Samoa Government (ASG), including specific amounts and outstanding balances — Acting Treasurer Brett Butler issued a letter dated September 22, 2025, disclosing only the aggregate total of excise taxes owed. The Acting Treasurer informed the Senate that, following advice from the Attorney General, he was not authorized to release the names of the alleged debtors since the Treasury Department had not yet verified the accuracy of the balances with each respective individual or company. 

However during the hearing Butler brought to light that a single importer has an outstanding tax obligation of $713,216.17, which is solely attributable to a single item: the purchase of an airplane. The remaining outstanding tax amount of $80,781 is collectively owed by 42 other individual taxpayers and businesses — and this is mostly for vehicles.

BACKGROUND

According to A.S.C.A. §2.0602, the Treasurer is statutorily obligated to furnish records as requested by the Legislative Finance Officer when acting on behalf of the Legislature. All government agencies are required to cooperate fully to enable the Legislative Finance Officer to carry out his duties as directed by the Legislature.

It is the responsibility of the Department of Treasury to accurately confirm, record, and collect taxes and revenues owed to the ASG, and its records should clearly reflect assessed amounts, payments received, and outstanding balances.