BAGHDAD: U.S. defense contractors in Iraq are being hit with unfair and aggressive tax enforcement efforts by Baghdad that have impaired U.S. military operations against the Islamic State, a contractor trade association has told the State Department.
The Iraqi government has employed a variety of arm-twisting tactics to force contractors to fork over income taxes assessed on U.S.-based contracts with the Defense and State departments, including denial or delay of key contractor staff work visas and interruption of supply shipments to U.S. troops, according to the May.