The Department of Revenue recently announced an Amnesty Program to encourage taxpayers who are behind on their taxes to pay a reduced amount to clear up these old balances.
Starting February 1, 2011, taxpayers can eliminate all penalties and interest previously assessed by the Department of Revenue by agreeing to:
- Pay the tax due in full by April 30, 2011;
- Keep taxes current while paying off the old taxes; &
- Application must be submitted by April 18, 2011.
If you are working with Sellers where delinquent taxes to the Department of Revenue have prevented the sale from moving forward, this Amnesty Program may be your ‘answer’. Please have your clients discuss this program with their Revenue Agent to make sure they qualify. One phone call could save thousands of dollars for your Seller.
I am handling a sale now where the Seller has reduced their tax bill by more than $13,000.00! This saving has allowed a pending sale to close.
The Department of Revenue estimates this Amnesty Program could collect up to 24 million dollars for the state and local governments. The State guesses about 1/5 of the 50,000 delinquent businesses will take advantage of this opportunity.
More details are available at the website: www.paymytax.org or you can call me to discuss my experience. I hope you find this information to be useful.