The State of Alabama Is Offering Some Residents Tax Amnesty but Time Is Ticking to Qualify

The Alabama Tax Delinquency Amnesty Program of 2018 was passed to allow Alabama residents who owe certain types of taxes to the state of Alabama a chance to have all penalties and interest waived with an approved tax amnesty application.

The Alabama Department of Revenue (ADOR) launched alabamataxamnesty.com in July and the deadline to submit an application for tax amnesty is September 30, 2018.  If you are a resident of Alabama who owes taxes and have NOT been contacted by ADOR in the last two years and you are not a party to any litigation or a criminal investigation concerning delinquency, non-payment, or fraud regarding taxes you owe to Alabama in any court in Alabama or the United States pending as of March 6, 2018, then you may qualify to apply for tax amnesty.

Why Is This Opportunity Now Present?

This is an opportunity for those Alabama residents who did not file state tax returns in the past due to their belief they owed taxes to get those tax returns filed without assessing any penalties and interest, if they qualify for this program.

Eligibility

You are ineligible to qualify for this program if you are a taxpayer who:

• has been contacted by ADOR within the last two years.
• has a current outstanding debt with ADOR with a form of a bill, assessment, or civil collection action (i.e., garnishment).
• is currently under investigation or scheduled for audit.
• was issued a final assessment and the appeal period has ended.
• disclosed or delivered a false or fraudulent application, document, return or other statement to ADOR in connection with the amnesty application.
• has a voluntary disclosure agreement with ADOR before December 31, 2017.
• was granted tax amnesty as party of the Alabama Tax Delinquency Amnesty Act of 2016.

If you owe taxes to Alabama that were due before January 1, 2017, you may qualify for the 2018 Amnesty program.  If you believe that you qualify for the 2018 Tax Amnesty Program of 2018, contact your tax advisers regarding your eligibility.  To apply for the program is very simple, just visit alabamataxamnesty.com and complete an online application.  If approved, all amnesty returns and payments are due by November 15, 2018.  If you owe motor fuel, motor vehicle or property taxes, these taxes are not eligible for the 2018 Amnesty Program.

If you owe state taxes to Alabama but do not qualify for this amnesty program and want relief, call us today to meet with an experienced attorney and discuss your options on how to deal with those taxes.