You Owe Washington State Tax that You Cannot Pay: Puget Sound

Puget Sound Tax Lawyer Protects Taxpayers Interests

Do You Owe State Tax But Cannot Pay? Washington Tax Law Firm Offers Solutions

If you owe Washington State tax but don’t have the money to pay it, the state Department of Revenue will classify your account as delinquent when the due date for a tax return or other liability has passed and the amount due remains unpaid.

Washington State Tax Collection Procedure

Once an account becomes delinquent, penalties and interest begin to accrue on the unpaid tax until the entire balance is paid. The Department of Revenue will send you letters and notices regarding this delinquency, and if you don’t respond, your account will be assigned to a Revenue Agent for collection.

The Revenue Agent will try to contact you by phone, letter, or in person to resolve the issue. If you don’t respond to the Revenue Agent’s collection efforts or fail to make satisfactory payment arrangements during the collection process, the DOR may issue an assessment and then a tax warrant covering all unpaid tax, penalties, and interest.

If the warrant is not paid within 10 days, is will be filed in Superior Court. Once it is filed, the warrant establishes a tax lien against real and personal property and allows the DOR to seize your bank accounts, wages, and personal property to pay your tax debt. If the filed warrant remains unpaid after 30 days, a hearing to revoke your business’s tax registration endorsement may be held – you need a tax registration endorsement to legally operate a business in the state of Washington.

Know Your Responsibilities

To avoid becoming delinquent on state tax obligations, Puget Sound business owners should know their responsibilities and plan for them. If you’re already behind on paying state taxes, experienced tax attorneys like Lana Kurilova Rich PLLC can provide you with options to clear up your tax issues and keep your business running. Contact us online or call (425) 289-0629 for an initial telephone consultation today.