BATON ROUGE – The 2014 Tax Amnesty Program has processed more than 41,000 applications and settlements, which is projected to deliver more than $142 million for the Amnesty Fund, the Louisiana Department of Revenue (LDR) announced Thursday.
“I was pleased with the response that we received from taxpayers fulfilling their obligations to the state during this year’s Amnesty period,” said Secretary of Revenue Tim Barfield. “In the coming weeks, we will continue to process applications that were submitted by the deadline, and we expect some additional upside as the mail comes in.”
In total, the Department is projecting over $169 million in Amnesty collections, of which $142 million will go into the Amnesty Fund and, as provided under the Amnesty statute, $27 million will be retained by LDR to pay an estimated $4 million of expenses for administering this year’s Amnesty Program and provide $23 million of self-generated funds to replace penalties and fees waived. Of the $169 million, the Department has received $136 million in payments, is awaiting receipt of $10 million relating to settlement payments mailed prior to the deadline, and projects $23 million through installment payments to be made by May 1, 2015.
“The increase in amnesty funds is welcome news for the state budget as we work to create a plan to eliminate the shortfall created by declining oil prices,” said Commissioner of Administration Kristy Nichols. “Some of these payments may be used to reduce the impact of expenditure cuts on state agencies and taxpayers.”
Of the $169 million collected, approximately $112 million relate to resolutions of audit and litigation cases, which generally are contested matters involving businesses, and $57 million relate to delinquent tax collections which generally involve individuals and small businesses.
The 2014 Tax Amnesty Program gave eligible taxpayers the chance to bring their accounts up to date by paying all taxes due, with a waiver of all penalties and 50 percent of the interest.
BATON ROUGE –A one-month amnesty program is underway for individuals and businesses who have fallen behind on their taxes.
Louisiana Tax Amnesty 2014 begins today and continues through 11:59 p.m. on November 14, 2014. During the amnesty program, delinquent taxpayers and non-filers can bring their accounts up to date by paying 100 percent of taxes owed, all applicable fees and 50 percent of applied interest. The Louisiana Department of Revenue will waive the remaining half of the interest along with 100 percent of any penalties.
“This is the perfect opportunity for noncompliant taxpayers to bring their accounts up to date,” Secretary of Revenue Tim Barfield said. “If you’ve fallen behind on your obligations, this is your chance to make it right.”
Taxpayers can apply for amnesty online at www.ldrtaxamnesty.com. An application can be completed in about five minutes.
New this year is the opportunity for eligible taxpayers to pay their overdue taxes in installments over a six-month period. Installment agreements require a down payment of at least 20 percent of the amount owed, with final payment due no later than May 1, 2015.
According to LDR records, there are about 450,000 noncompliant tax accounts in Louisiana owing $1.8 billion.
Noncompliant taxpayers have a limited amount of time to take advantage of amnesty. According to Act 822 of the 2014 legislative session, after the conclusion of an amnesty period scheduled for 2015, there will be no new amnesty program administered by the Department of Revenue until at least 2025.
BATON ROUGE –Louisiana Tax Amnesty 2014 will be held from Oct. 15 through Nov. 14, 2014, the Louisiana Department of Revenue (LDR) recently announced. The 30-day tax amnesty program offers noncompliant taxpayers the opportunity to settle their accounts with the state by paying 100 percent of delinquent taxes, with a waiver of all penalties and 50 percent of the interest owed.
New to the amnesty program this year is the option for individual and business taxpayers to pay their overdue tax liabilities through installment payments over a six-month period of time.
Beginning at 12:01 a.m. on Oct. 15 through 11:59 p.m. on Nov. 14, eligible taxpayers can apply online at www.ldrtaxamnesty.com. Or for more information, they can call 866-782-9241.
“Delinquent taxpayers have more options than ever to satisfy their obligations,” Secretary of Revenue Tim Barfield said. “Hopefully, this will encourage everybody who has fallen behind to take this opportunity to make a fresh start.”
The Louisiana State Legislature has set a goal of collecting $100 million for the 2014 Tax Amnesty program.
Taxpayers identified as noncompliant in LDR’s records should expect to receive a letter and/or a recorded telephone message before the start of the amnesty program with instructions for submitting applications and payments online. Contact information is drawn from data taxpayers have submitted to LDR with their tax filings and other communications.
Delinquent taxpayers have a limited amount of time to take advantage of amnesty. According to Act 822 of the 2014 legislative session, after the conclusion of the amnesty period in 2015, there shall be no new amnesty program implemented by the Department of Revenue before Jan. 1, 2025.
2014 Louisiana Tax Amnesty Program to run Oct. 15-Nov. 14
BATON ROUGE – Act 421 of the 2013 Louisiana Legislature instituted a statewide amnesty program for all Louisiana taxpayers as a way to bring current any delinquent taxes with the Louisiana Department of Revenue (LDR). LA Tax Amnesty 2013: A Fresh Start will officially begin on September 23, 2013 and will end on November 22, 2013. During this two-month time period, Louisiana taxpayers will be able to officially apply for tax amnesty and submit payment for all tax periods that are outstanding.
All taxpayers who qualify for the Fresh Start program will receive a letter from the Secretary of Revenue accompanied by a voucher showing tax periods and amounts owed with all necessary account numbers to expedite payment to LDR by November 22, 2013. Upon receipt, electronic application and payment will be the fastest and most efficient way to clear all accounts with LDR. Should taxpayers decide to pay via check, they will be able to simply mail in the voucher with their full payment.
“This is a time for all Louisiana taxpayers to get a fresh start with their taxes,” said Tim Barfield, Secretary of the Louisiana Department of Revenue. “We have worked to make this process very simple and easy to use. We want to make certain that this direct benefit to taxpayers will be a way to help them and their families without jumping through a lot of hoops or going through red tape,” Barfield said.
“The fastest way to get all the information needed to move through the process is to access the website and follow the prompts. This process is specifically designed to clear taxpayer accounts quickly. If a taxpayer needs help at any point in the process, we have people ready to assist them.”
The website for LA Tax Amnesty 2013: A Fresh Start: www.ldrtaxamnesty.com. The current website is live for informational purposes only. All current information on the website will better help prepare taxpayers to participate in the amnesty program. A more enhanced website will be released by Secretary Barfield at the Baton Rouge Press Club on September 9, 2013 at noon. At that time he will present the program in its totality in preparation for the formal launch on September 23, 2013.
The following taxes and tax periods are included in the amnesty program:
- The tax amnesty program shall apply to all taxes administered by the department except for motor fuel taxes and penalties for failure to submit information reports that are not based on an underpayment of tax.
- Taxes due prior to January 1, 2013, for which the department has issued an individual or a business proposed assessment, notice of assessment, bill, notice, or demand for payment not later than May 31, 2013;
- Taxes for taxable periods that began before January 1, 2013.
A taxpayer is eligible for amnesty under any of the following circumstances:
- The taxpayer has received a notice for the failure to timely file a return or for the failure to remit the amount owed;
- The taxpayer has an outstanding tax liability but has never filed a Louisiana return;
- The taxpayer has an outstanding tax liability but has not been billed by the department;
- A lien has been issued against the taxpayer’s property;
- LDR has initiated proceedings under assessment and distraint procedures;
- LDR has entered into an installment agreement with the taxpayer;
- The taxpayer has filed for bankruptcy protection;
- The taxpayer is involved in a field audit;
- The taxpayer is involved in litigation;
- The taxpayer’s liability consists of interest and penalty;
- The taxpayer’s liability consists of interest only; or
- The taxpayer’s liability consists of penalty only.
The following are not eligible for the Fresh Start program:
- Taxpayers who are a party to any criminal investigation or criminal litigation, in any court of the United States or the State of Louisiana pending on August 1, 2013, for nonpayment, delinquency, or fraud in relation to any state tax imposed by a law of the State of Louisiana and administered by the department, are not eligible for amnesty.
- Taxpayers who deliver or disclose any false or fraudulent application, document, return, or other statement to the department in connection with an amnesty application shall be ineligible for amnesty and shall be subject to penalties of fraud.