TAX DEBT RELIEF OPTIONS – New York Department of Taxation and Finance
M&M Financial started fixing back tax problems nationwide in 2005, and in New York as far back as 2008. We deal with the IRS and State, so you do not have to!
Below is some information that will help you start resolving your state tax liabilities. If you have questions and would like to talk to a licensed Tax Resolution Specialistplease do not hesitate to call us at 866-487-5624 .
NY-DOTF PAYMENT PLANS TO RESOLVE BACK TAXES
The state of New York does not provide a lot of information regarding payment plan options for business or individual tax liabilities. In our experience the terms allowed vary, but the following are standard payment plan requirements:
- If you owe $20,000 or less and can pay back the tax in 36 or fewer equal monthly payments, you may be able to get a payment plan online.
- You will have to complete a financial statement form and provide supporting documentation to back up your payment plan request.
- A tax Warrant (tax lien) will be filed against you and/or your business.
- Expect the state to ask for a 25% - 50%down payment.
REDUCING NY-DOTF TAX DEBTS
Offer in Compromise
New York does have an Offer in Compromise program. It allows qualifying, financially distressed taxpayers the opportunity to settle their total back-tax liability for a lesser amount. According to NY-DOTF website, the state will consider Offers in Compromise from:
- Individuals and businesses that are insolvent or discharged in bankruptcy.
- Individuals who are not insolvent or bankrupt when payment in full would create undue economic hardship . (Only individualsmay apply for relief based on undue economic hardship. This may include relief from business debts for which an individual is personally responsible.)
Penalty Relief
Unfortunately, the NY-DOTF are sticklers when it comes to penalty relief and typically will not grant relief.
NEW YORK TAX REsolution CASE EXAMPLES
The New York Department of Taxation and Finance has some flexibility when it comes to back tax liabilities. Each case varies based on factors such as your compliance history, type of tax owed and total amount past due. Here are some case examples in your state negotiated by M&M.
page last reviewed 01/12/2024
Get Free Tax Guides & Evaluation
