Do you owe the Connecticut Department of Revenue Services ("DRS") money and would like to compromise the tax debt, or settle it for pennies on the dollar?
Many taxpayers contact us when they or their businesses get into tax trouble and, having watched all those misleading commercials on late night TV (and they are misleading!) and believe they can settle for pennies.
The truth, when dealing with the DRS in Connecticut, is a bit more compliacted than it appears.
The first thing taxpayers need to understand is that the CT DRS does not operate like the IRS. The IRS Offer in Compromise program is based on formula and depoends upon a taxpayers income and assets, and all types of tax may be compromised, including trust funds (meaning payroll taxes held in trust for the government).
The CT DRS will not accept an offer of compromise on trust fund taxes that were actually collected by the employer, meaning sales tax and withholding tax that the employer has filed returns for stating they actually collected the tax.
CT DRS will compromise on income taxes and sales tax liabilities that arise from a sales tax audit. We have extensive experience dealing with CT Offers of Compromise. If you should have any questions or concerns about how to file an Offer of Compromise with the CT DRS, I would be happy to help. Please feel free to contact me anytime at (860) 657-9040 or e-mail me at egreen@convicerpercy.com.
Eric L. Green, Esq.
Tax Counsel
Convicer & Percy LLP
Phone: (860) 657-9040
E-Mail: egreen@convicerpercy.com
Website: www.convicerpercy.com
Comments(0)