Tax money owed: know what to do

To the tax money owed could be a Slot headache, particularly when the values ​​are excessive or if you happen to don’t agree with that fee. Nonetheless, taxpayers have a number of options to settle the excellent tax or to dispute the gathering.

Late fee of taxes doesn’t essentially must lead to liens and authorized issues.

The reality is there are methods to make the fee in installments or to assert if you don’t agree with the quantity or with the duty to pay. Even so, you will need to meet deadlines and comply with the procedures established by the Tax Authority.

How are you aware when you’ve got tax money owed?

There are a number of methods to verify that you just don’t have tax money owed. The only is to open your private web page on the Finance Portal and see if the indication “Regularized Tax State of affairs”. In any other case, click on on this house to see what sort of tax is lacking.

Another choice is, additionally on the primary web page of this Portal, on the left aspect, click on on Built-in Tax State of affairs. On this method, you’ll be able to entry information for every tax yr and cadastral and asset info without delay. And you may verify if there are any alerts for compliance with tax obligations, whether or not the deadline continues to be operating or has already been exceeded.

On the Finance Portal you may also discover out when you’ve got energetic tax enforcement processes and request a non-debt certificates, which proves that your accounts are updated with the AT. On this web page you may also seek the advice of the listing of debtors to the tax authorities and social safety.

If you want, you may also go to a tax workplace to acquire this info, which is supplied to you, your authorized consultant or authorized consultant.

What to do when you’ve got tax money owed?

In the event you’ve seen or obtained a discover to pay a tax debt, you could have a number of choices: pay without delayto do the fee in installments Or the reward in achievement and even dispute that debt.

Tips on how to pay tax money owed in installments?

In some instances, you don’t even must make the request, however in others it’s vital to use to the AT for the opportunity of paying tax money owed in installments. Get to know the obtainable choices.

Unofficial installment fee plan

​This installment fee plan is achieved routinely by AT and applies to money owed associated to the IRS or IRC. Nonetheless, sure situations should be met:

  • ​​​The quantity of the debt is the same as or lower than €5,000 (within the case of the IRS) or €10,000 (IRC);
  • The debt is within the voluntary assortment part;
  • It has no different money owed to the Tax Authorities.

On this case, the taxpayer doesn’t must do something. After the deadline for requesting to pay the IRS in installments, the AT notifies the taxpayer of the creation of the plan.

When making the fee of the first installment, you may be accepting the fee plan proposed by AT. To entry this plan, it isn’t vital to offer any assure.

Unofficial fee plan for money owed in tax foreclosures

Money owed which might be already within the tax foreclosures part may also profit from a fee plan in installments made obtainable unofficially by AT.

The measure applies to IRS money owed of as much as €5,000 or €10,000 within the case of the IRC if the taxpayer doesn’t have already got one other fee plan in place. As within the earlier case, the debtor doesn’t must file any software. It’s the AT that notifies you of the creation of this plan in installments.

Ask for fee in installments

In instances not lined by AT’s automated fee plans, the taxpayer has the likelihood to ask to repay the debt in levels.

Thus, and after the voluntary fee interval has ended, when you’ve got no different tax money owed, you’ll be able to ask to pay in installments. As much as 15 days after the deadline for fee of the gathering observe, you’ll be able to apply by the Finance Portal.

Debt in tax foreclosures? You’ll be able to pay in installments

​​Even when the method is already in tax foreclosures, you’ll be able to nonetheless request fee in installments at any time till the chief sale is scheduled.

To do that, merely entry the e-counter and comply with these steps: New Query >justice > Tax Foreclosures > Cost in installments.

In the event you want, you’ll be able to, by appointment, current your request at any Tax Workplace. The preparation of the plan is carried out by the service the place the processes had been initiated.

This chance covers any tax debt and never simply these associated to the IRS and IRC. AT lets you any debt in tax foreclosures could be paid in installments.

Donation in compliance

One other solution to resolve tax money owed is to go for reward in fulfillmentthat is, to suggest that AT settle for an asset as a method of paying the debt.

This selection often entails belongings similar to actual property, quotas or shares in corporations, vehicles or artworks. Nonetheless, the deadline for proposing it’s quick: you have to request the dation in compliance (or dation in fee) inside 20 days after service of the tax foreclosures.

What modified in 2022?

In July 2022, new guidelines got here into power that make it less complicated to resolve points associated to tax money owed.

A brand new legislationo, permitted in December 2021, permits the AT to ex officio create installment fee plans for money owed earlier than the initiation of the tax execution course of.

One other novelty is the enlargement of the kind of tax money owed nonetheless within the voluntary assortment part that may be paid in installments. Along with IRS and IRC, phased funds additionally embrace VAT, IMT, IUC and IRS and IRC withholdings.

See too
Single Circulation Tax Tables (IUC) for 2023

Present account between taxpayer and AT

On the identical date Legislation 3/2022 got here into power, which creates a present account between taxpayers and the State. Which means that, when you’ve got tax money owed and credit with the AT, a reckoning is carried out. So if what you owe is greater than what you owe, you don’t have to fret.

This measure covers withholding tax, autonomous taxation and refunds regarding IRS, IRC, IVA, Excise Taxes, IMI, AIMI, IMT, Stamp Obligation, IUC and ISV.

Can I dispute the debt?

If you don’t agree with the quantity of a debt or consider that AT has made a mistake, might resort to an unofficial evaluation or a swish grievancethe latter of which should be made inside 120 days after the deadline for fee of the tax.

The taxpayer additionally has the likelihood to file an opposition to the tax foreclosures.

This selection, nevertheless, ought to solely be thought-about in instances the place the arguments for opposition fall throughout the scope of the regulation. For instance, if the debt has expired, if the tax in query was not in power on the date of the details or if its assortment was not approved.

When do tax money owed expire?

The Tax Authorities have 4 years to inform the taxpayer of the tax payable. On the finish of that interval, the debt is taken into account expired.

Nonetheless, the deadline for charging continues. The tax administration has eight years to hold out the gathering of tax money owed earlier than their statute of limitations. This case additionally contains curiosity on arrears and compensatory curiosity.

In different phrases, it will take eight years with none initiative on the a part of the AT to prescribe the debt.

Article initially printed in July 2019. Final up to date in April 2023.

Finance Portal: Taxpayer Assist – funds