Washington Taxing Information
The state may seek to collect past due taxes by levying your bank account. While the bank is legally obligated to comply with a levy, there is a brief holding period during the levying process in which you may seek professional help. If you are or believe you will be subject to a bank levy, it is recommended that you seek professional advice.
If you fail to address a tax bill such that you may become subject to an enforced collection process, the state will notify you of any actions they intend to take prior to doing so.
Evasion of Taxes
If the state finds that any or all parts of a tax deficiency are due to an attempt to evade the tax, there will be severe penalties. Evasion is defined by the taxpayer’s active intention about the matter. Thus, when a deficiency results from reasonable cause (i.e. an honest mistake), it does not qualify as evasion.
The penalties for evasion are only applied to the taxes evaded. However, other penalties may additionally be applied if the circumstances warrant them.
Priority One: Stopping Aggressive Enforced Collections
h2>Interest and Penalties
Maintaining a tax deficiency can result in additions to your total liability in the form of interest and penalties. Each may vary in amount according to the type of tax and the circumstances of the deficiency. Penalties may also be applied in cases where the associated tax is incorrectly handled.
In particular, circumstances involving substantiated reasonable cause, some penalties may be waived.
Power of Attorney
If you so choose, you may authorize a qualified professional to represent you. This requires that you complete and submit the appropriate documentation prior to any discussion of tax matters.
The state may choose to garnish your wages as a means of paying off your liability. Your employer is legally obligated to comply with a garnishment, and it will remain in effect until the full amount owed has been met. If your wages are currently or you believe will become subject to garnishment, it is recommended that you seek professional advice.