Guide to Resolving Alabama Tax Problems

If you have State specific tax problems with the state of Alabama, such as back taxes, all resolution methods are determined by the Alabama Department of Revenue Services. If you have similar problems for both Alabama back taxes and Federal taxes, you will have to resolve these issues separately. The state of Alabama does not make it as easy as the IRS, you will have to call the Alabama Department of Revenue to get the majority of the forms you will need to resolve back tax problems.

The state of Alabama does realize that taxpayers do run into issues and may not be able to pay their taxes in full at times. They have set up various resolution methods that are similar to the IRS to make paying for taxes easier. Below are some of the common resolution methods that can be used with the Alabama Department of Revenue to resolve unpaid and unfiled tax problems.

Installment Agreement

With an installment agreement, you will be allowed to pay back the taxes owed in increments to ease the financial burden of paying the taxes all at once.  Alabama will generally approve payment plans no longer than 12 months. The state of Alabama is not as lenient as the IRS when approving these types of agreements and therefore this type of agreement may be a bit difficult to obtain.

In order to obtain an installment agreement, the taxpayer may be required to enclose a Collection Information Statement.

Alabama Department of Revenue Taxpayer Advocacy

The Taxpayer Advocacy was created to help taxpayers that have had issues with trying to resolve tax problems through the normal procedural channels. This can be a great way to go if you have a lack of knowledge of following the normal channels provided by the Alabama Department of Revenue. In order to qualify for using the taxpayer advocacy you must meet one of the following criteria:

1. Made 3 attempts to resolve the problem through normal channels
2. The information that was provided by the Alabama Department of Revenue must have been proven wrong or inadequate, which resulted in confusing or hardship to the taxpayer
3. The response was not given by the department by the date promised, 30 days after initial contact, or within the statutorily required time
4. Noted existence of an ongoing or persistent problem with a particular procedure

Our Simple Tax Relief Process