Tax Debt Like a Lasso Around the Neck! But Can You Save Yourself…

All of us have a duty to pay some kind of tax, and some have more than one. However, sometimes due to various circumstances, we are aware that we will not be able to fulfill this obligation at the time of its origination. For this reason, the law offers the possibility of deferred payment of tax debt, i.e. payment of tax in installments, subject to the fulfillment of certain legal conditions.

At the mention of the term “reprogram”, many people are illuminated by the rays of the sun. Below are guidelines that will help you get to know more about the possibilities of paying off your tax debt in installments.

WHO HAS THE RIGHT TO DEFERRED PAYMENT OF TAX DEBT

Regardless of whether you are a natural person, legal entity or an entrepreneur, you have the right to pay the tax debt in installments, provided that the payment of the owed tax represents an inappropriately large burden for the taxpayer or causes significant economic damage.

FOR HOW LONG IS PAYMENT IN INSTALLMENTS APPROVED

The tax administration can approve a certain number of installments depending on the amount of the debt, up to 60 months at the longest, with the possibility of using a deferred payment of up to 12 months, or 24 months for legal entities undergoing restructuring.

HOW TO ACHIEVE THIS RIGHT

Postponement of the payment of the owed tax is done by signing an agreement between the Tax Administration and the taxpayer, that is, by making a decision by the Tax Administration.

In order for the taxpayer to be able to exercise the aforementioned right, it is necessary to submit a reasoned request to the competent organizational unit of the Tax Administration, with the request also submitting a means of securing the collection, which cannot be less than the amount of the owed tax whose payment deferment is requested, if it is for the amount debt prescribed mandatory security of debt payment.

WHEN WILL THE TAX ADMINISTRATION APPROVE TAX PAYMENT IN INSTALLMENTS

The Tax Administration may, at the justified request of the taxpayer, postpone the payment of the owed tax in whole or in part, provided that its payment represents an inappropriately large burden for the taxpayer or causes substantial economic damage.

P.S. Tax debts usually drag people into a vicious cycle of wrong and reckless decisions, and it doesn’t have to be that way!

For more information on this or any other legal, tax or business topic, feel free to write to us at [email protected] at any time or call us at phone number +381113281914 every working day from 08:30 to 16:30.