The Delaware Division of Revenue’s 2009 Voluntary Tax Compliance Initiative (VTCI) ends October 30, 2009. If you do not act fast you will miss an opportunity to pay only the base tax to satisfy your delinquent Delaware tax obligations!
VTCI is Delaware’s tax amnesty program for individuals and businesses. For a limited time, those with outstanding tax liabilities administered by the Delaware Division of Revenue are invited to pay their past-due taxes or file past-due tax returns free of penalty, interest, and collection fees, and without fear of litigation. In addition, the Delaware Division of Revenue will release any warrants on taxes that are fully paid.
Individuals or businesses with outstanding balances from tax periods before January 1, 2009, must pay their tax liabilities in full or enter into an agreed upon payment plan in order to take advantage of the VTCI benefits. To enter into a payment plan, a down payment has to be made by October 30, 2009, and an approved payment schedule must be established. Payment plans must be satisfied by June 30, 2010 to receive the benefits of the VTCI. There will be no extensions.
If non-filers and under-reporters come forward voluntarily and file their past-due Delaware returns or amend previously filed Delaware returns, the Delaware Division of Revenue will not assess taxes that are reported in past-due or amended Delaware returns for tax periods before January 1, 2004, in addition to having penalty, interest and collection fees waived for tax periods ending before January 1, 2009. Non-filers and under-reporters must file and pay their outstanding tax liabilities in full or enter into an agreed upon payment plan in order to take advantage of the VTCI benefits. To enter into a payment plan, a down payment has to be made by October 30, 2009, and an approved payment schedule must be established. Payment plans must be satisfied by June 30, 2010 to receive the benefits of the VTCI. There will be no extensions.
If you elect to take advantage of the Delaware VTCI Program, you are required to give up all rights to protest any assessment or claims for refunds or credits on your past-due Delaware taxes. By enrolling in the VTCI Program, you agree to disclose all outstanding tax liabilities, including non-filed and/or under-reported liabilities. Failure to disclose any tax liabilities existing prior to January 1, 2009, will automatically disqualify you from the program when discovered, regardless of the year. Any abated penalties and/or interest will be reapplied. At the conclusion of the VTCI Program any outstanding liabilities, including penalties and interest, will be aggressively pursued by the state.
To see if you qualify go to Delaware’s Tax Amnesty Program home page at:
http://revenue.delaware.gov/amnesty.shtml
To register for the Delaware VTCI Tax Amnesty Program you can call (877) 551-5233 or go to: https://www.generalrevenue.com/delawarevtci/
If you would like to discuss voluntary disclosure with Delaware, please call our offices (215) 665-3960 and ask to speak to one of the Drucker & Scaccetti, P.C. Shareholders or e-mail us at info@taxwarriors.com.