Tax Rate Lowered to 5.15% – New Tax Tables Available
The final threshold required to lower the income tax rate from 5.20% to 5.15% was recently met and the new rate will be effective as of January 1, 2015. All necessary changes have been made to the upcoming Tax Tables to reflect the decrease. As you may remember, there was a similar decrease in January, 2012 and January, 2014 when the thresholds were also met.
Dispute Resolution Option – Expedited Settlement
For those who qualify, an expedited settlement is a new dispute resolution option for taxpayers. A taxpayer may request a tax and/or penalty settlement, based on hazards of litigation, on an expedited basis. Often, a settlement can be reached in a conference between the taxpayer (or representative) and Appeals Officers. To qualify, taxpayers must complete the Form DR-1 to request a settlement and provide any additional paperwork and supporting materials that would document their claim. To date, DOR has completed over 70 cases with 18 cases closed with less than $1,000 in dispute and seven cases closed with more than $1 million in dispute. These settlements have comprised a broad range of issues. For more information visit the Office of Appeals Settlements FAQ’s page.