Administrative Procedure  AP 610: Bills and Demands for Payment

Date:	01/24/2024
Organization:	Massachusetts Department of Revenue
Referenced Sources:	Massachusetts General Laws

610.1. Notices of Assessment

When the Department of Revenue determines that a taxpayer has a tax liability, it will usually issue a Notice of Assessment (NOA).  (See AP 611 for instances in which DOR will send a Notice of Intent to Assess (NIA) before sending a Notice of Assessment.)  The amount shown on the NOA should be paid within 30 days to avoid additional interest charges and, where applicable, penalties, as described in AP 612.  See, also, 830 CMR 62C.26.1.

An NOA sent to a taxpayer will usually include the following information: the date of assessment, the tax type involved, the particular period(s) and whether penalties and interest charges are included.

610.2. Demands for Payment

If all or part of the balance due on the NOA remains unpaid after the due date, DOR is authorized to issue a demand for payment.  If any amount remains unpaid 10 days after the demand is made, and the taxpayer has not disputed the assessment (or any portion thereof), DOR may begin to use enforcement remedies to collect the tax.  See, also, AP 631:  The Collection Process.

A taxpayer should always respond or take some action upon the receipt of an NOA or demand for payment from DOR.  See G.L. c. 62C, § 32(e) and TIR 99-18.

610.3. Statements of Account

If all or part of a liability is not paid after notice and demand, DOR will periodically send updated bills in addition to taking any other collection action that may be appropriate.  A payment stub is included to ensure quick and accurate processing of payments.  The following information may also appear on the statement of account:

Statement of Account.  At this stage DOR will often combine all of a taxpayer’s past due liabilities and issue a single bill for the full amount owed.  The statement of account reflects all unpaid liabilities not in dispute for the tax types shown for which DOR has already sent a Notice of Assessment and a Demand for Payment.  It does not reflect any amounts first billed in the past three months.

Interest and penalties.  Interest is charged on any tax not paid when due.  In addition, penalties and charges may be added for a variety of reasons; i.e., late payment, late filing, and demand charges.

Additional information.  Other valuable information is contained on the bills and notices, i.e., how and where to dispute the bill or to obtain help and what collection actions DOR can take if the bill is not paid.  See, also, TIR 99-18 regarding waiver of G.L. c. 62C, § 33(c) late‑pay penalties and suspension of involuntary collection activities under G.L. c. 62C, § 32(e) when the taxpayer disputes the assessment (or any portion thereof) administratively within DOR or with the Appellate Tax Board or Probate Court.

For more information on bills, send DOR an e-message by logging into MasstaxConnect, 24 hours a day, 7 days a week or you can call the Contact Center at 617-887-6367 during normal business hours.

 

REFERENCES:
G.L. c. 62C, §§ 26, 31, 32(e), 33(c), (f)
830 CMR 62C.26.1
TIR 99-18
AP 611, Assessments
AP 612, Interest and Penalties
AP 631, The Collection Process