TAX DEBT RELIEF OPTIONS – Ohio Department of TAxation and Attorney General's Office


M&M Financial has been working with Ohio small businesses and individuals since 2006 to fix their back-tax problems.  We deal with the IRS and State, so you do not have to!

Ohio has 3 departments that handle tax matters.
  • Ohio Department of Taxation (DOT) – responsible for administering and enforcing most state government taxes
  • Ohio Attorney General Office (AGO) – collects delinquent taxes for the state.  The AGO also helps collection efforts for- 
    • Bureau of Worker’s Compensation (BWC), and 
    • Department of Job and Family Services (ODJFS)
Below is some information that will help you start resolving your state tax liabilities.  If you have questions and would like to talk to a licensed Tax Resolution Specialist, please do not hesitate to call us at 866-487-5624.


OH-DOT and AGO PAYMENT PLANS TO RESOLVE BACK TAXES


If you accrue a tax liability with the state of Ohio your case will be assigned to the DOT for the first 45 days, before it’s transferred to the AGO.  It’s beneficial to pay off your tax debt within the initial 45 days because you can avoid tax liens and levies.  The DOT cannot set up formal payment plans or other resolutions.

Once your case is transferred to the AGO, a tax lien is usually filed, and the collections process begins.  The AGO will typically allow a 12-month installment agreement to satisfy – 
  • Ohio Sales & Use Tax
  • Withholding Tax
  • Corporate Income Tax
  • Personal Income Tax

REDUCE YOUR OH-DOT TAX DEBTS


Offer in Compromise


Ohio does have an Offer in Compromise program which is handled by the AGO.  Before the AGO will consider an Offer to settle for a lesser amount – 
  • your case will need to be within the AGO’s control for at least a year, 
  • your principal tax balance must be more than $500, and 
  • you must be compliant with your current tax obligations.  
If the AGO accepts your Offer, you will typically be required to pay the accepted amount within 60 days.  

Worker’s Compensation and Department of Jobs and Family Services liabilities may also be included in your Offer in Compromise, but not if the business is still operating.  

Penalty Relief


Ohio may grant penalty abatement, if you can show that the reasons leading to your tax accrual were due to Reasonable Cause and not due to willful neglect.  

TAX RESOLUTION CASE EXAMPLES


The Ohio Department of Taxation and Attorney General’s Office has some flexibility when it comes to back tax liabilities.  Each case varies based on factors such as your compliance history, type of tax owed and total amount past due. Here are some case examples in your state negotiated by M&M.


page last reviewed 01/12/2024

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