TAX DEBT RELIEF OPTIONS – Texas Comptroller of Public Accounts

M&M Financial has been helping Texans fix their back-tax problems since 2006.  Whether it’s you or your business that owes the IRS or state, we can help.  We deal with the IRS and State, so you do not have to!

Everything is big in Texas…Including the tax burden for your business!

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.


The state of Texas is not easy to deal with when it comes to business back-tax liabilities.  We recommend acting quickly to resolve your tax debt directly with the Comptroller’s office.  Otherwise, your case can be sent to the Attorney General’s office and you could face Civil Action.  

Setting up a payment plan to satisfy your business sales tax debt with the Texas Comptroller is a good option but not so easy to come by due to the strict guidelines.  To be considered for an installment agreement, you can expect - 
  • to maintain current tax compliance
  • to provide credit references
  • to provide loan denial letters, and
  • to pay a 25% down payment
To make it even more difficult, it is not uncommon for the TX-Comptroller to require a bond and personal guarantee while an installment agreement is being paid.  Once you have satisfied all the stipulations to be eligible, you will have to personally appear in the Comptroller’s office to have your payment plan formally approved.  


Offer in Compromise

The state of Texas does not currently have an Offer in Compromise.  Booooo!

Penalty Relief

You can request the waiver of penalties on your tax debt under very strict conditions.   Here are some key points you need to know about Texas penalty abatement:
  • The Comptroller’s office will not consider releasing any penalties until the tax portion of your debt has been paid in full.  
  • Waiver of penalties must be requested within 4 years of the taxes being due.
  • Your business is not eligible for penalty relief if a penalty waiver has been granted in the past 2 years.
  • Comptroller’s office will require a detailed plan explaining preventative measures taken to ensure future tax compliance. 
  • Request your waiver of penalties within 4 years of the original due date.
In summary, the Texas Comptroller of Public Accounts is not very forgiving, but there are some relief options available if – 
  • you are not a repeat offender, 
  • you have paid the tax, and 
  • you can meet the required stipulations


The Texas Comptroller of Public Accounts 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 01/17/2024

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