Or how can I AVOID PAYING?
2007-09-03 12:01:09 · 9 answers · asked by cathy h 1 in Business & Finance ➔ Taxes ➔ United States
The tax is owed no matter where you go. I guess you want to know if they can collect? Texas is one of the few "debtor friendly" states. In Texas it is unlikely the other state will attempt to enforce collection. Texas has no state income tax and does not routinely enforce other states tax claims. The other state can still file liens against you and ruin your credit. If you owed enough, they could try and reduce it to a judgment in Texas but that is highly unlikely. They can try and attach banks that do business in their state. If that bank does business in Texas also, they could freeze your funds. They cannot attach your wages in Texas unless the company you work for is based in the state that you owe the back tax too.
One thing though, if you have a Federal Refund, the state you owe the tax to might have an agreement with IRS that could result in your Federal Refund being turned over to the state.
2007-09-03 12:12:43 · answer #1 · answered by exirsman 5 · 1⤊ 0⤋
Cathy, my dear, if you owe the tax you owe the tax and moving does not change this. You may wear the old state down and they'll give up trying to collect it but they will never forget you!
There is a saying in life that has been very helpful to me over the many years that I've walked on this earth. It is "Don't burn the bridges behind you". Perhaps one day you'll be married to a man who decides to run for President of the United States. You are all for it. The opposition does some checking and finds out that you are a tax scoflaw having skipped out on a state tax obligation. Do you think that this might affect his chances?
Do the right thing and pay any tax that you owe.
2007-09-03 12:21:17 · answer #2 · answered by Flyboy 6 · 1⤊ 0⤋
If it is something small, you may be able to get away without paying. Not a good idea though because most people who try to get around paying taxes end up getting burned down the road. Your best bet is to just pony up and pay the taxes that way you don't get into any legal trouble and you also won't incur anymore interest or penalties than you already have.
2007-09-03 12:08:03 · answer #3 · answered by Justin K 2 · 1⤊ 0⤋
You owe tax for the time you lived in the other state.
2007-09-03 12:04:37 · answer #4 · answered by Judy 7 · 1⤊ 0⤋
The states and the IRS act as collection agents for each other. Eventully, your Federal refund will probably get seized to pay the tax bill plus a hefty sum in penalties and interest.
2007-09-03 18:12:16 · answer #5 · answered by Wayne Z 7 · 0⤊ 0⤋
Yes you will have to file a return for both states. Remember when filing if you do this electronically you can only file one state electronicallyl, and you have to mail the other. Always send a copy of the other state with the one you mail in.
2007-09-07 06:24:50 · answer #6 · answered by taxpf 1 · 0⤊ 0⤋
You'll owe tax up until the date you move. However if you have a tax debt, it WILL follow you to TX. You can't avoid paying it.
2007-09-03 15:33:25 · answer #7 · answered by Bostonian In MO 7 · 0⤊ 1⤋
Yes you owe the tax, but if you don't move back to the first state, they can't collect.
2007-09-03 12:09:31 · answer #8 · answered by DIAL 911 5 · 0⤊ 4⤋
If this were possible, don't you think everyome would do it?
2007-09-03 12:05:32 · answer #9 · answered by fcas80 7 · 0⤊ 1⤋