New Orleans is giving businesses a chance to pay overdue sales taxes by waiving penalties and reducing interest through a limited-time amnesty program.
New Orleans leaders said the program waives 100% of penalties and 50% of interest owed on delinquent sales tax balances.
The amnesty applies to outstanding sales and use taxes, hotel/motel, parking, alcoholic beverage gallon amount, occupational license taxes, and various permits.
Property taxes are not included in the program.
City leaders also said that recovering unpaid taxes helps balance the city’s general fund, providing some relief before homeowners face higher property tax bills in the new year due to the city’s debt crisis.
“We are giving businesses a limited-time opportunity to resolve outstanding tax obligations while reducing the financial burden of penalties and interest,” said Mayor Helena Moreno. “These revenues are critical to providing the services and investments New Orleanians rely on every day.”
The program is available to taxpayers with qualifying delinquent obligations, including those who:
- Failed to file a tax return and pay the tax due
- Failed to register and/or file sales or any other type of tax, license, or permit
- Currently under an installment agreement or have defaulted on agreement
- Underpaid tax or have any outstanding sales tax balance
- Have failed to pay for or renew an Occupational License permit
- Under audit or in litigation for sales tax matters
- Misrepresented or omitted tax due
- Have sales tax liens on personal or business property
- Claimed incorrect credits or deductions on tax returns
After the program ends, the Bureau of Revenue will resume enhanced efforts to identify non-filers and collect delinquent taxes.
Applications for the program must be submitted before the program ends on Dec. 31.
READ MORE:New Orleans offers tax amnesty program for businesses
