Frequently Asked Questions

Can a taxpayer who has signed a settlement agreement or voluntary disclosure agreement participate in the amnesty program?

No. A taxpayer who has signed such an agreement before the beginning of the amnesty period is ineligible.

What tax types are eligible for the taxpayer amnesty?

All state taxes and fees administered by the Comptroller of Public Accounts are eligible, with the exception of unclaimed property and Public Utility Commission (PUC) gross receipts assessments.

Does the amnesty apply to International Fuel Tax Agreement (IFTA) taxes?

Yes, but it only covers taxes due to Texas, as shown on the IFTA tax report supplement (form #56-102), not taxes due to other states, Mexican states or Canadian provinces.

Who is eligible to participate in the taxpayer amnesty program?

Eligible taxpayers include those who:

• did not file a required return or report;
• misrepresented, understated or omitted any tax liability on a previously filed return; or
• erroneously claimed credits or deductions.

Are payment installment plans available?

No. To be eligible for the amnesty, taxpayers must pay all taxes due, in full, related to the amnesty returns filed.

Is there a limit to the total amount of penalty and interest that can be waived?

No, but penalty and interest will be waived only on the actual tax paid.

What if I fail to take advantage of the taxpayer amnesty?

If you fail to pay the taxes you owe during the amnesty period, you will be responsible for all tax, penalties and interest owed. The penalty is determined based on the following timeline:

1-30 days late	penalty is 5 percent of tax due.
31-60 days late	penalty is 10 percent of tax due.
More than 60 days late*	add applicable interest rate in addition to a 10 percent penalty of tax due.
*An additional 50 percent penalty can be assessed in cases of fraud.

You can calculate interest due via the rate published on our Window on State Government Web site or call the Comptroller toll free at (877) 44RATE4 for the applicable interest rate.

How do I make an amnesty payment?

Payments should be marked "Amnesty" and should include your Texas taxpayer number on the check or money order. If you do not have a permit to collect Texas taxes or do not have an account with us, please write your Federal Employer Identification number or Social Security number on the check or money order instead.

Where should payments be mailed?

Checks and money orders should be made payable to the Comptroller of Public Accounts and mailed to the following address:

Taxpayer Amnesty
Comptroller of Public Accounts
P.O. Box 13232
Austin, Texas 78711-3232

How do I apply for the taxpayer amnesty program?

If submitting a tax application and registering for the first time, write "Amnesty" on the check or money order, as well as the application.

File original tax reports and write "Amnesty" across the top of the return and on the check or money order.

If amending returns, submit the corrected figures and write "Amnesty" across the top of the return and on the check or money order.

You can also visit the nearest Comptroller's field office to make an amnesty payment. Field offices can be located on our Window on State Government Web site.

Are there any business registration requirements that must be fulfilled prior to participating in the amnesty program?

If your business is closed or if the tax you are reporting is for a one-time event, no business registration is required. If you are doing business in Texas, you must complete and submit the applicable tax application or questionnaire. These forms can be found online or at a local field office.

If I underreported on my original return, do I have to file an amended return?

Yes.

Will filing under the amnesty increase my chances of an audit later?

No, but we reserve the right to audit the information you provide.

How do I find out how much I owe?

If you do not know how much tax you owe or if you need help complying with the amnesty rules, call (800) 252-1390 or visit the nearest local field office.

What are the benefits of participating in the taxpayer amnesty?

• Taxpayers participating in the taxpayer amnesty program can "wipe the slate clean" by clearing up unpaid, underreported or overdue taxes without fear of retaliation.
• Taxpayers filing under the taxpayer amnesty program can save money because the program offers a one-time chance to pay without penalty and interest.
• Taxpayers who file under the taxpayer amnesty program will be able to avoid legal action.
• Participating in the taxpayer amnesty program will not increase your chance of being audited in the future.

Are city, county, MTA and other local sales taxes included in the amnesty?

Yes, the taxpayer amnesty program applies to all local-option taxes administered by the Comptroller of Public Accounts.

Is use tax included in the taxpayer amnesty program?

Yes, state and local use taxes due on purchases made by individuals and businesses are included in the taxpayer amnesty program. Examples of transactions subject to use tax include purchases made through mail order or over the Internet and goods picked up at an out-of-state location and brought back to Texas.

What are the eligible tax periods included in the taxpayer amnesty program?

The program applies to all tax periods for which the original tax return was due prior to April 1, 2007.

What happens if I pay with a check that is not honored by the bank due to insufficient funds or for any other reason?

If you pay your tax with a check that the bank does not honor, you risk having the amnesty revoked. You must pay the tax in full as well as any applicable returned check fee during the amnesty period.

If you have additional questions, call (800) 252-1390. Don't delay—the amnesty only lasts until August 15, 2007.