Legal Question in Tax Law in Arkansas

tax execution judgement

I had owned a carpet cleaning business 4 years ago and it was incorporated. Business was not well and I got behind on sales tax. I made payment arrangements with the state but have fallen beind due to loosing my job. I spoke with them and agreed to pay $50.00 per month but have not made a payment every month. I was served today by the sherrifs department with a writ of execution on behalf of the state of arkansas for the balance of $3139.45. Will I be able to make payment arrangements to pay this amount or will it most likely be ask for in full? I did send the state a check for $100.00 yesterday. I do not have the money to pay it in full because I have been out of work. I am scared.I will call the courthouse Monday to ask, but the weekends can be long when you are worried about something like this.


Asked on 1/17/03, 8:25 pm

1 Answer from Attorneys
Burton Haynes Burton J. Haynes, P.C.

Re: tax execution judgement

Neither the IRS nor the State of Arkansas can get blood out of a stone. You can compromise the debt based on inability to pay by submitting the information required by Arkansas Regs. Sec. 006-05-046(C). I tried to post the regs. here for you but they are too long and the host server limits the length of answers. Send me your email address at www.bjhaynes.com and I'll be glad to email the Arkansas regs. back to you. You can then assemble and file an offer in compromise in accordance with the regs. showing that you indeed cannot pay what is owed, and the State should accept a compromise amount based on what you can actually afford. But don't lose any sleep this weekend. We don't have debtors' prisons in this country -- not even in Arkansas. That's part of what we fought that little war with England about back a couple of hundred years ago . . .

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Answered on 1/17/03, 10:18 pm


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