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Tax Amnesty Expected To Net Millions

South Florida Business Journal (http://www.bizjournals.com/southflorida/) [9/10/2003]

The State of Florida’s tax amnesty program, which began on July 1, has brought in expectedly light revenue so far.

“We estimate that we’ve already received between $14 million and $15 million in collections from the tax amnesty program,” said David Bruns, spokesman for the Florida Department of Revenue. “Our forecast through Oct. 31 is for $75.3 million.”

The amnesty is designed for late filers, non-filers and individuals or businesses that never reported a tax liability. Those who voluntarily come forward to pay back taxes while the four-month program is in force get no added penalties and a reduction in interest charges.

All taxes administered by the Florida Department of Revenue are included in the program, except unemployment tax and Miami-Dade County Lake Belt mitigation fees.

The program, created by the Legislature, was formed in part due to help the state overcome its budget deficit.

Raul Serrano Jr., a Hollywood-based CPA who specializes in tax controversy cases, thinks the tax amnesty program is a great idea.

“I had someone in my office three weeks ago who hadn’t filed or paid intangible taxes for the last six years,” he said. “It’s a perfect opportunity for that individual to file and pay the taxes without penalty and at a cut rate of interest.”

Based on the Florida tax amnesty program of 1992, as well as other states’ experience, there is an initial rush when a program starts — and a massive rush near the end.

That massive rush near the end worries Bruns.

“There is not a great deal of time left,” he said. “Many wait until the last minute and then have trouble reaching us. In order to qualify for the amnesty, we have to have the paperwork and payment in hand — not just postmarked — by Oct. 31.”




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