Sometimes the taxes owed are in dispute. Ed Faulkner Jr. of Faulkner Mortuary, which is included on the list, says he's "been battling with the state for the last 20 years to get our sales tax issues resolved." Faulkner said the amount he owes is less than $10,000 compared to a one-time bill of $160,000.
McFarland noted that some might assume the businesses owing back taxes are all small, "mom and pop" operations, but that isn't the case.
Tough Times has this in its post:
So, my suggestion simply is to add this topic to your workout check list, and include the following as tasks directed at this ticking sound:
* What taxes or assessments cover or encumber the collaterals? Governmental (per a current search of applicable governmental taxing offices)? Private (per a current title report)? * What valuation has been given to the collateral? (Is it high?) * How is valuation determined? * What are the key dates (Due dates? Appeal dates? Etc.) * Has the owner\borrower contested the valuation? Are written agreements covering valuation in place? * Is it possible to file a ?late? appeal? Are there special conditions for filing a late appeal? * What input or role does the lender\servicer have in the valuation determination or appeal process? (Under applicable law or regulations? Under the loan documents?)
Todd Franks (with The Cantrell Company) tells me that they have recovered over $100,000 in overpaid property taxes for one loan servicer, after a borrower failed to timely protest their 2008 property tax valuation (in a situation involving Texas real property collateral). His experience is that if the current owner is unsophisticated and\or unfamiliar with the property valuation process, then when the owner is struggling to keep the property and to avoid a loan default or a foreclosure, many owners simply give up on contesting property valuations handed out by taxing authorities. (The result: it is a problem discovered by you AFTER you take title.)
Business Taxes In China. Feels Just Like Home. Ernst & Young is out with a very informative online publication on indirect taxes in China (h/t All Roads). The publication is entitled, "Navigating Chinese Indirect Taxes," and it provides a great overview of these taxes and how they can, and almost certainly will, impact your China business...
Why Starting Your Own Business Can Save You Taxes People start their own business to make money and have the freedom to be their own boss. But there is another spin-off in starting your own business, which is saving on your taxes. Many do not realize that when you work as a wage earner in a 9 to 5 job, you are taxed up to 35% on your gross earnings less the standard deductions...
Sink Sees the Red Ink If a hurricane did $28 billion in damage to Florida, the state might have to issue $20 billion in bonds. That would mean putting a special assessment on homeowners and business to the tune of $1...
Michigan Taxation Lynn A. Gandhi (Honigman, Miller, Schwartz Cohn, Detroit) has published Taxation, 55 Wayne L. Rev. 601 (2009). Here is the Table of Contents: Single Business Taxes Sales, Use, Excise and Withholding Taxes Ad Valorem Taxes
Search Blog Directory:
Lawsuits and Settlements
Tax Discrepancies Northwest Airlines pays IRS $12.6 million settlement for taxes and interest.
DLP Ohio State to Receive $42 Million in Corporate Taxes Settlement