A fantastic experience
Working with Luke at Choice Tax service has been a fantastic experience. His commitment to clear communication is what truly sets him apart. I was always impressed by his responsiveness to my questions.
CarlaState Tax Relief
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What is state tax relief?
State tax relief addresses unpaid tax debt owed to a state taxing authority, such as state income tax, sales tax, or state payroll tax, rather than debt owed to the IRS. Each state has its own collection procedures, resolution programs, and rules, which can differ significantly from federal tax rules and from state to state. State tax agencies can pursue collection actions similar to the IRS, including liens, bank levies, wage garnishment, and license suspensions, and in some states, collection statutes of limitations and penalty structures are notably more aggressive than federal rules.
Choice Tax Relief reviews your state tax situation, communicates with the relevant state taxing authority on your behalf, and pursues an available resolution option, which may include an installment agreement, an offer in compromise or settlement program if the state offers one, or penalty abatement. Where you owe both federal and state tax debt, we coordinate a strategy that addresses both simultaneously, since resolving one without accounting for the other can sometimes create complications with the remaining balance.
Who Needs State Tax Relief?
You likely need state tax relief if:
- You owe back state income tax, sales tax, or state payroll tax that you’re unable to pay in full.
- You’ve received collection notices from a state taxing authority, such as a notice of a state tax lien or levy.
- Your state professional or driver’s license is at risk of suspension due to unpaid tax debt.
- You have unfiled state tax returns in addition to, or instead of, unfiled federal returns.
- You’ve moved between states and have tax obligations or nexus issues in more than one state.
- You’re facing a state bank levy or wage garnishment.
- You owe both federal and state tax debt and need a coordinated resolution strategy.
- You want to explore whether your state offers a settlement or offer-in-compromise-style program.
State tax rules vary considerably, and not every state offers the same resolution options available at the federal level, such as an offer in compromise. Some states also apply more aggressive collection timelines and penalty structures than the IRS. Understanding your specific state's procedures is essential to resolving state tax debt effectively.
How Our Process Works
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Review Your State Tax Situation
We review the notices you've received, your filing history, and your account status with the relevant state taxing authority to understand the full scope of what's owed.
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Contact the State and Coordinate with Any Federal Debt
We communicate directly with the state taxing authority on your behalf and coordinate strategy if you also owe federal tax debt, so one resolution doesn't create complications with the other.
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Negotiate and Finalize Your State Resolution
We negotiate the best available resolution under your state's rules, whether that's an installment agreement, settlement program, or penalty abatement, and finalize it with the state.
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The Best Tax Relief Attorney & CPA In the Business
Logan and Greg lead a team of experienced tax professionals and support staff to achieve the best possible outcomes for Choice Tax Relief's clients.
Our Clients WIN
Not the "money up front" approach
I interacted with 4 other providers before finding Choice Tax Relief. All the others were offering a "let's get your money up front, then see how this all plays out for you" approach.
Robert
Can't say enough good things
I can't say enough good things about Choice Tax Relief! A special thank-you to Nathan and Luke for their help and professionalism throughout the entire process.
Sara
Stellar company and staff
I highly recommend Choice Tax Relief. Tim & Luke were amazing and professional in getting my taxes done and turned in for multiple years. I will be using them for all my tax filings now and in the future. Stellar company and staff!
JackieState Tax Relief FAQ's
No. Each state has its own tax agency, collection procedures, and resolution programs, which can differ significantly from IRS rules and from state to state.
In some states, yes. Certain states can suspend driver's or professional licenses for unresolved state tax debt, which is generally not something the IRS does directly.
No. Some states offer formal settlement or offer-in-compromise-style programs, while others have more limited options, so available resolutions depend on which state you owe.
Yes. State taxing authorities can generally file a state tax lien against your property for unpaid tax debt, similar to a federal tax lien, which can affect your credit and ability to sell property.
Yes. Most states have the authority to garnish wages or levy bank accounts for unpaid state tax debt, often with fewer procedural protections than federal law requires.
We coordinate a strategy that addresses both simultaneously, since resolving your federal debt without considering your state debt (or vice versa) can sometimes create complications.
Many states have their own collection statute of limitations, but the length and rules vary significantly by state, and some are longer or more complex than the federal 10-year period.
You may have tax obligations or "nexus" in more than one state depending on where you lived, worked, or earned income, which can create filing requirements in multiple states.
Being current on state filings isn't always a strict requirement for federal resolutions, but many states require full filing compliance before offering their own resolution programs.
Yes, though the rates, penalty structures, and interest calculations vary by state and can, in some cases, be more aggressive than federal rules.
Most states offer some form of installment agreement for state tax debt, though eligibility requirements and terms vary by state.
Not directly, but coordinating both resolutions together helps ensure that payments toward one debt don't create an inability to pay the other.
It depends on which state you owe, the type of tax involved, and your specific financial situation; a review of your notices and account status is the best starting point.
Other Tax Relief Services
Installment Agreement Negotiation
Need more time to pay? We negotiate an installment agreement with the IRS calculated for an affordable, sustainable monthly payment based on your financial circumstances.
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Currently Not Collectible Status
If paying the IRS would prevent you from meeting necessary living expenses, the IRS may temporarily suspend active collection. We prepare and present the financial case required to demonstrate hardship.
Read more >
IRS Levy Release
A bank levy or wage levy can create an immediate financial crisis. We communicate with the IRS, evaluate available collection alternatives, and work to obtain a levy release when the facts support one.
Read more >
Penalty Abatement
IRS penalties can substantially increase a tax balance. We determine whether you may qualify for relief based on compliance history, reasonable cause, or another applicable IRS procedure.
Read more >Get IRS
Tax Relief
f you need immediate relief from IRS collections, call us today. You’ll get affordable, transparent pricing and a clear plan for the best possible tax debt settlement. Let the most trusted tax relief team lift the weight off your shoulders.