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Robin D.
Robin D., Senior Tax Advisor 4
Category: Tax
Satisfied Customers: 14458
Experience:  15years with H & R Block. Divisional leader, Instructor
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I received a notice of proposed income tax adjustment

Customer Question

i received a notice of proposed income tax adjustment letter, stating that i owe Michigan state tax of 2,280.00 with a interest penalty of 314.00.
This is from a 2012 tax year.
i received a form late after i paid the original tax of that year. I did pay the irs but now that say i owe state tax. of the amount stated above, just wondering if there is anything i could do to avoid the interest penalty. I did'nt know anything about the state tax owed.
Submitted: 8 months ago.
Category: Tax
Expert:  Robin D. replied 8 months ago.

Hello

You can request they abate the penalty but by law the state cannot lower the interest. Interest must be paid on additional tax owed or tax paid late. Interest is computed from the due date of the return through the date of payment.

A taxpayer requesting a waiver of penalty on a BILL FOR TAXES DUE (FINAL ASSESSMENT) must do so in writing to:

Michigan Department of Treasury

Office of Collections

P.O. Box 30168 Lansing, MI 48909

A taxpayer must explain the reason(s) for late payment of tax. If the taxpayer establishes reasonable cause, Treasury will waive the penalty charge.

Please let me know if you need clarification. If you do not then a positive rating is appreciated so I get credit for the response. (look for the STARS or SMILEY FACES)

Customer: replied 8 months ago.
Are there any forms needed for this issue not the penalty
Customer: replied 8 months ago.
Posted by JustAnswer at customer's request) Hello. I would like to request the following Expert Service(s) from you: Live Phone Call. Let me know if you need more information, or send me the service offer(s) so we can proceed.
Expert:  Robin D. replied 8 months ago.

The penalty waiver request is made in writing (no form). If you want to ask for a lower interest they will not do that.

Customer: replied 8 months ago.
What form should I use for the payment
Expert:  Robin D. replied 8 months ago.

You can submit any late or partial payments by check or money order to

Michigan Department of Treasury,

P.O. Box 30727,

Lansing, MI 48929.

The check or money order should be made payable to ‘State of Michigan’. Be sure to print the last four digits of your Social Security number and the tax year on the front of the check or money order.

Since you have received a Notice of Intent to Assess and/or Final Bill for Taxes Due you may be eligible for an installment agreement/payment plan (form 990) with the Office of Collections.

Please do not forget to give me a positive rating. It adds nothing to your costs but it assists me.

Expert:  Robin D. replied 8 months ago.

Checking to see if you responded again after you read