Owe State Taxes

State Tax Liability Assistance

Owing state taxes can be just as stressful as owing the IRS. State taxing authorities can garnish your wages, levy your bank accounts, place liens on your property, and even suspend your professional licenses. In many cases, state tax agencies are even more aggressive than the IRS in their collection efforts.

Colonial Tax Consultants is one of a very select group of firms in the entire country that is authorized to represent before the IRS and ALL State Taxing Authorities. This means we can handle your federal and state tax issues together, ensuring a comprehensive resolution strategy.

What Can a State Taxing Authority Do?

• Wage Garnishment — States can garnish a larger percentage of your wages than the IRS in many cases
• Bank Levies — State agencies can freeze and seize funds from your bank accounts
• State Tax Liens — Liens filed against your property that damage credit and restrict your ability to sell or refinance
• License Suspension — Some states can suspend your driver's license or professional licenses for unpaid taxes
• Offset of Federal Refund — States can intercept your federal tax refund to apply toward unpaid state taxes

How We Can Help

Our team of IRS-Licensed Attorneys and Enrolled Agents will:

1. Review Your State Tax Account — We conduct a thorough review of your state tax account to understand the full scope of the liability, including penalties and interest.
2. Stop Aggressive Collection — If the state is garnishing your wages or levying your accounts, we work to stop collection activity while we negotiate on your behalf.
3. Negotiate a Resolution — Depending on your situation, we may be able to negotiate a payment plan, settlement (Offer in Compromise equivalent), penalty abatement, or currently non-collectible status with the state.
4. Coordinate Federal and State — If you owe both the IRS and a state taxing authority, we coordinate both resolutions to ensure the best possible outcome across the board.

State Tax Resolution Options

• State Payment Plans — Negotiate manageable monthly payments with the state taxing authority
• State Offer in Compromise — Many states offer settlement programs similar to the IRS OIC program
• Penalty Abatement — Request removal of state penalties based on reasonable cause
• Statute of Limitations Review — Evaluate whether the collection statute has expired on older state tax debts
• Innocent Spouse Relief — Available in many states for qualifying individuals

Why Choose Colonial Tax Consultants?

Most tax resolution firms can only represent you before the IRS. We hold Power of Attorney in all 50 states, which means we can represent you before any state taxing authority in the country — all from our home office in Denver, CO.

Whether you owe Colorado state taxes, California FTB, New York DTF, or any other state agency, we have the experience and authorization to resolve your state tax problems.

Call us at (866) 573-3755 for a free consultation to discuss your state tax situation. All consultations are 100% confidential with no obligation.