29 August 2018

Alabama taxpayers to be penalized for failure to pay electronically

The Alabama Department of Revenue announced that effective July 1, 2018, taxpayers that fail to pay state taxes electronically if required to do so will be penalized.

Under Alabama state tax law (Section 41-1-20(b)(2) — 41-1-21), single tax payments totaling $750 or more must be paid electronically, rather than by mailing paper checks to the Department.

According to the Department's withholding tax guide, employers submitting a single withholding tax payment of $750 or more must not only pay the tax amount electronically; but must also file their withholding tax return electronically.

For more information on filing and paying electronically, see the My Alabama Taxes electronic filing website.

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Contact Information
For additional information concerning this Alert, please contact:
 
Workforce Advisory Services - Employment Tax Advisory Services
   • Kenneth Hausser (kenneth.hausser@ey.com)
   • Debera Salam (debera.salam@ey.com)
   • Debbie Spyker (deborah.spyker@ey.com)

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ATTACHMENT

EY Payroll News Flash

Document ID: 2018-1715