IMPORTANT MESSAGE:
Do you owe old state taxes?
Did you know
that Social Security and pensions are also protected from collection by states
for old state tax debt? If you didn’t, you are in the vast majority. Nearly
half of all seniors are classified as economically vulnerable. Many owe old
state tax debt. State tax collectors generally don’t bother to tell seniors and
disabled persons that their money is safe and protected under federal law- it
can’t be garnished by the state. Instead they harass them to pay no matter how
little their income. Many thousands go without basics like food and medicine to
pay old state tax debt from protected social security and pensions. The IRS has
a system in place to recognize this - its called uncollectable status - while states
generally don’t. HELPS can assist its clients to get on a non
collectable status with the IRS and also stop state collections. However State
tax collectors continue to harass and intimidate other seniors, who don’t know
their rights. They even garnish bank accounts with income protected under
federal law.
HELPS has recently been working with
the state of Oregon to introduce state laws that will require the State
Department of Revenue to advise these seniors and others that their income is
protected. This legislation would provide a means so that seniors may be put in
an uncollectable status. It would stop harassment by state revenue agents. It
would protect seniors with limited income to have that income for basic needs.
This proposed legislation is in the beginning stages in Oregon. It is called LC
1830 and will come before the legislature this spring. It will be sponsored by
representatives Cliff Barnhart, Democrat from Eugene and John Davis, Republican
from Portland and others. HELPS believes this is truly bipartisan
legislation. We are asking The AARP and others to join in this effort. Below is
a copy of the draft legislation (LC1830 DRAFT 2015 Regular Session).
If there are
any HELPS clients that have been intimidated by the Oregon Department of
Revenue or other state collectors either in writing or by phone, we would like
to hear from you. Please contact HELPS by email (info@helpsishere.org) or give us a call at 1-855-435-7787 (toll
free). We need more persons willing to share their story and perhaps testify
before the legislature.
This
legislation is badly needed everywhere, not just in Oregon. Low income seniors
have never had a voice to speak for them in this regard. This is your chance to
make a real difference in the future lives of thousands of seniors. We hope to
have one state set the example and expand from there.