Effects of Act 360 Might Soon be Felt
by February 8, 2010 12:00 am 83 views
Remember Act 360 of 2009?
If your business hasn’t been faithfully forwarding those state taxes withheld from employees’ paychecks, you are about to get a painful reminder.
Act 360 allows the revenuers at the Arkansas Department of Finance & Administration to close any business that fails to remit withholding taxes for any three months during a 24-month period.
The first round of violators – those who have missed three payments since the law took effect July 1 – will be getting closure notices during February, DF&A Deputy Director John Theis tells Whispers.
Ouch. A similar law enacted in 2005 has slashed the number of delinquencies on state sales taxes, Theis said. Nothing motivates like having your business shut down and embarrassing notices pasted on the door.
And perusing the online database of sales tax deadbeats served with closure orders – www.ark.org – always makes interesting reading.