FRANKFORT, Ky. (WKYT) - There are only four days left to apply for tax amnesty with the Kentucky Department of Revenue. Officials say if you owe back taxes and you don't pay during this period, you'll be paying a lot more down the road.
"We waive all penalties and fees and only charge half-interest," said Mack Gillim of the Kentucky Department of Revenue.
That means if someone owes $100 in back-taxes, they could pay back just $103 using tax amnesty. After the amnesty period ends on November 30, though, the interest jumps to 8%, the state adds a 25% collection fee and even more penalties could be added on.
"A lot of activity out there. It seems like a lot of taxpayers are wanting to take advantage of this maybe last opportunity to take advantage of amnesty in Kentucky," said Gillim.
In fact, Revenue officials say they've received amnesty applications from every county in Kentucky and every state in the country except Vermont and Montana. They hope to bring in quite a lot of money.
"About $56 million," said Gillim.
That money was accounted for in the state's budget for this fiscal year.
"$56 million will go to pay for a lot of good programs," said Gillim.
If you owe back taxes, you've only got a few more days to take advantage of the program, but if you haven't done it by November 30th, the fees will come back, the interest will go up to 8%, and you might find yourself in trouble with the state.
"You'll see a substantial increase in our compliance activity," said Gillim.
If people who owe back-taxes take advantage of tax amnesty, they need to make sure to pay taxes for the next three years. Otherwise, they'll have to pay all the interest and fees that had been forgiven.