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This is what happens if you don’t pay your debts to the tax authorities

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sand there are debts that you should not (even) stop paying, these are those relating to taxes. DECO PROteste recommends that, if possible, pay immediately or negotiate installments. If you don’t, it could happen seizures and the end of tax benefits.

“The economic crisis has set in over the last few years, worsening with fluctuations in interest rates and the crisis in the housing sector. Money is not enough for everything, and being in debt is an increasingly common reality. However , it is important to know which debts have priority to be settled. When it comes to tax commitments, the rule is: if you can, always pay. The tax authorities can become that enemy that you don’t want to have, that charges the failure until seizure“, explains the consumer protection organization.

What happens if I don’t pay?

By not paying debts through any of the available options, the tax enforcement process advances.

“O The taxpayer receives, by letter, an alert about seizure of assets (bank accounts, properties, cars or jewelry, for example). It is, therefore, recommended that the tax domicile is always up to date“, explains DECO PROteste.

And then? !With or without warning, the assets are seized and later sold by the tax authorities. Owned and permanent homes can also be seized, although the Tax Authorities cannot sell them”.

Now, “if the taxpayer does not have seizable assets, the process is suspended after three months, but the debt is not forgiven, it just waits for the tax authorities to detect new assets“.

“In addition to the attachment, taxpayers also no longer enjoy possible tax benefits (retirement savings plan or expenses with VAT benefits, for example)”, he adds.

What to do?

“If there is any illegality in the charge, consider the filing a graceful complaint – it’s free and simple. Even so, it only has a suspensive effect if a guarantee is provided or if it is waived. As a last resort, go to arbitration or court“, recommends the organization.

Read Also: Are you entitled to automatic IRS? Take note of this advice from the Tax Authorities

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Eighth consecutive year Consumer Choice for Online Press and elected product of the year 2024.
* Study by e Netsonda, Nov. and ten. 2023 product of the year – pt.com


The article is in Portuguese

Tags: dont pay debts tax authorities

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