If you run a business in the state of Maryland you'll want to make sure that you pay your taxes. The state has the power to impose certain penalties if you have an unpaid tax liability. The penalties can include fines and interest on the unpaid tax bill. However, the state can also take punitive actions that target your business directly. These actions are designed to encourage you to take immediate steps to pay any back taxes. This means that your business's liquor license could be in jeopardy.
Maryland Liquor License Hold
The Comptroller's Office works closely with many government agencies and regulatory boards across the state. This includes Liquor Boards in several jurisdictions, including Baltimore City and the City of Annapolis. The state sends information about non-compliant taxpayers to these Liquor Boards. The Liquor Board reviews these lists to determine if any of those taxpayers currently hold a liquor license. If your name is on the noncompliant list, you can be prevented from renewing your license. In fact, the Liquor Board won't agree to renew your license until you've settled your tax dispute with the state.
Consequences of a Liquor License Hold
In order to get a liquor license for your business, you must apply with your local Liquor Board and comply with certain guidelines. In order to maintain your license, you must renew it every year. Your business can suffer some harsh consequences if you are prevented from renewing it. Without your liquor license, you will not be able to sell any alcoholic beverages. This can cut into your sales and profit, drive customers away, and hurt your business's reputation. This won't only affect you, but also your business partners, employees, and family.
How to Get Your Liquor License Back
The Liquor Board won't agree to renew your license until you've resolved your tax issue with the state. There are three ways to resolve your state tax issue: pay, negotiate, or dispute.
Pay: If you agree with the state's assessment and can afford it, the best course of action is simply paying any taxes (including penalties and interest) you owe. Satisfying your tax debt will lift the hold on your liquor license.
Negotiate: Sometimes you'll owe more in taxes than you're able to pay. Our Maryland tax attorneys can help you negotiate a payment plan or settlement agreement with the state. The Liquor Board can remove the hold from your liquor license as long as you're enrolled in a valid repayment plan.
Dispute: Do you disagree with the state and don't think that you have unpaid taxes? You have the right to formally dispute the state's assessment. You will need the help of a qualified Maryland tax attorney to win your case.
Call our Maryland Tax Attorneys For Help
Your business will suffer if you aren't permitted to renew your liquor license. At Gabaie & Associates, LLC, our Maryland tax attorneys can help you resolve your dispute and get back to business as usual. Call us today to schedule a free consultation. We will review the details of your case and determine the best strategy to get your liquor license back.