State tax debt in Arkansas is collected by Arkansas Department of Finance and Administration, not the IRS. Set up a plan in ATAP or call 501-682-5000. A plan is not automatic. Interest keeps adding up.
Key facts for Arkansas
- State income tax
- Top rate cut from 4.4% to 3.9%. Source
- Payment plan
- Set up a plan in ATAP or call 501-682-5000. A plan is not automatic. Interest keeps adding up. Source
- Offer program
- Yes, under Rule 2000-4. Being short on money alone is not enough. There is no formal appeal if it is turned down. Source
- Liens
- On a payment plan, the state files a Certificate of Indebtedness, which is a lien. Source
Two debts, two sets of rules
- The IRS collects federal taxes, with its own letters and plans.
- Arkansas Department of Finance and Administration collects Arkansas taxes, with its own rules.
- A plan with the IRS does not stop the state from collecting, and the other way around.
Common questions in Arkansas
Who collects state taxes in Arkansas?
The Arkansas Department of Finance and Administration. It is separate from the IRS. A plan with one does not stop the other from collecting.
Can I get a payment plan for Arkansas taxes?
Set up a plan in ATAP or call 501-682-5000. A plan is not automatic. Interest keeps adding up.
Does Arkansas take offers in compromise?
Yes, under Rule 2000-4. Being short on money alone is not enough. There is no formal appeal if it is turned down.
Can TaxTruce help with Arkansas tax debt?
Yes. TaxTruce is a free service that connects you with tax resolution firms that work in Arkansas. Answer a few questions, confirm your phone with a text code, and a firm reviews your situation and calls you back. We are not the IRS or a state agency.
Results depend on your situation. Not every case qualifies.
Sources
- Arkansas Department of Finance and Administration
- Arkansas Department of Finance and Administration: income tax rates
- Arkansas Department of Finance and Administration: payment plans
- Census QuickFacts Arkansas (ACS 2020-2024)
- Census Reporter: Arkansas profile (ACS 2024 1 year)
- Census population estimates, July 1, 2024 (share 65 and over)
Facts on this page come from Arkansas Department of Finance and Administration and are linked. Rules change. Check with Arkansas Department of Finance and Administration or a licensed tax pro before you act. We are not affiliated with Arkansas Department of Finance and Administration.