If you have received a District of Columbia Collections Tax Notice, often the balance due can be reduced by a DC Tax Attorney. The Notice of Assessment will include an amount for Taxes, Interest, Penalties and Collection Fees. The District has been aggressively auditing taxpayers with an Information Request for taxpayers who filed a federal tax return with a DC Address and no corresponding D40 Resident Tax Return. These audits have been know to go back for 10 years or more.
Taxes are owed to the District based on residency and not work location. So for Residents who live in DC and work in VA or MD, make sure you adjust your withholding, particularly if you have moved. Refunds can be claimed going back only for 3 years for incorrect withholding, but what is a taxpayer to do for older years? Contact a DC Tax Attorney to discuss.