Read Answers to Questions: Taxes

Reducing tax debt

May 26, 2017

Dear Consumer Ed:  I worked as an independent contractor the last two years while my wife was unemployed. During that time I did not file my taxes because we needed the money to make ends meet.  Now we owe the IRS and the Georgia Department of Revenue a total of $18,500 for back taxes and penalties.   We have no way to come up with that kind of money.  I have heard ads for tax resolution companies that say they can help reduce your tax debt, but I’m not sure if they are legitimate or not.  Is this something we should pursue? 

As a Tennessee resident, do I have to pay GA sales tax on a car purchased in Georgia?

August 14, 2014

Dear Consumer Ed: I'm looking to buy a used car in Georgia, but I live in Tennessee. What is the law for collecting sales tax? I've been told Georgia dealers won't collect sales tax. I’ve also heard that if I pay cash, they won't collect sales tax, but if I finance it, they will collect my Tennessee tax and mail it to Tennessee. The Georgia Secretary of State said by law the dealer must collect Georgia sales tax and I may also have to pay Tennessee sales tax. Is it up to the dealer?

Disputing Property Taxes

July 1, 2011

Dear Consumer Ed: I received a letter from a private consultant offering to dispute my property taxes with the county. The value of my house has declined significantly in the last year and it is now worth much less than what the property tax bill shows.  Should I accept this offer? How do I know if it's legitimate?