The DFA is Arkansas's tax office. Their rules are different from the IRS's. Here's what they can do, how long they have, and what your options may be.
The DFA is the Arkansas Department of Finance and Administration, the state's tax office. They collect state income tax and sales and use tax. They also collect the taxes businesses take out of workers' paychecks. They have their own rules, separate from the IRS.
It's a paper the DFA can file with the circuit clerk in your county. They can file it after your tax bill is final, you've been sent a notice, and the tax is still unpaid. Once it's filed, it has the same force as a court ruling that you owe the money.
Yes. A lien is a legal claim on your property. The certificate becomes a lien on your property in that county. That can make it hard to sell your home or land, or to borrow against it.
It lasts 10 years from the day it's recorded at the courthouse.
The DFA generally has 10 years after the tax is officially charged to start collecting. Once a certificate is filed, that has its own 10-year life.
They can take money from your paycheck or bank account. They can also take property you own. And if you have a business, they can cancel your state tax permits, like your sales tax permit.
Often, yes, but the DFA decides each case one at a time. Interest keeps growing while you pay. The DFA may still file a certificate. And if you miss a payment, they can cancel the plan.
Sometimes, but it's hard to qualify. You have to show that you owe more than everything you own is worth. The tax amount has to be final, and all your returns have to be filed. It's their call, and you can't appeal a "no."
You can ask. The DFA takes requests to waive penalties for reasons like a serious illness, a natural disaster, or other causes. It's their call, so the request needs to be clear and backed up.
Some people can handle a simple balance on their own. But if a certificate has been filed, money is being taken, or your permit is at risk, it helps to have someone in your corner. We'll tell you honestly on a free call. See Arkansas DFA Tax Debt for more.
Lots of people who owe the DFA owe the IRS too. The two have different rules and different deadlines. What works with the IRS may not work with the state.
That’s why we look at both at once. We’re based in Bryant, and we’ve dealt with the DFA for years. We’ll check what the state says you owe, then help you pick the right next step.
Owe the DFA and the IRS? We handle both at the same time.
The IRS calls us, not you. The balance has been fought down to what you actually owe, if anything, and whatever's left has a plan in writing built on your real numbers. And you've stopped carrying this alone. That's what we're working toward, starting with one free conversation.
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