A tax amnesty program that encouraged individuals and businesses with overdue taxes to pay down their debts brought in more than $103 million, New Hampshire’s Department of Revenue Administration said Monday.
The program, which ran from Dec. 1 through Feb. 15, offered reduced fees and penalties for entities with outstanding tax liabilities to the state. The total collected far exceeded expectations.
“This effort not only helped taxpayers eliminate debt but also generated meaningful revenue for the state,” said Commissioner Lindsey Stepp.
The money couldn’t have arrived at a better time. Through the first eight months of the new budget cycle, New Hampshire’s economy fell short of expectations. Business tax collections were $39 million below revenue forecasts through the end of February, while other expected tax revenue was another $8 million behind schedule. The money raised will go into the state’s general fund.
The vast majority of the collections — $96.7 million — came from businesses with overdue tax bills. People also paid down $4.4 million in unpaid interest and dividends taxes, and another $1 million came from hotels and restaurants with overdue meals and rental tax balances.
Ten years ago, the state operated a similar amnesty program, netting about $19 million in revenue.
