An Act To Institute a State Tax Amnesty Program To Increase General Revenue Collections
Maine Legislature, Session 130, LD 1067
Committee: Taxation
Sponsors: BALDACCI, CURRY, JACKSON, COLLINGS, SACHS

Legislative Document
No. 1067
S.P. 335
In Senate, March 11, 2021
An Act To Institute a State Tax Amnesty Program To Increase 
General Revenue Collections
Reference to the Committee on Taxation suggested and ordered printed.
DAREK M. GRANT
Secretary of the Senate
Presented by Senator BALDACCI of Penobscot.
Cosponsored by Senators: CURRY of Waldo, President JACKSON of Aroostook, 
Representatives: COLLINGS of Portland, SACHS of Freeport.
Be it enacted by the People of the State of Maine as follows:
Sec. 1.  36 MRSA c. 914-E is enacted to read:
CHAPTER 914-E
2021 TAX AMNESTY PROGRAM
§6621.  2021 Maine Tax Amnesty Program established
There is established the 2021 Maine Tax Amnesty Program, referred to in this chapter 
as "the tax amnesty program."  The tax amnesty program is intended to encourage 
delinquent taxpayers to comply with the State's tax law and to enable the assessor to 
identify and collect previously unreported taxes and to accelerate collection of certain 
delinquent tax liabilities.  The long-term goal of the tax amnesty program is to improve 
taxpayer compliance with the State's tax law.
§6622.  Administration
The assessor shall administer the 2021 Maine Tax Amnesty Program.  The tax amnesty 
program applies to tax liabilities delinquent as of September 30, 2021, including tax due 
for which a return has not been filed.  A taxpayer may participate in the tax amnesty 
program whether or not the taxpayer is under audit and without regard to whether the 
amount due is subject to a pending administrative or judicial proceeding, except that this 
does not include pending criminal action or debts for which the State has secured a warrant 
or civil judgment in its favor in Superior Court.  A taxpayer may participate in the tax 
amnesty program to the extent of the uncontested portion of an assessed liability.  
Participation in the program is conditioned upon the taxpayer's agreement to forgo the right 
to protest or pursue an administrative or judicial proceeding with regard to returns filed 
under the tax amnesty program or to claim any refund of money paid under the tax amnesty 
program.  A taxpayer with a tax liability within the limitations of this chapter is absolved 
from criminal or civil prosecution or civil penalties plus 1/2 of the interest associated with 
any such liability except as otherwise provided in this chapter if the taxpayer:
1.  Return filed.  Properly completes and files a 2021 amnesty tax return as described 
in section 6625 and as required by the assessor;
2.  Tax and interest paid.  Pays all tax and interest as determined on the 2021 amnesty 
tax return, described in section 6625, before the end of the amnesty period;
3.  No criminal action pending.  Is not currently charged with, and has not been 
accepted by the Attorney General for criminal prosecution arising from, a violation of the 
state tax law as provided in this Title or Title 17-A, or is not applying for relief on a debt 
that is the result of a criminal conviction; and
4.  No collection by warrant or civil action.  Is not applying for relief with respect to 
a tax liability for which the State has secured a warrant or civil judgment in its favor in 
Superior Court.
§6623.  Undisclosed liabilities
Nothing in this chapter may be construed to prohibit the assessor from instituting civil 
or criminal proceedings against any taxpayer with respect to any amount of tax that is not 
disclosed either on the 2021 amnesty tax return, described in section 6625, or on any other 
return filed with the assessor.
§6624.  Amnesty period
The time period during which a 2021 amnesty tax return, described in section 6625, 
may be filed is October 1, 2021 to December 31, 2021.
§6625.  Amnesty tax return
The assessor shall prepare and make available the 2021 amnesty tax return, referred to 
in this chapter as "the amnesty tax return."  The return and associated guidelines prepared 
by the assessor that govern participation in the 2021 Maine Tax Amnesty Program are 
exempt from the Maine Administrative Procedure Act.  The application requires the 
approval of the assessor.  The assessor may deny any application not consistent with the 
tax amnesty program.
§6626.  Preamnesty settlements
Notwithstanding any provision of this chapter to the contrary, the assessor shall, during 
the period beginning on the effective date of this chapter to October 1, 2021, make a 
settlement offer that requires full payment of tax and 1/2 of the accrued interest to any 
taxpayer that has a recorded and recognized delinquent state tax liability as of the effective 
date of this chapter.  The settlement offer authorized under this section does not apply to a 
taxpayer whose liability is the result of a criminal conviction or is currently charged with a 
criminal offense arising from a violation of the state tax law as provided in this Title or 
Title 17-A or has been referred to the Attorney General for criminal prosecution.
Sec. 2.  Preamnesty collections; legislative intent.  The Legislature finds that it 
is in the best interest of the State and public welfare of the people of Maine to ensure that 
there is no delay in the payment of delinquent state tax liabilities as a result of the 2021 
Maine Tax Amnesty Program established in the Maine Revised Statutes, Title 36, chapter 
914-E.  The Legislature further finds that many taxpayers are likely to defer payment of 
delinquent tax liabilities in order to take advantage of lower interest and penalty amounts 
available under the 2021 Maine Tax Amnesty Program.  Therefore, to ensure the timely 
collection of state tax revenue prior to the effective date of the 2021 Maine Tax Amnesty 
Program, the Legislature encourages the State Tax Assessor to use the full extent of the 
State Tax Assessor's authority under Title 36, including the abatement of interest and 
penalty consistent with the provisions of the 2021 Maine Tax Amnesty Program.
SUMMARY
This bill, for the purposes of encouraging delinquent taxpayers to comply with the law, 
collecting unreported taxes and accelerating the collection of certain delinquent state tax 
liabilities, enacts the 2021 Maine Tax Amnesty Program.  Under the program, a person 
with a tax delinquency as of September 30, 2021 may pay the taxes owed, plus half the 
accrued interest, without incurring any other criminal or civil liability.  The period during 
which a delinquency may be paid under the 2021 Maine Tax Amnesty Program is from 
October 1, 2021 to December 31, 2021.  The program is not available for debts for which 
the State has secured a warrant or civil judgment in the State's favor.
From the effective date of this legislation until September 30, 2021, the State Tax 
Assessor is required to offer a delinquent taxpayer the same benefits of the 2021 Maine 
Tax Amnesty Program in order to avoid having a taxpayer wait until October 1, 2021 or 
later to pay the delinquent taxes.