
                         Roanoke Times
                 Copyright (c) 1995, Landmark Communications, Inc.

DATE: THURSDAY, May 10, 1990                   TAG: 9005100100
SECTION: BUSINESS                    PAGE: A11   EDITION: METRO 
SOURCE: Associated Press
DATELINE: RICHMOND                                LENGTH: Short

AMNESTY'S OVER; STATE GETS TOUGH

Since a state tax-amnesty program ended in March, 70 businesses have received notices that their doors will be padlocked unless they pay back taxes, a tax department spokeswoman said Wednesday.

The state Department of Taxation hasn't had to go that far, however. Of the eight cases that have been resolved, one business declared bankruptcy, one went out of business and six negotiated payments, said spokeswoman Alice Wells.

State auditors know of 5,700 businesses that owe a total of more than $13 million in taxes and may be subject to stiffer enforcement laws that took effect April 1, she said.

The amnesty brought Virginia $32.2 million in back taxes and interest from more than 20,000 individuals and businesses. The day after it ended, new laws went into effect allowing the state to close businesses that are chronically late in paying taxes.

Wells said the state plans to hire 30 more auditors as of July 9 and will add another 30 over the next two years to enforce the law. A new Criminal Investigation Unit within the department will focus on catching tax cheats.

by CNB