City offering delinquent taxpayers some amnesty

The city will offer residents who owe back income taxes amnesty for six weeks.

The amnesty program will begin June 1. Any returns filed and payment made in full by June 10 will have full abatement of all unpaid penalties and interest, and the taxpayer will not be prosecuted.

"It will be a hard and fast deadline. Once we establish the program, we can not extend the deadlines," Finance Director Jack Johnson said.

Anyone who pays income taxes in full within 30 days will not pay penalties, but will pay 50 percent of the interest. Payment by July 10 will receive amnesty from prosecution and penalties, but will pay normal interest charges.

After July 10, delinquent taxpayers will again be subject to interest, penalties and possible prosecution.

"We have found that a six-week program works the best. Extending to a longer period does not have any benefits for the city," Johnson said.

Those with outstanding accounts will receive a letter from the city about the program. Anyone who is under garnishment or whom the city already has a judgement on will not be eligible for the program, he said.

Details will also be available on the city Web site and on television.

Mayor Bill Cervenik said the budget already includes $50,000 the city expects to bring in from the program, but there could be more. When amnesty was last offered in 1993, the city took in $500,000. At that time, city taxes were collected regionally.

"It's not a windfall, but it works," he said.

The program will not be offered again for about 10 years, he said.

"If you offer it too often, people wait for it," Cervenik said.

Johnson said other cities will be keeping an eye on Euclid's program.

"We will keep strict records, to show how well it works," he said. Contact Ketchum at (216) 986-5861....