Statute of Limitations on Auto Excise back taxes?

I just received a letter from the City of Providence stating that they placed my past due auto excise tax account with the law firm of Edwards Angell Palmer & Dodge. The letter goes on to state that this is an attempt to collect a debt from 1995 and 1996. Interesting point is that I was not living in the State of Rhode Island at that time. I was living in Massachusetts.
I decided to post to this forum based on these lines in the letter.

"Legal suits are expensive and inconvenient to everyone involved. To avoid legal action, please send your payment immediately."

Quick history

I returned that plates to a local RMV when I left the state of RI. In approx 1996 I received a letter from a collection agency similar to the one from EAP&D, called the company and stated that I did not live in the state during that period. They said that I would have to deal with the City of Providence and it was not their problem. I called the city of Providence and even filled out what I remember to be tax abatement form. Never thought about it until about now.

Question 1: what legal action can EAP&D take?
Question 2: Isn't there some statute of limitation on collecting back taxes?

thanks

We also received a similar letter with a similar history like yours. There are a couple of weird things about the letter. One, the check is supposed to be sent to a PO Box - which is strange if the law firm is prominent enough to have several offices throughout the United States. Second, the letter does not appear to have been printed on the law firm letterhead. There is also no signature signed by an attorney on the letter.

We also have a similar history to you. We moved out of Rhode Island in 2000 and turned in license plates then. We received a cancellation of registration then. After not hearing from them for 6 years, we received a bill from a collection agency stating that we owed money for 2000 and 2001 car excise taxes. We sent them records indicating that we made payments in 1999 and 2000. Long story short, after a few letters, they never got back to us. This was two years ago. Now we received this letter allegedly from this law firm. We probably will at least call this law firm and find out if they actually sent this letter to us.

I had a similar letter

from Rossi collection firm which we looked up and found legitimate. The problem was that we were dunned by Providence for a car excise tax payment that we never received a bill for and didn't even know we owed.

Later Providence bills (which we paid!!) clearly say that "the receipt of a bill from us is not required" to owe tax. This is tantamount to a scam as far as I'm concerned. They had our current address the entire time!!! Rather than send us a letter and an overdue bill notice- they sent it straight to collections!!!

We have (had?) stellar credit and we were treated like deadbeats. This STINKS! Hello Rhode Island Attorney General - you should investigate the state's unjust and unfair tax collection policies.

Excise Tax Demand from City of Providence

I received the same letter for the years 1999-2002 with a demand that I pay $6,010.08. I did not live in Providence during that time period.

I think we should get a group together to hire an attorney to fight this city's illegal tax collection practices. Any advise is appreciated.

What about SOL?

I have had an almost identical experience: moved out of RI (South Kingstown) in 1997, but 10 years later (earlier this year) got an excise tax bill for 1998 from Rossi. Now I've had to track down documentation from a decade ago, and the Town/Collection agent are still trying to squeeze money out of me -- including pressuring me just to pay now and close it out.

My question is: what is the Statute of Limitations on excise tax in RI? Anyone know?

RI excise tax

Samething happened to me- any response from previous comments?

Same here: +$1000 for taxes from Prov from 2001!

SAME HERE...

I moved from Prov., RI in 2002/2003, it's been 7 years and in Sept. I received a letter also from the law offices of Ed, Angell and Dodge. Thankfully, the contact there was very helpful and encouraged me to fight this clearly antiquated and random tax and insane 20%+/yr. interest.

I have been fighting with them ever since. In the collector's office, the Deputy Tax Collector himself, and a woman in the Assessor's office. They continue to repeat the same information which gets me knowwhere and provide zero evidence, except screenshots of their databases, which include slight edits each time.

I've been working with them since Sept. and provided all documentation need to clear my name from the DMV in VA--which I took a day off of work to receive. Needless to say, they have only cut $80 from the last year they refer to, the year I sold my car! It's clear to me that there has been a mistake made and the city is struggling to wrangle up anything it can.

Is there any legal action being taken against these people? Please assist.

Must Read! 44-34.1-1. Excise tax phase out

2000 -- H 7562 SUBSTITUTE A AS AMENDED

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LC02202/SUB A
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S T A T E O F R H O D E I S L A N D

IN GENERAL ASSEMBLY

JANUARY SESSION, A.D. 2000

____________

A N A C T

RELATING TO AUTOMOBILE EXCISE TAX

Introduced By: Representative Pires, Giannini, Fox, M. Anderson and Moura
Date Introduced: February 3, 2000
Referred To: Committee on Finance

It is enacted by the General Assembly as follows:

SECTION 1. Sections 44-34.1-1 and 44-34.1-2 of the General Laws in Chapter 44-34.1 entitled "Motor Vehicle and Trailer Excise Tax Elimination Act of 1998" are hereby amended to read as follows:

44-34.1-1. Excise tax phase out -- (a) Notwithstanding the provisions of chapter 34 of this title or any other provisions to the contrary, the motor vehicle and trailer excise tax established by section 44-34-1 shall be phased out by the fiscal year 2005. The phase out applies to all motor vehicles and trailers, including leased vehicles.

Lessors of vehicles that pay excise taxes directly to municipalities shall provide lessees, at the time of entering into the lease agreement, an estimate of annual excise taxes payable throughout the term of the lease. In the event the actual excise tax is less than the estimated excise tax, the lessor shall rebate annually to the lessee the difference between the actual excise tax and the estimated excise tax.

(b) Pursuant to the provisions of this section, all motor vehicles are assessed a value by the vehicle value commission. That value is assessed according to the provisions of section 44-34-11(c)(1). and in accordance with the terms as defined herein, provided, however, that the maximum taxable value percentage applicable to model year values as of December 31, 1997 shall continue to be applicable in future year valuations aged by one year in each succeeding year.

(c) (1) The motor vehicle excise tax phase out commences with the excise tax bills mailed to taxpayers for the fiscal year 2000. The tax assessors of the various cities and towns and fire districts shall reduce the average retail value of each vehicle assessed by using the prorated exemptions from the following table:

Year


Exempt from value

fiscal year 2000


$1,500

fiscal year 2001


$2,500

fiscal year 2002


$3,500

fiscal year 2003


$8000

fiscal year 2004


$10,000

fiscal year 2005


$15,000

fiscal year 2006


All vehicles

(2) The excise tax phase out provides increased levels of assessed value reductions until the tax is eliminated.

(3) Current exemptions remain in effect throughout the phase out period.

(4) The excise tax rates and ratios of assessment shall not be greater than fiscal year 1998 levels for each city, town, and fire district, provided, however, in the Town of Johnston the excise tax rate and ratios of assessment shall not be greater than fiscal year 1999 levels and in no event shall the final taxable value of a vehicle be higher than assessed in the prior fiscal year. and the levy of a city, town, or fire district shall be limited to the lesser of the maximum taxable value or net assessed value for purposes of collecting the tax in any given year.

(d) Definitions:

(1) Maximum taxable value: The value of vehicles as prescribed by 44-34-11 of the R.I. general laws reduced by the percentage of assessed value applicable to model year values as determined by the Rhode Island Vehicle Value Commission as of December 31, 1997 for the vehicles valued by the commission as of December 31, 1997. For all vehicle value types not valued by the Rhode Island Vehicle Value Commission as of December 31, 1997, the maximum taxable value shall be the latest value determined by a local assessor from an appropriate pricing guide, multiplied by the ratio of assessment used by that city, town, or fire district for a particular model year as of December 31, 1997.

(2) Net assessed value: The motor vehicle values as determined in accordance with 44-34.1-1 (d)(1) as described above less all personal exemptions allowed by cities, towns, fire districts, and the state of Rhode Island as provided for in 44-34.1-1 (c)(1).

phase out

Has anyone figured anything out with this situation? I just received an actual bill for this year and hadn't heard of the auto excise tax. According to the above article and others I found, this tax has been phased out since 2000. Is this still the case? I supposedly owe almost $1000 tax on my car, that seems outrageous. I have tried calling the collector's office but surprisingly no one is ever there!

Me too

Okay, I just got one too. Any updates on how to deal with this?

I wonder how many people are affected and whether class-action is a possibility.

Rhode Island/newport auto excise tax

We just received a letter from a debt collection law firm in RI about a supposed incompletely paid auto excise tax when we were in RI. They claim that the taxes from 2004 were paid incompletely and per RI law the tax office does not have to notify you. In fact we have the last paid tax bill that show no prior balance on it in 2005. We have Never received any notification that any taxes have been owed and now years later we are getting a debt collection notification with lots of interest tagged on to it. The whole thing sounds like extortion to me.

Does anyone know how we could fight this?

Some Facts

First-The motor vehicle phase out never really took full effect-these are the actual numbers used which are basically an exemption applied to the "assessed" value or your vehicle. (Not Kelly blue book value but an assessment supplied by the RI vehicle value commission which does not take into consideration the amount you paid for the vehicle, amount of mileage or condition of vehicle).
2000-$2500
2001-2004-$3500
2005-$5000
2006-2009-$6000
The fact that the Governor has just withheld aid to muncipalities means this $6000 will in all likelihood be abolished 2010.

Second-Motor Vehicle taxes are assessed for the previous full calendar year ie. if you are receiving notice for a 2004 tax bill it is actually for a vehicle taxed during 2003.

Third-No city of town is going to look for you once a bill is returned by the post office as the records for each city/town come from the DMV (where you are required by law to change your address with them).

Lastly-they can collect on taxes for 20 years (i'm sure there's some loophole that could possibly make it forever). The law offices who recieve these accounts are not in a position to get rid of the bill or even some of it on your behalf. You must deal with the City or Town which is exactly what you should do-Be prepared to show proof however as by law these offices need backup to adjust someone's bill. Certainly doesn't hurt to keep trying especially to get some of those penalties removed.

providence from nowhere...

i have also received a notice for past-due excise taxes from providence... 4 years after the fact... first notice was form a collection agency... same address as the mayor's office...

i have written letters to the assistant tax collector, mayor of providence, rhode island attorney general, and the collection agency itself... asking them to provide justification... with no responses...

my next step is now to write the FBI... greatly appreciate any other advice anyone has!

thought i had left providence in the rear view mirror in 2005!

the corruption continues

I lived in providence from OCT 2002 to Sept 2004. and just yesterday (MARCH 4 2010) i received a letter on law firm letterhead with random accusations that my $16.20 2005 property (auto) tax bill is now $1,016 and my $491.20 2007 property (auto) tax bill is now $1,297.05. I left the state in 2004. how are you going to bill someone 3 years after they left! Then tell the person another 5 years later that you owe and have accrued 135% percent interest. I too have not received one bill or assessment since early in 2005 and paid it. that would have been for the last part of 2004 when i lived there. it seems that nobody has posted their resolution- if any. but i am outraged at this racket from the RI government.

I also lived in Providence in 2003. I had my car stolen and stripped down to nothing. I paid the excise tax on the car for as long as I had it. Now, 10 years later, I also have received the bill from the Rossi Law Offices stating that I owe back excise tax on this car after it was stolen. I spent the entire day at the DMV with my police report turning in what scraps of a car I still owned. Now, the City of Providence is saying that they were not notified. For such a small state you would think that the
Rhode Island DMV would have contacted the City of Providence that my car was stolen and that they registration was cancelled. Now 10 years later I am supposed to find that police report and all my paperwork....UNBELIEVABLE!! I understand that every state is broke but really....this was a used toyota camry????? THAT as stolen!!!!!
Hello District Attorney....If anyone is pulling together a class action law suit, I would be most interested.

10 years is SOL in RI , 20 yrs if a lawsuit is filed