The State of New York is creating a driver’s license suspension program targeted at those who owe $10,000 or more in back taxes and have exhausted all appeals to mitigate their tax bills.
If these individuals cannot pay their tax bill in full, they may be able to work out a payment plan. Additionally, if your license has been suspended as a result of your tax delinquency, you may apply for a restricted driver’s license so that you may be able to drive to and from work.
Other states such as California, Massachusetts, and Louisiana are other states that seize driver’s licenses in the result of tax delinquency. In Louisiana owing a mere $1,000 in back taxes will get your driver’s license taken away. In California individuals with $100,000 or more owed in back taxes could result in someone losing his or her driver’s license.
The best way to avoid losing your driver’s license is to pay your taxes on time, or make arrangements in the event of a financial hardship .