Introduction
New Hampshire has introduced a temporary New Hampshire tax amnesty program designed to encourage taxpayers to voluntarily resolve outstanding state tax liabilities on favorable terms. Tax amnesty initiatives are uncommon and time-limited. When offered, they can provide substantial financial relief for businesses and individuals facing accumulated penalties and interest on unpaid state taxes.
The New Hampshire tax amnesty program runs from December 1, 2025 through February 15, 2026. During this window, qualifying taxpayers may eliminate all penalties and reduce accrued interest by fifty percent, provided they fully comply with the program’s requirements. The program is administered by the New Hampshire Department of Revenue Administration and applies to a wide range of state-administered taxes.
Purpose and Policy Rationale
From a policy perspective, tax amnesty programs balance enforcement with pragmatism. New Hampshire’s objective is to improve tax compliance, close historical filing gaps, and generate immediate revenue without prolonged tax audits or extended tax litigation. For taxpayers, the program provides a rare opportunity to resolve legacy tax exposure at a materially reduced cost, particularly where penalties and interest have significantly inflated the original tax liability.
For businesses operating in or connected to New Hampshire, this program may be especially relevant where multi-year compliance issues exist, including unfiled returns, unresolved tax assessments, or dormant entities with lingering tax exposure.
Taxes Covered by the Amnesty Program
The New Hampshire tax amnesty program applies to most taxes administered by the New Hampshire Department of Revenue Administration, including:
- Business Profits Tax
- Business Enterprise Tax
- Meals and Rooms Tax
- Real Estate Transfer Tax
- Communications Services Tax
- Electricity Consumption Tax
- Tobacco and Smokeless Tobacco Taxes
- Utility Property Tax
- Railroad Tax
- Private Car Tax
- Nursing Facility Quality Assessment
- Medicaid Enhancement Tax
- Interest and Dividends Tax for periods prior to its repeal
Local property taxes are excluded because they are not administered by the Department of Revenue Administration.
To qualify, the underlying tax must have been due on or before June 30, 2025, and all required returns and payments must be submitted during the amnesty window.
Penalty and Interest Relief
The financial incentives offered under the program are significant:
- One hundred percent of civil tax penalties associated with eligible liabilities are waived
- Fifty percent of accrued interest is forgiven
- The remaining tax and reduced interest must be paid in full by February 15, 2026
This relief structure makes the New Hampshire tax amnesty program particularly attractive for taxpayers with older liabilities where interest accrual has substantially increased the balance owing.
Participation Mechanics
Participation in the program is intentionally straightforward. No formal application is required. Taxpayers participate by filing all outstanding returns and paying the required amounts within the amnesty period. Electronic filing and payment options are available through the Department of Revenue Administration, and mailed submissions must be postmarked on or before the program’s closing date.
Taxpayers should retain detailed records of all filings and payments, particularly where multiple tax years or multiple tax types are involved.
Strategic Considerations for Taxpayers
From a planning perspective, the New Hampshire tax amnesty program should be evaluated alongside voluntary disclosure strategies, ongoing tax audits, and pending tax appeals. While participation does not automatically eliminate the ability to dispute substantive tax issues, failure to act within the amnesty window may result in increased enforcement activity, higher interest costs, and reduced administrative flexibility.
Experienced and knowledgeable U.S. tax lawyers often recommend reviewing historical New Hampshire filing positions well before amnesty deadlines, particularly where exposure may not be readily apparent from internal accounting records.
Pro Tax Tips
- Review prior New Hampshire filings for dormant entities, discontinued operations, or reorganized businesses that may still have filing obligations
- Quantify interest savings in advance to assess the cash-flow benefits of participation
- Coordinate amnesty participation with broader multi-state tax compliance strategies
- Address outstanding liabilities proactively to reduce the risk of post-amnesty tax audits and enforced collections
- Consult experienced and seasoned U.S. tax lawyers to evaluate whether tax amnesty or alternative disclosure strategies are more advantageous
Frequently Asked Questions
Does participation eliminate criminal exposure?
No. The New Hampshire tax amnesty program addresses civil tax liabilities only. It does not provide immunity from criminal prosecution in cases involving fraud or willful tax evasion.
Can taxpayers with existing tax assessments participate?
Yes. Outstanding tax assessments may generally be resolved through the amnesty program if all eligibility requirements are met.
Are installment payments permitted?
No. The program requires full payment of the tax and reduced interest by the February 15, 2026 deadline.
Does participation waive appeal rights?
Participation does not automatically waive a taxpayer’s right to dispute substantive tax issues. However, procedural considerations should be reviewed carefully in the context of any ongoing appeals.
Will New Hampshire offer another tax amnesty program?
There is no assurance that another tax amnesty program will be offered. Historically, such programs are infrequent.
Conclusion
The New Hampshire tax amnesty program presents a narrow but valuable opportunity for businesses and individuals to resolve historical state tax liabilities on significantly improved financial terms. Given the limited duration of the program and the likelihood of increased enforcement following its expiration, timely evaluation and action are essential. Taxpayers with unresolved New Hampshire tax exposure should consider this opportunity as part of a broader compliance and risk-management strategy, ideally with guidance from knowledgeable and experienced U.S. tax lawyers.
Disclaimer: This article provides broad information only. It is accurate as of the date of publication but may not reflect subsequent legislative or administrative developments. It does not constitute legal or tax advice and should not be relied upon as such. Every tax situation is unique. Taxpayers should seek advice from experienced U.S. tax lawyers regarding their specific circumstances.