A Tax Clearance Letter is drafted by the tax authority to a person or firm stating that they have no tax dues. It’s an informative letter giving important information to the recipient. It’s used in instances where the recipient had several dues on taxes and now all of them have been cleared. It gives a clearance stating that the recipient is not liable anymore. The clearance can be given to a single tax or multiple taxes. The clearance is given after a thorough checking whether any dues of taxes are there to be made. If all things are completed then a tax clearance certificate will be issued.
As this letter is written by a prestigious authority, it has to be framed in a very professional manner. The language used should be apt and also simple enough so that the recipient, who may belong to any class of the society, will understand it. The motive is being informative, so all the important details about the taxes should be mentioned. Also, make a note of the addresses or contact numbers that the recipient can contact regarding any further queries as this would be very helpful for that person. Mention separately on the letter if any documents are enclosed with the letter.
Tips For Writing A Tax Clearance Letter
- Use simple language suitable for the understanding of persons of any class of society.
- Maintain a good amount of professionalism while writing this letter.
- Provide all the required information.
- Mention contact numbers if further queries are required.
- Mention about all the documents that you have attached with the letter or e-mail.
Template
Use our free Tax Clearance Letter to help you get started.
From,
___________
___________
Date:
To,
___________
___________
Subject: _________(Mention the purpose)
Dear _____ (Name of person),
As per the assessment we have made, it is understood that from the date ________________ (mention the date), you do not hold any dues on taxes of ____________________ (Mention the tax). All the documents you submitted and all your previous payments have been thoroughly checked and we haven’t found any dues of tax that are pending. Hence we here by provide you clearance for taxes relating to ________________ . If you have any queries, feel free to contact us on ___________________ (telephone number) or via _________________ (mention email address).
We hope the taxes shall be paid on due time like this in the future too.
Thank You.
Yours Truly,
__(Signature)_
___(Name of person)__
___(Designation)___
Sample Letter
From,
George Smith,
Inspector,
Revenue and Tax Department,
32, New Street, High Garden.
To,
Michel Goodwin,
32 Kite Avenue,
High Garden.
Subject: Tax Clearance
Dear Michel,
As per the assessment, we have made this month, it’s understood that from the day 21st of July 2016, you do not hold any dues on taxes of sales. All the documents you submitted and all your previous payments have been thoroughly checked and we haven’t found any dues of tax that are pending. Hence we hereby provide you clearance for taxes relating to sales until 21st of July 2016. If you have any queries, feel free to contact us on +1 99999987 or via the email address: taxdept_@email.com. Documents regarding the tax clearance have been enclosed with this letter.
We hope the taxes shall be paid on due time like this in the future too.
Yours Truly,
George Smith
Inspector
Revenue and Tax Department,
32, New Street, High Garden.
Email Format
The following is the Email format that should be followed while writing a Tax Clearance Letter.
To: name@email.com
From: name@email.com
Subject: Tax Clearance Letter
Dear Michel,
As per the assessment, we have made, it’s understood that from the day 21st of July 2016, you do not hold any dues on taxes of sales. All the documents you submitted and all your previous payments have been thoroughly checked and we haven’t found any dues of tax that are pending. Hence we hereby provide you clearance for taxes relating to sales until 21st of July 2016. If you have any queries, feel free to contact us on +1 99999987 or via the email address: taxdept_@email.com. The documents regarding the tax clearance have been attached with this email. Please find the same.
We hope the taxes shall be paid on due time like this in the future too.
Yours Truly,
George Smith
Inspector
Revenue and Tax Department,
High Garden