§ 105-241.14. Final determination after Departmental review. - North Carolina Statutes

§ 105‑241.14.  Finaldetermination after Departmental review.

(a)        Refund. – If ataxpayer files a timely request for a Departmental review of a proposed denialof a refund and the Department and the taxpayer are unable to resolve thetaxpayer's objection to the proposed denial, the Department must send thetaxpayer a notice of final determination concerning the refund. The notice offinal determination must state the basis for the determination and inform thetaxpayer of the procedure for contesting the determination. The statement ofthe basis for the determination does not limit the Department from changing thebasis.

(b)        Assessment. – If ataxpayer files a timely request for a Departmental review of a proposedassessment and the Department and the taxpayer are unable to resolve thetaxpayer's objection to the proposed assessment, the Department must send thetaxpayer a notice of final determination concerning the assessment. A notice offinal determination concerning an assessment must contain the followinginformation:

(1)        The basis for thedetermination. This information may be stated on the notice or be set out in aseparate document. The statement of the basis for the determination does notlimit the Department from changing the basis.

(2)        The amount of tax,interest, and penalties payable by the taxpayer.

(3)        The procedure thetaxpayer must follow to contest the final determination.

(4)        A statement that theamount payable stated on the notice is collectible by the Department unless thetaxpayer contests the final determination.

(5)        An explanation ofthe collection options available to the Department if the taxpayer does not paythe amount shown due on the notice and any remedies available to the taxpayerconcerning these collection options.

(c)        (Effective fortaxable years beginning before January 1, 2008)  Time Limit. – The processset out in G.S. 105‑241.13 for reviewing and attempting to resolve aproposed denial of a refund or a proposed assessment must conclude, and a finaldetermination must be issued within nine months after the date the taxpayerfiles a request for review. The Department and the taxpayer may extend thistime limit by mutual agreement. Failure to issue a notice of finaldetermination within the required time does not affect the validity of aproposed assessment.

(c)        (Effective fortaxable years beginning on or after January 1, 2008) Time Limit. – Theprocess set out in G.S. 105‑241.13 for reviewing and attempting toresolve a proposed denial of a refund or a proposed assessment must conclude,and a final determination must be issued within nine months after the date thetaxpayer files a request for review. The Department and the taxpayer may extendthis time limit by mutual agreement. Failure to issue a notice of finaldetermination within the required time does not affect the validity of aproposed denial of a refund or proposed assessment.  (2007‑491, s. 1; 2008‑134,s. 6(a).)