§ 105-241.6. Statute of limitations for refunds. - North Carolina Statutes

§ 105‑241.6.  Statute oflimitations for refunds.

(a)        General. – Thegeneral statute of limitations for obtaining a refund of an overpayment appliesunless a different period applies under subsection (b) of this section. Thegeneral statute of limitations for obtaining a refund of an overpayment is thelater of the following:

(1)        Three years afterthe due date of the return.

(2)        Two years afterpayment of the tax.

(b)        Exceptions. – Theexceptions to the general statute of limitations for obtaining a refund of anoverpayment are as follows:

(1)        FederalDetermination. – If a taxpayer files a return reflecting a federaldetermination and the return is filed within the time required by thisSubchapter, the period for requesting a refund is one year after the returnreflecting the federal determination is filed or three years after the originalreturn was filed or due to be filed, whichever is later.

(2)        Waiver. – Ataxpayer's waiver of the statute of limitations for making a proposedassessment extends the period in which the taxpayer can obtain a refund to theend of the period extended by the waiver.

(3)        Worthless Debts orSecurities. – Section 6511(d)(1) of the Code applies to an overpayment of thetax levied in Part 2 or 3 of Article 4 of this Chapter to the extent theoverpayment is attributable to either of the following:

a.         The deductibility bythe taxpayer under section 166 of the Code of a debt that becomes worthless, orunder section 165(g) of the Code of a loss from a security that becomesworthless.

b.         The effect of thedeductibility of a debt or loss described in subpart a. of this subdivision onthe application of a carryover to the taxpayer.

(4)        Capital Loss and NetOperating Loss Carrybacks. – Section 6511(d)(2) of the Code applies to anoverpayment of the tax levied in Part 2 or 3 of Article 4 of this Chapter tothe extent the overpayment is attributable to a capital loss carryback undersection 1212(c) of the Code or to a net operating loss carryback under section172 of the Code. (2007‑491,s. 1.)