59-5-114 - Limitation of actions. - Utah Statutes

59-5-114. Limitation of actions.
(1) (a) Except as provided in Subsections (1)(c) through (f), the commission shall assessthe amount of taxes imposed under this part, and any penalties and interest, within six years aftera taxpayer files a return.
(b) Except as provided in Subsections (1)(c) through (f), if the commission does not makean assessment under Subsection (1)(a) within six years, the commission may not commence aproceeding for the collection of the taxes after the expiration of the six-year period.
(c) Notwithstanding Subsections (1)(a) and (b), the commission may make an assessmentor commence a proceeding to collect a tax at any time if a deficiency is due to:
(i) fraud; or
(ii) failure to file a return.
(d) Notwithstanding Subsections (1)(a) and (b), beginning on July 1, 1998, thecommission may extend the period to make an assessment or to commence a proceeding tocollect the tax under this part if:
(i) the six-year period under this Subsection (1) has not expired; and
(ii) the commission and the taxpayer sign a written agreement:
(A) authorizing the extension; and
(B) providing for the length of the extension.
(e) If the commission delays an audit at the request of a taxpayer, the commission maymake an assessment as provided in Subsection (1)(f) if:
(i) the taxpayer subsequently refuses to agree to an extension request by the commission;and
(ii) the six-year period under this Subsection (1) expires before the commission completesthe audit.
(f) An assessment under Subsection (1)(e) shall be:
(i) for the time period for which the commission could not make an assessment becauseof the expiration of the six-year period; and
(ii) in an amount equal to the difference between:
(A) the commission's estimate of the amount of taxes the taxpayer would have beenassessed for the time period described in Subsection (1)(f)(i); and
(B) the amount of taxes the taxpayer actually paid for the time period described inSubsection (1)(f)(i).
(2)(a) Except as provided in Subsection (2)(b), the commission may not make a credit orrefund unless the taxpayer files a claim with the commission within six years of the date ofoverpayment.
(b) Notwithstanding Subsection (2)(a), beginning on July 1, 1998, the commission shallextend the period for a taxpayer to file a claim under Subsection (2)(a) if:
(i) the six-year period under Subsection (2)(a) has not expired; and
(ii) the commission and the taxpayer sign a written agreement:
(A) authorizing the extension; and
(B) providing for the length of the extension.

Amended by Chapter 299, 1998 General Session