TITLE 63

REVENUE AND TAXATION

CHAPTER 30

INCOME TAX

63-3045A.  Assessment of tax. (1) Except as provided in subsection (2) of this section, no tax commission activities to enforce collection of tax may be conducted, nor may a proceeding to collect a tax be instituted, until taxes are assessed in accordance with the provisions of this section.

(a)  Taxes and related interest, including revisions for mathematical errors, are assessed immediately upon receipt of a tax return, amended return or other consent signed by the taxpayer or the taxpayer’s authorized representative showing the taxes due. The tax commission may presume that the signature is the signature of the taxpayer or the taxpayer’s authorized representative until the contrary is established by a preponderance of the evidence.

(b)  In the event that the amount of tax is understated on the taxpayer’s return due to a mathematical error, the state tax commission shall notify the taxpayer that an amount of tax in excess of that shown on the return is due and has been asserted. Such a notice of additional tax due shall not be considered a notice of a deficiency nor shall the taxpayer have any right of protest or appeal as in the case of a deficiency based on such notice, and the assessment and collection of the amount of tax erroneously omitted in the return is not prohibited by any provision of this chapter.

(c)  Any amount paid as a tax or in respect of a tax, other than amounts withheld at the source or paid as estimated income tax, shall be deemed to be assessed upon the date of receipt of payment, notwithstanding any other provisions of this chapter.

(d)  For all other purposes of this chapter, a tax is deemed assessed when:

(i)   A taxpayer fails to file a protest with the state tax commission within the time prescribed in section 63-3045, Idaho Code, or an action in district court or the board of tax appeals within the time prescribed in subsection (a) of section 63-3049, Idaho Code; or

(ii)  Upon conclusion of any such proceeding for any amount upheld at that conclusion of such proceeding.

(2)  An assessment is not required before the tax commission may conduct audits and investigations or make inquiries of taxpayers or other persons relating to matters within the tax commission’s jurisdiction. The making of an assessment is not required before the tax commission may file a judicial action under section 63-3030A or 63-3064, Idaho Code, or actions for injunctive or declaratory relief.

(3)  When taxes and related interest have been assessed, the state tax commission shall create a record of assessment by recording the liability of the taxpayer along with an identification of the taxpayer, the character of the liability assessed, the taxable period, if applicable, and the amount of the assessment. The record of an assessment shall be kept and maintained in a record in the office of the state tax commission in accordance with rules prescribed by the state tax commission. Upon request of the taxpayer, the state tax commission shall furnish the taxpayer a copy of the record of assessment.

(4)  Penalties and additions to tax in the case of a deficiency shall be assessed in the same manner as the taxes and related interest.

History:

[63-3045A, added 1970, ch. 222, sec. 8, p. 621; am. 1987, ch. 86, sec. 1, p. 162; am. 1999, ch. 34, sec. 2, p. 72; am. 2006, ch. 195, sec. 5, p. 607.]