TITLE 63

REVENUE AND TAXATION

CHAPTER 30

INCOME TAX

63-3048.  Adjusted or compromised cases — settlement and Closing agreements. (a) The state tax commission or its delegate is authorized to enter into an agreement in writing with any person relating to the liability of such person, or of the person for whom he is acting, in respect of any tax under this chapter for any taxable period ending prior to the date of the agreement.

(b)  Where the amount in issue relating to the tax liability of any taxpayer is equal to or exceeds fifty thousand dollars ($50,000) and the commission has delegated the authority to enter into a settlement or closing agreement for such liability to an individual commissioner, the following minimum standards of procedure shall apply:

(1)   In addition to the individual commissioner delegated the principal responsibility to negotiate on behalf of the commission, a second commissioner shall be present for a final review of the negotiated settlement or closing agreement. Both commissioners shall be required to sign the settlement or closing agreement to make it binding and complete.

(2)  In addition to the two (2) commissioners present at the final review, a representative of the office of the attorney general shall be present as well as tax commission staff, which shall include a tax policy specialist and either a representative from the audit division or other division where the case originated.

(3) The tax policy specialist or deputy attorney general assigned to a settlement or closing agreement shall prepare and submit to the commission a written summary for the final review explaining the terms of the settlement or closing agreement. The summary shall include any recommendations of agency staff including audit staff.

(4)  The tax commission shall retain a copy of all settlement and closing agreements and, in addition, all summaries prepared pursuant to subsection (b)(3) of this section.

(c)  The tax commission shall submit an annual report to the governor and the legislature by March 1 of each year summarizing all settlement and closing agreements entered into during the previous calendar year as defined by subsection (b) of this section.

(d)  The tax commission shall promulgate administrative rules in compliance with chapter 52, title 67, Idaho Code, to implement the provisions of this section.

(e)  Such agreement shall be final and conclusive and, except upon a showing of fraud or malfeasance, or misrepresentation of a material fact:

(1)  The case shall not be reopened as to matters agreed upon or the agreement modified by any officer, employee, or agent of the state.

(2)  In any suit, action, or proceeding, such agreement, or any determination, assessment, collection, payment abatement, refund, or credit made in accordance therewith, shall not be annulled, modified, set aside, or disregarded.

History:

[63-3048, added 1959, ch. 299, sec. 48, p. 613; am. 2009, ch. 120, sec. 3, p. 385.]