2000 Minnesota Statutes

     297I.50 Order of assessment. 

    Subdivision 1.    Order of assessment; notice and demand 
 to taxpayer.  (a) When a return has been filed and the 
 commissioner determines that the tax or surcharge disclosed by 
 the return is different than the tax or surcharge determined by 
 the examination, the commissioner shall send an order of 
 assessment to the taxpayer.  When no return has been filed, the 
 commissioner may make a return for the taxpayer under section 
 297I.45 or may send an order of assessment under this 
 subdivision.  The order must explain the basis for the 
 assessment and must explain the taxpayer's appeal rights.  An 
 order of assessment is final when made but may be reconsidered 
 by the commissioner under section 297I.95. 

    (b) If a tax payment meets the requirements of this 
 paragraph, the penalty under section 297I.85, subdivision 2, is 
 not imposed, and the commissioner may not take any collection 
 action, including the filing of liens under section 270.69.  

    To meet the requirements, the taxpayer must first file a 
 return for the tax or surcharge type on which the order is based 
 and then pay the amount shown on the order within the following 
 time limits: 

    (1) If the taxpayer files an administrative appeal under 
 section 297I.95 or a tax court appeal under chapter 271, and if 
 the appeal is based on a constitutional challenge to the tax, 
 the payment must be made within 60 days after final 
 determination of the appeal. 

    (2) If the appeal is not based on a constitutional 
 challenge, the payment must be made when the decision of the tax 
 court is made. 

    (3) If the taxpayer does not file an appeal, the payment 
 must be made within 60 days after the date the order is mailed 
 to the taxpayer by the commissioner. 

    Subd. 2.    Erroneous refunds.  An erroneous refund is 
 considered an underpayment of tax or surcharge on the date 
 made.  An assessment of a deficiency arising out of an erroneous 
 refund may be made at any time within two years from the making 
 of the refund.  If part of the refund was induced by fraud or 
 misrepresentation of a material fact, the assessment may be made 
 at any time. 

    Subd. 3.    Assessment presumed valid.  A return or 
 assessment of tax or surcharge made by the commissioner is prima 
 facie correct and valid.  The taxpayer has the burden of 
 establishing its incorrectness or invalidity in any related 
 action or proceeding.  

    Subd. 4.    Aggregate refund or assessment.  The 
 commissioner, on examining returns of a taxpayer for more than 
 one year or period, may issue one order covering the period 
 under examination that reflects the aggregate refund or 
 additional tax or surcharge due. 

    Subd. 5.    Sufficiency of notice.  An order of 
 assessment, sent postage prepaid by United States mail to the 
 taxpayer at the taxpayer's last known address, is sufficient 
 even if a corporation has terminated its existence, unless the 
 department has been provided with a new address by a party 
 authorized to receive notices of assessment. 

    HIST: 2000 c 394 art 1 s 11