270C.36 JEOPARDY ASSESSMENT AND COLLECTION.
Subdivision 1. Assessment.
If the commissioner has reasonable grounds to believe that a
taxpayer is about to leave, or take property from, this state with the purpose of evading a tax, or
that the collection of the tax will be jeopardized by delays incident to other methods of collection,
the commissioner may immediately declare the taxpayer's reporting period to be at an end and
assess the tax due by issuing an order under section
270C.33, subdivision 4
. The commissioner
may make the assessment on the basis of knowledge or information available to the commissioner,
and notwithstanding the prohibition against collection under section
270C.33, subdivision 5
demand immediate payment of the amount due shown in the assessment.
Subd. 2. Collection.
Notwithstanding the prohibition against collection in section
, and the notice provisions in section
270C.67, subdivision 3
, if the commissioner
has reason to believe that collection of a tax is in jeopardy, notice and demand for immediate
payment of the tax may be made. If the tax is not paid, the commissioner may proceed to collect
by levy or by filing a lien under section
. For this purpose, "tax" includes any penalty,
interest, and costs, properly payable.
Subd. 3. Administrative review.
Within five days after a jeopardy assessment or jeopardy
collection is made to assess or collect a tax, the commissioner shall provide the taxpayer with a
written statement of the information relied on in making the assessment or levy. Within 30 days
after the written statement is provided or, if not provided, within 35 days after the assessment
or levy, the taxpayer may request the commissioner to review the action taken. After a request
for review, the commissioner shall determine whether the assessment or levy is reasonable and
whether the amount assessed or demanded as a result of the action is appropriate under the
Subd. 4. Judicial review.
A determination by the commissioner under subdivision 3 is
appealable to the Tax Court in the manner provided by law, and the appeal must be expeditiously
heard by the court. If the court determines that the making of the assessment or levy is
unreasonable, or that the amount assessed or demanded is inappropriate, the court may order the
commissioner to release the levy, abate the assessment, redetermine in whole or in part the amount
assessed or demanded, or take other action. A determination by the court under this subdivision is
final and may not be appealed by either party.
Subd. 5. Burden of proof.
In a proceeding under subdivision 4, the burden of proving that the
assessment or collection of the tax was jeopardized by delay is on the commissioner. Regarding
the issue of whether the amount assessed or demanded as a result of the action is appropriate, the
commissioner shall provide a written statement explaining the basis for determining the amount,
and the burden is on the taxpayer to show that the statement is incorrect or invalid.
Subd. 6. Defenses.
It is not a defense to an assessment or demand made under this section
that the tax period has not terminated, that the time otherwise allowed by law to file a return has
not expired, that the notices otherwise required by law for making an assessment or demand have
not been given, or that the time otherwise allowed by law to appeal or pay the tax has not expired.
History: 2005 c 151 art 1 s 42