§ 289A.35 — Assessments on Returns
Plain-Language Summary
The commissioner can audit tax returns and adjust a taxpayer's income, deductions, and credits to make them match Minnesota tax law. Filing a return is treated as a self-assessment of tax. The commissioner may also allow S corporations and partnerships to receive assessments and pay tax on behalf of their owners.
289A.35 ASSESSMENTS ON RETURNS.
(a) The commissioner may audit and adjust the taxpayer’s computation of federal adjusted gross income, federal taxable income, items of federal tax preferences, or federal credit amounts to make them conform with the provisions of chapter 290 or section 298.01. If a return has been filed, the commissioner shall enter the liability reported on the return and may make any audit or investigation that is considered necessary.
(b) Upon petition by a taxpayer, and when the commissioner determines that it is in the best interest of the state, the commissioner may allow S corporations and partnerships to receive orders of assessment issued under section 270C.33, subdivision 4, on behalf of their owners, and to pay liabilities shown on such orders. In such cases, the owners’ liability must be calculated using the method provided in section 289A.08, subdivision 7, paragraph (b).
(c) A taxpayer may petition the commissioner for the use of the method described in paragraph (b) after the taxpayer is notified that an audit has been initiated and before an order of assessment has been issued.
(d) A determination of the commissioner under paragraph (b) to grant or deny the petition of a taxpayer cannot be appealed to the Tax Court or any other court.
(e) The commissioner may audit and adjust the taxpayer’s computation of tax under chapter 291. In the case of a return filed pursuant to section 289A.10, the commissioner shall notify the estate no later than nine months after the filing date, as provided by section 289A.38, subdivision 2, whether the return is under examination or the return has been processed as filed.
History:
1990 c 480 art 1 s 15; 1991 c 291 art 11 s 8; 1997 c 31 art 2 s 5; 2000 c 490 art 13 s 11; 2005 c 151 art 2 s 8; 2011 c 112 art 2 s 2; 1Sp2017 c 1 art 13 s 8; 1Sp2019 c 6 art 1 s 7
History: History: 1990 c 480 art 1 s 15; 1991 c 291 art 11 s 8; 1997 c 31 art 2 s 5; 2000 c 490 art 13 s 11; 2005 c 151 art 2 s 8; 2011 c 112 art 2 s 2; 1Sp2017 c 1 art 13 s 8; 1Sp2019 c 6 art 1 s 7