Current Status Bill Number:303 Type of Legislation:General Bill GB Introducing Body:Senate Introduced Date:19950110 Primary Sponsor:McConnell All Sponsors:McConnell Drafted Document Number:JIC\5069HTC.95 Residing Body:Senate Current Committee:Finance Committee 06 SF Subject:Retroactive tax assessments
Body Date Action Description Com Leg Involved
______ ________ _______________________________________ _______ ____________
Senate 19950110 Introduced, read first time, 06 SF
referred to Committee
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TO AMEND SECTION 12-4-320, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE POWERS OF THE COMMISSIONERS OF THE DEPARTMENT OF REVENUE AND TAXATION, SO AS TO ALLOW THE DEPARTMENT TO WAIVE THE RETROACTIVE ASSESSMENT OF A STATE TAX WHERE THE DEPARTMENT DETERMINES THE TAXPAYER ACTED IN GOOD FAITH AND THUS THESE WERE REASONABLE GROUNDS FOR THE TAXPAYER'S INTERPRETATION OF THE APPLICABLE LAW AND TO CONFORM THE SECTION TO THE RESTRUCTURING OF STATE GOVERNMENT.
Be it enacted by the General Assembly of the State of South Carolina:
SECTION 1. Section 12-4-320 of the 1976 Code, as last amended by Act 516 of 1994, is further amended to read:
"Section 12-4-320. The commission department may:
(1) make rules and promulgate regulations, not inconsistent with law, to aid in the performance of its duties. The commission department may prescribe the extent, if any, to which these rules and regulations must be applied without retroactive effect;
(2) upon written application, determine the tax effects of transactions and the tax liability of taxpayers, upon facts furnished to it, and it may revoke or modify the rulings if the facts should develop differently later. The commission department, in its discretion, may publish these rulings. This publication may be in brief hypothetical form so as to give all pertinent facts and decisions without violating the provisions of Section 12-54-240;
(3) compromise any tax, interest, or penalty imposed by this title or other law assigned to it and may return to the owner, in whole or in part, any goods seized or confiscated;
(4) enter into a written agreement with a person with regard to a tax liability. If the agreement is approved by a majority of the commissioners the department, it is final and conclusive and the case may not be reopened by administrative or judicial action or otherwise, except in cases of fraud, malfeasance, or misrepresentation;
(5) publish its findings and decisions in all controversies resolved by it. This publication may be in brief hypothetical form so as to give all pertinent facts, decisions, and reasons without violating the provisions of Section 12-54-240.;
(6) if damage by natural forces occurs as defined in Section 12-9-310, prescribe temporary rules including, but not limited to, the filing of returns, payment of taxes, and extensions of due dates.;
(7) waive the retroactive assessment of a state tax when it determines the taxpayer acted in good faith, and that there were reasonable grounds for the taxpayer's interpretation of the applicable law."
SECTION 2. This act takes effect upon approval by the Governor.