Current Status Bill Number:5051 Type of Legislation:General Bill GB Introducing Body:House Introduced Date:19980415 Primary Sponsor:Robinson All Sponsors:Robinson Drafted Document Number:dka\4904mm.98 Residing Body:House Current Committee:Ways and Means Committee 30 HWM Subject:Property tax assessments, appeals; to pay relief to Revenue Department, judicial determination, Taxation
Body Date Action Description Com Leg Involved
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House 19980415 Introduced, read first time, 30 HWM
referred to Committee
View additional legislative information at the LPITS web site.
TO AMEND SECTION 12-60-920, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO TAXPAYER APPEAL OF A JEOPARDY ASSESSMENT BY THE DEPARTMENT OF REVENUE, SO AS TO ALLOW THE TAXPAYER TO REQUEST RELIEF BY DELIVERING THE REQUEST AND GROUNDS FOR RELIEF TO THE DEPARTMENT, TO SET TIME REQUIREMENTS FOR FILING OF DEPARTMENTAL RESPONSE AND JUDICIAL DETERMINATION FROM THE DATE A JEOPARDY HEARING IS REQUESTED, TO CHANGE THE SCOPE OF JUDICIAL REVIEW FROM THE REASONABLENESS OF MAKING THE ASSESSMENT TO A DETERMINATION THAT THE COLLECTION OF THE TAX IS IN JEOPARDY, AND TO REVISE THE REVIEW PROCEDURE TO REFLECT CHANGES IN THE SCOPE OF REVIEW.
Be it enacted by the General Assembly of the State of South Carolina:
SECTION 1. Section 12-60-920 of the 1976 Code, as added by Act 60 of 1995, is amended to read:
"Section 12-60-920. (A) Within five days after the day on which a jeopardy assessment is made, the department shall provide the taxpayer with a written statement of the information the department relied on in making the assessment.
(B) Within thirty days after the day on which the taxpayer is furnished the written statement described in subsection (A), or within thirty days after the last day of the period within which the statement is required to be furnished, the taxpayer may request a contested case jeopardy hearing before the Administrative Law Judge Division by delivering the request to the department. Requests The request for a jeopardy hearing before the Administrative Law Judge Division also must be made in accordance with its rules. The only issue for determination under this subsection is whether the jeopardy assessment is reasonable and appropriate include a statement setting forth the taxpayer's grounds for relief.
(C) Within ten days after an action is commenced under subsection (B) a jeopardy hearing is requested, the department shall file its response with the Administrative Law Judge Division. Within twenty days after the department's response jeopardy hearing is requested, or as soon thereafter after as practicable, an administrative law judge shall determine whether or not the making of the jeopardy assessment is reasonable under the circumstances, and whether:
(1) the collection of the tax assessed is in jeopardy; and
(2) the amount so assessed or demanded as a result of the action taken under Section 12-60-910 is appropriate under the circumstances. The running of the ten-day and twenty-day periods begins on the day on which service is made on the department.
(D) If the Administrative Law Judge determines that the making of the jeopardy assessment is unreasonable or that the amount assessed or demanded is inappropriate, he may order the department to abate the assessment, to redetermine, in whole or in part, the amount assessed or demanded, or to take other action as the judge finds appropriate. In a jeopardy hearing under subsection (C), the:
(1) department has the burden of proof of showing the collection of the tax assessed is in jeopardy;
(2) taxpayer has the burden of proof of showing the tax assessed as a result of the action taken under Section 12-60-910 is not appropriate.
(E) (1) The decision made by the Administrative Law Judge under this section is final and conclusive and may not be reviewed by any court. If the administrative law judge determines the collection of the tax assessed:
(a) is in jeopardy and the tax assessed is appropriate, the department may continue with its jeopardy collection procedures;
(b) is not in jeopardy, the department may not continue its jeopardy collection procedures; or
(c) is in jeopardy but the tax assessed is not appropriate, the judge shall determine the amount that the department may collect through its jeopardy collection procedures.
(2) The decision by the administrative law judge under this subsection may not be reviewed by a court except that judicial review of a decision rendered by an administrative law judge may be sought under subsection (F).
(F)(1) In an action under subsection (B) involving the issue of whether the making of an assessment under Section 12-60-910 is reasonable under the circumstances, the burden of proof in respect to the issue is on the department.
(2) In an action under subsection (B) involving the issue of whether an amount assessed or demanded as a result of action taken under Section 12-60-910 is appropriate under the circumstances, the department shall provide a written statement containing any information on which its determination of the amount assessed was based, but the burden of proof in respect to the issue is on the taxpayer. If the administrative law judge determines the collection of the tax assessed is in jeopardy, pursuant to subsection (E)(a) or (c), the judge shall remand the case to the department to issue a final agency determination in accordance with the order of the administrative law judge within a time period determined by the judge. The taxpayer may appeal this final agency determination in accordance with Section 12-60-460. At the contested case hearing on this final agency determination, the taxpayer and department may raise issues and argument previously presented at the jeopardy hearing."
SECTION 2. This act takes effect upon approval by the Governor.