§ 26-26-1618 — Settlement or compromise of liability

(a) The Secretary of the Department of Finance and Administration may waive any tax certified under § 26-26-1614 , or any portion of a tax certified under § 26-26-1614 , in the following circumstances: (1) There is controversy over the amount of tax due; (2) The inability of the taxpayer to pay the tax results from the insolvency of the taxpayer; or (3) The taxpayer provides proof of the filing of a bankruptcy or other liquidation, reorganization, or dissolution proceeding by the taxpayer or proof that the tax was discharged in a bankruptcy or other liquidation, reorganization, or dissolution proceeding. (b) The secretary may waive any penalty assessed under this chapter on a tax certified to the secretary under § 26-26-1614 , or any portion of a penalty assessed under this chapter, in the following circumstances: (1) Upon receipt of a satisfactory explanation of the taxpayer's failure to pay the tax when it came due; (2) Upon proof that the failure to pay the tax when it came due resulted from mistake by the taxpayer of either the law or the facts subjecting the taxpayer to the tax; (3) Upon proof of insolvency of the taxpayer; or (4) Upon proof of the filing of a bankruptcy or other liquidation, reorganization, or dissolution proceeding by the taxpayer or proof that the penalty was discharged in a bankruptcy or other liquidation, reorganization, or dissolution proceeding.

Legislative History

Added by Act 2021, No. 719,§ 1, eff. 7/28/2021.