§ 57-43.1-17 — Commissioner to audit report and assess tax

North Dakota § 57-43.1-17

• Jurisdiction: North Dakota
• Title 57: Taxation
• Ch. 57-43.1: Motor Vehicle Fuels and Importer for Use Taxes

Text

1. The commissioner, or an authorized representative, may audit the records, books, and
papers, and examine fuel and any equipment used to store, transport, or dispense
fuel, of a refiner, supplier, distributor, importer, exporter, terminal operator, retailer, or
common or contract carrier. For a person required to file a report, the examination and
audit shall be done no later than three years after the due date of the report or three
years after the report was filed, whichever period expires later. The commissioner is
authorized to make assessments of tax, plus penalty and interest, or to issue credits or
refunds as determined on the basis of the examination and audit.
2. If it is determined upon audit that the tax due was twenty-five percent or more above
the amount reported on a report, the tax may be assessed, or a proceeding in court for
the collection of the tax may be begun without such assessment, at any time within six
years after the due date of the report, or six years after the report was filed, whichever
period expires later.
3. Except as otherwise provided in this chapter, the commissioner may audit any
consumer's claim for a refund of tax, and, not later than three years after the due date
of the claim or three years after the claim was filed, whichever period expires later,
assess additional tax or issue an additional refund. If additional tax is found due or if
an additional tax refund applies, the commissioner shall notify the claimant in detail of
the reason for the increase or decrease. For any claim selected for audit, the claimant
shall provide additional verification as required by the commissioner of fuel purchases,
payment of the tax, use of the fuel for a purpose entitling the claimant to a refund, and
use of the fuel other than in a licensed motor vehicle.

4. If a person gives false or fraudulent information in a tax report or in a claim for refund,
or if the failure by a person to file a tax report is due to the fraudulent intent or the
willful attempt of the person in any manner to evade the tax, the time limitations in this
section do not apply, and the tax may be assessed, or a proceeding in court for the
collection of the tax may be begun without such assessment, at any time.
5. If, before the expiration of the time prescribed in this chapter for the assessment of tax,
the commissioner and the person consent in writing to an extension of time for the
assessment of the tax, the tax may be assessed at any time prior to the expiration of
the period agreed upon. The period agreed upon may be extended by subsequent
agreements in writing made before the expiration of the period previously agreed
upon.
6. A determination of additional tax due issued to a person fixes the tax finally and
irrevocably unless the person against whom it is assessed, within thirty days after the
giving of notice of the determination, protests the determination under rules adopted
by the commissioner and in the manner provided in chapter 28-32.
7. A determination that a claim for a tax credit or refund is disallowed becomes finally and
irrevocably fixed unless the person claiming the refund, within thirty days after the
giving of notice of the determination, protests the determination under rules adopted
by the commissioner and in the manner provided in chapter 28-32.