This bill amends section 77-2711 of the Revised Statutes Cumulative Supplement, 2024, to enhance the auditing capabilities of the Auditor of Public Accounts concerning suspected tax reporting irregularities. It introduces a provision allowing the Auditor to inspect tax returns and related information on the premises of the Department of Revenue. Additionally, municipalities that have adopted local option sales taxes are granted access to certain tax return information, provided they certify an individual to review the documents. This certified individual is responsible for notifying the Auditor of any discrepancies found during the review.

The bill also includes several clarifications regarding the handling of confidential tax information, specifying that certified individuals must not disclose any information obtained during their review, except when reporting suspected irregularities. It establishes that the Department of Revenue will not be liable for unauthorized disclosures by municipalities or their agents. Furthermore, the bill enforces a privacy policy overseen by the Attorney General, ensuring compliance with existing laws on taxpayer information while allowing for the collection of anonymous data for governmental purposes. A significant update is indicated by the repeal of the original section 77-2711, reflecting a shift in the management of taxpayer confidentiality in line with the new privacy policy.

Statutes affected:
Introduced: 77-2711