Under current statute, the Department of Revenue has limited authority to compromise tax claims outside of the formal appeal process or to extend deadlines for taxpayer filings for good cause. Additionally, current tax appeal procedures may be cumbersome for inexperienced taxpayers to navigate, which may dissuade them from pursuing relief that they are entitled to. I am proposing changes to our current tax procedures to add more clarity and flexibility and make it easier for taxpayers and small businesses to receive relief.
 
My legislation amends Act 2 of 1971 (Tax Reform Code of 1971) to grant the Department of Revenue broader authority to compromise claims and adjust assessments outside of the formal appeal process, extend deadlines for taxpayers to file petitions for refunds, and require the Department to provide additional information in notices of assessment and notices of adjustment. These procedures will benefit individuals and small businesses who are more likely to be unfamiliar with tax appeal procedures and, through their expanded authority, allow the Department to be flexible with taxpayers involved in extenuating circumstances. Additionally, these changes will help the Department provide relief in cases where it may be denied due to a constituent missing a technical deadline and allow the Department to better consider all factors of the case in question.
 
Please consider joining me in making these important updates to our state tax procedures.
 

Statutes/Laws affected:
Printer's No. 0894: P.L.6, No.2