An Act To Reform Maine Revenue Services Procedures
Sec. 1. 36 MRSA §112, sub-§1, as repealed and replaced by PL 1999, c. 127, Pt. A, §47, is amended to read:
Sec. 2. 36 MRSA §112, sub-§4, as amended by PL 2003, c. 668, §7 and affected by §12, is further amended to read:
Except in the case of a criminal investigation, the assessor shall notify a taxpayer that is the subject of an audit under this section as soon as an audit has been initiated. The notice must state the reason for the audit, the rights of the taxpayer and the potential impact on the taxpayer of the audit. The assessor or any employee conducting an audit under this section shall record all conversations with the taxpayer during the course of the audit and preserve those recordings until the conclusion of all enforcement proceedings and appeals.
At the conclusion of an audit, the assessor or an agent shall conduct an audit conference with the taxpayer and shall give the taxpayer a written summary of the audit findings, including the legal basis for the audit findings and adjustments, along with copies of relevant bureau audit workpapers.
summary
This bill requires the Department of Administrative and Financial Services, Bureau of Revenue Services, prior to implementing a change in policy or practice or in interpretation of any law, rule or bulletin that will result in additional revenue to the State, to notify the joint standing committee of the Legislature having jurisdiction over taxation matters and to implement the change through major substantive rulemaking, which is subject to review by the Legislature.
The bill also requires the State Tax Assessor to notify a taxpayer when an audit has been initiated and to record and to preserve all conversations with the taxpayer during the course of the audit.