Tax Type
Corporation Income Tax
General Provisions
Description
Assessment statute of limitations
Topic
Statute of Limitations
Date Issued
10-26-1988
October 26, 1988
Re: §58.1-1821 Application; Corporation Income Tax
§58.1-1820 Definition of Assessment
Dear****************
This is in response to your letter of August 16, 1988, in which you applied for correction of an assessment of corporation income tax.
Facts
The period for assessing income tax for the taxable year 1984 expired on April 15, 1988. In the course of scheduling a field audit for 1984 the taxpayer was requested to execute a waiver extending the period for assessing tax. Because the waiver was not timely executed and returned, the department estimated the tax liability pursuant to §58.1-111 and mailed a written notice of assessment on April 13, 1988. However, the assessment was not mailed to the correct address as shown on the return and other correspondence. It appears that the taxpayer did not receive the Notice of Assessment mailed on April 13, 1988, but did receive a second notice mailed on June 27, 1988.
Determination
Under §58.1-1820, an assessment is deemed made when a written notice of assessment is delivered to the taxpayer by an employee of the Department of Taxation, or mailed to the taxpayer at his last known address. Since the notice of assessment was not mailed to the last known address of the taxpayer before April 15, 1988, the period for making assessments under §58.1-104 has expired. Accordingly, the assessment will be abated.
Sincerely,
W. H. Forst
Tax Commissioner
Rulings of the Tax Commissioner