69. Petition to administrator.--(a) General.--The form of a petition to the administrator, and further proceedings before the administrator in any case initiated by the filing of a petition, shall be governed by such rules as the administrator shall prescribe. No petition shall be denied in whole or in part without opportunity for a hearing on reasonable prior notice. Such hearing shall be conducted by the administrator, or by a hearing officer designated by the administrator to take evidence and report to the administrator. The administrator shall decide the case as quickly as practicable. Notice of the decision shall be mailed promptly to the taxpayer by certified or registered mail at his last known address, and such notice shall set forth the administrator's findings of fact and a brief statement of the grounds of decision in each case decided in whole or in part adversely to the taxpayer.
(b) Petition for redetermination of a deficiency.--Within ninety days, or one hundred fifty days if the notice is addressed to a person outside of the United States, after the mailing of the notice of deficiency authorized by section sixty-one, the taxpayer may file a petition with the administrator for a redetermination of the deficiency. Such petition may also assert a claim for refund for the same taxable year or years, subject to the limitations of subdivision (g) of section sixty-seven.
(c) Petition for refund.--A taxpayer may file a petition with the administrator for the amounts asserted in a claim for refund if--
(1) the taxpayer has filed a timely claim for refund with the administrator,
(2) the taxpayer has not previously filed with the administrator a timely petition under subdivision (b) for the same taxable year unless the petition under this subdivision relates to a separate claim for credit or refund properly filed under subdivision (f) of section sixty-seven, and
(3) either (A) six months have expired since the claim was filed, or (B) the administrator has mailed to the taxpayer, by registered or certified mail, a notice of disallowance of such claim in whole or in part. No petition under this subdivision shall be filed more than two years after the date of mailing of a notice of disallowance, unless prior to the expiration of such two-year period it has been extended by written agreement between the taxpayer and the administrator. If a taxpayer files a written waiver of the requirement that he be mailed a notice of disallowance, the two year period prescribed by this subdivision for filing a petition for refund shall begin on the date such waiver is filed.
(d) Assertion of deficiency after filing petition.--(1) Petition for redetermination of deficiency.--If a taxpayer files with the administrator a petition for redetermination of a deficiency, the administrator shall have power to determine a greater deficiency then asserted in the notice of deficiency and to determine if there should be assessed any addition to tax or penalty provided in section sixty-five, if claim therefor is asserted at or before the hearing under the rules of the administrator.
(2) Petition for refund.--If the taxpayer files with the administrator a petition for credit or refund for a taxable year, the administrator may
(A) determine a deficiency for such year as to any amount of deficiency asserted at or before the hearing under rules of the administrator, and within the period in which an assessment would be timely under section sixty-three, or
(B) deny so much of the amount for which credit or refund is sought in the petition, as is offset by other issues pertaining to the same taxable year which are asserted at or before the hearing under rules of the administrator.
(3) Opportunity to respond.--A taxpayer shall be given a reasonable opportunity to respond to any matters asserted by the administrator under this subdivision.
(4) Restriction on further notices of deficiency.--If the taxpayer files a petition with the administrator under this section, no notice of deficiency under section sixty-one may thereafter be issued by the administrator for the same taxable year, except in case of fraud or with respect to a change or correction in federal taxable income required to be reported under section thirty-nine.
(e) Burden of proof.--In any case before the administrator under this local law, the burden of proof shall be upon the petitioner except for the following issues, as to which the burden of proof shall be upon the administrator:
(1) whether the petitioner has been guilty of fraud with intent to evade tax;
(2) whether the petitioner is liable as the transferee of property of a taxpayer, but not to show that the taxpayer was liable for the tax; and
(3) whether the petitioner is liable for any increase in a deficiency where such increase is asserted initially after a notice of deficiency was mailed and a petition under this section filed, unless such increase in deficiency is the result of a change or correction of federal taxable income required to be reported under section thirty-nine, and of which change or correction the administrator had no notice at the time it mailed the notice of deficiency.
(f) Evidence of related federal determination.--Evidence of a federal determination relating to issues raised in a case before the administrator under this section shall be admissible, under rules established by the administrator.
(g) Jurisdiction over other years.--The administrator shall consider such facts with relation to the taxes for other years as may be necessary correctly to determine the tax for the taxable year, but in so doing shall have no jurisdiction to determine whether or not the tax for any other year has been overpaid or underpaid.
Last modified: February 3, 2019