Source: http://www.boe.ca.gov/lawguides/business/archive/2011/vol3/uftl/uftl-ch7-all.html
Timestamp: 2017-01-25 01:23:11
Document Index: 444964041

Matched Legal Cases: ['art.\n9253', 'art.\n9261', 'art 2', 'art 2', 'art 2', 'art 3']

BTLG archive (rev. 2011) - Use Fuel Tax Law - Chapter 7
Business Taxes Law Guide – Revision 2011 BTLG Table of Contents > Use Fuel Tax Law > Chapter 7 > entire chapter
9251. Duty and authority of board.
9252. Administrative assistants.
9253. Records of users and every person dealing in fuel.
9254. Examination of records by board.
9255. Information confidential; divulging forbidden.
9255.1. Furnishing of information to state and federal agencies.
9255.2. Information confidential; tax preparer.
9256. Cooperation of Motor Vehicle Department.
9257. Certificate of notice.
9258. Notification to Board.
9260. Administration.
9261. Taxpayers' Rights Advocate.
9262. Education and information program.
9263. Annual hearing with taxpayers.
9264. Preparation of statements by board.
9265. Limit on revenue collected or assessed.
9266. Evaluation of employees' contact with taxpayers.
9267. Plan to timely resolve claims and petitions.
9268. Procedures relating to protest hearings.
9269. Reimbursement to taxpayer.
9270. Investigations for nontax administration purposes.
9271. Settlement of disputed tax liabilities. [Repealed.]
9271. Settlement authority.
9272. Release of levy.
9272.1. Return of property.
9273. Exemptions from levy.
9274. Claim for reimbursement of bank charges by taxpayer.
9275. Preliminary notice to taxpayers prior to lien.
9276. Notice preliminary to lien.
9277. Disregard by board employee or officer.
9278. Offers in compromise.
9251. Duty and authority of board. The board shall enforce the provisions of this part and may prescribe, adopt, and enforce rules and regulations relating to the administration and enforcement of this part. The board may prescribe the extent to which any ruling or regulation shall be applied without retroactive effect.
9252. Administrative assistants. The board may employ accountants, auditors, investigators, assistants, and clerks necessary for the efficient administration of this part.
9253. Records of users and every person dealing in fuel. Every user and every person dealing in, transporting, or storing fuel in this State shall keep such records, receipts, invoices, and other pertinent papers with respect thereto in such form as the board may require.
9254. Examination of records by board. The board or its authorized representative may examine the books, papers, records, and equipment of any user or person dealing in, transporting, or storing fuel and may investigate the character of the disposition which the user or person makes of the fuel in order to ascertain whether all excise taxes due under this part are being properly reported and paid.
9255. Information confidential; divulging forbidden. It is unlawful for the board or any person having an administrative duty under this part to make known in any manner whatever the business affairs, operations, or information obtained by an investigation of records and equipment of any user visited or examined in the discharge of official duty, or the amount or source of income, profits, losses, expenditures, or any particular thereof set forth or disclosed in any return, or to permit any return or copy thereof or any book containing any abstract or particulars thereof to be seen or examined by any person except to another government, state agency or federal agency as specified in Section 9255.1. Information respecting the tax due from a user may be furnished, however, to any person owning or having an interest in a motor vehicle subject to the lien of the tax. The Governor may, by general or special order, authorize examination by other state officers, by tax officers of another state, by the federal government, if a reciprocal arrangement exists, or by any other person of the records maintained by the board under this part. The information so obtained pursuant to the order of the Governor shall not be made public except to the extent and in the manner that the order may authorize that it be made public. Successors, receivers, trustees, executors, administrators, assignees, and guarantors, if directly interested, may be given information as to the items included in the measure and amounts of any unpaid tax or amounts of tax required to be collected, interest and penalties.
Any violation of this section is a misdemeanor and is punishable by a fine not exceeding one thousand dollars ($1,000), by imprisonment not exceeding one year, or by both that fine and imprisonment, in the discretion of the court.
History.—Stats. 1947, p. 1848, in effect September 19, 1947, added second sentence. Stats. 1953, p. 3599, in effect September 9, 1953, amended third sentence by deleting "of the reports" after "examination" and adding "of the records maintained by the board under this part"; added the present fourth sentence of first paragraph. Stats. 1957, p. 3775, in effect September 11, 1957, added last sentence to first paragraph. Stats. 1963, p. 1437, in effect September 20, 1963, substituted "return" for "report" in the first sentence. Stats. 1997, Ch. 620 (SB 1102), in effect January 1, 1998, added "except to another . . . in Section 9255.1" after "by any person" in the first sentence of the first paragraph and added "that fine and imprisonment," after "or by both" in the second paragraph.
9255.1. Furnishing of information to state and federal agencies. (a) Upon request from the officials to whom is entrusted the enforcement of the motor fuel tax laws of another government, the board may furnish to those officials any information in the possession of the board that is deemed essential to the enforcement of the motor fuel tax laws. Any information so furnished shall not be used for any purpose other than that for which it was furnished.
History.—Added by Stats. 1997, Ch. 620 (SB 1102), in effect January 1, 1998. Stats. 1998, Ch. 609 (SB 2232), in effect January 1, 1999, added subdivision (c).
9255.2. Information confidential; tax preparer. (a) Except as otherwise provided by law, any person who is engaged in the business of preparing, or providing services in connection with the preparation of, returns under Chapter 4 (commencing with Section 8751), or any person who for compensation prepares any such return for any other person, and who knowingly or recklessly does either of the following, shall be guilty of a misdemeanor, and, upon conviction thereof, shall be fined not more than one thousand dollars ($1,000) or imprisoned no more than one year, or both, together with the costs of prosecution:
9256. Cooperation of Motor Vehicle Department. Before registering any motor vehicle, the Department of Motor Vehicles shall ascertain from the applicant for registration whether or not the motor vehicle sought to be registered is propelled by a fuel the use of which is subject to the excise tax imposed under this part. If the motor vehicle is propelled by the use of such a fuel, the department shall notify the board.
9257. Certificate of notice. A certificate by the board or an employee of the board stating that a notice required by this part was given by mailing or personal service shall be prima facie evidence in any administrative or judicial proceeding of the fact and regularity of the mailing or personal service in accordance with any requirement of this part for the giving of a notice. Unless otherwise specifically required, any notice provided by this part to be mailed or served may be given either by mailing or by personal service in the manner provided for giving notice of a deficiency determination.
9258. Notification to Board. On or after January 1, 1976, any person who equips a vehicle with a system using liquefied petroleum gas, compressed natural gas or liquid natural gas to propel the vehicle, or who transfers any vehicle so equipped shall notify the board within 10 days after so equipping or transferring the vehicle.
History.—Added by Stats. 1975, Ch. 807, operative January 1, 1976.
1 Article 2 was added by Stats. 1992, Ch. 438, in effect January 1, 1993.
9260. Administration. The board shall administer this article. Unless the context indicates otherwise, the provisions of this article shall apply to this part.
9261. Taxpayers' Rights Advocate. (a) The board shall establish the position of the Taxpayers' Rights Advocate. The advocate or his or her designee shall be responsible for facilitating resolution of taxpayer complaints and problems, including any taxpayer complaints regarding unsatisfactory treatment of taxpayers by board employees, and staying actions where taxpayers have suffered or will suffer irreparable loss as the result of those actions. Applicable statutes of limitation shall be tolled during the pendency of a stay. Any penalties and interest that would otherwise accrue shall not be affected by the granting of a stay.
9262. Education and information program. (a) The board shall develop and implement an education and information program directed at, but not limited to, all of the following groups:
9263. Annual hearing with taxpayers. The board shall conduct an annual hearing before the full board where industry representatives and individual taxpayers are allowed to present their proposals on changes to the Use Fuel Tax Law which may further improve voluntary compliance and the relationship between taxpayers and government.
9264. Preparation of statements by board. The board shall prepare and publish brief but comprehensive statements in simple and nontechnical language that explain procedures, remedies, and the rights and obligations of the board and taxpayers. As appropriate, statements shall be provided to taxpayers with the initial notice of audit, the notice of proposed additional taxes, any subsequent notice of tax due, or other substantive notices. Additionally, the board shall include this language for statements in the annual tax information bulletins that are mailed to taxpayers.
9265. Limit on revenue collected or assessed. (a) The total amount of revenue collected or assessed pursuant to this part shall not be used for any of the following:
9266. Evaluation of employee's contact with taxpayers. The board shall develop and implement a program that will evaluate an individual employee's or officer's performance with respect to his or her contact with taxpayers. The development and implementation of the program shall be coordinated with the Taxpayers' Rights Advocate.
9267. Plan to timely resolve claims and petitions. The board shall, in cooperation with the Taxpayers' Rights Advocate, and other interested taxpayer-oriented groups, develop a plan to reduce the time required to resolve petitions for redetermination and claims for refunds. The plan shall include determination of standard timeframes and special review of cases which take more time than the appropriate standard timeframe.
9268. Procedures relating to protest hearings. Procedures of the board, relating to appeals staff review conferences before a staff attorney or supervising tax auditor independent of the assessing department, shall include all of the following:
9269. Reimbursement to taxpayer. (a) Every taxpayer is entitled to be reimbursed for any reasonable fees and expenses related to a hearing before the board if all of the following conditions are met:
History.—Stats. 1995, Ch. 555, in effect January 1, 1996, substituted "board" for "State Board of Control" after "expenses with the" in paragraph (1) of, substituted "decides" for "makes a recommendation to the State Board of Control" after "The board" in paragraph (3) of, and deleted paragraph (4) which read: "The State Board of Control concurs with the recommendation and orders the board to provide reimbursement of fees and expenses to the taxpayer." from, subdivision (a); and added subdivision (d). Stats. 1999, Ch. 929 (AB 1638), in effect January 1, 2000, added "within one year . . . board becomes final" after "with the board" in paragraph (1) of, and substituted "in an amount . . . its sole discretion" for "which shall be determined by the board" after "to the hearing" in paragraph (3) of subdivision (a), substituted "board staff has . . . substantially justified" for "taxpayer has established that the position of the board staff was not substantially justified" after "consider whether the" in subdivision (b), and added subdivision (e). Stats. 2000, Ch. 1052 (AB 2898), in effect January 1, 2001, substituted "the notice of determination, jeopardy determination, or claim" for "filing petitions for redetermination and claims" after "incurred after the date" in subdivision (c) paragraph (1).
9270. Investigations for nontax administration purposes. (a) An officer or employee of the board acting in connection with any law administered by the board shall not knowingly authorize, require, or conduct any investigation of, or surveillance over, any person for nontax administration related purposes.
(d) This section is not intended to prohibit, restrict, or prevent the exchange of information if the person is being investigated for multiple violations that include use fuel tax violations.
History.— Stats. 2006, Ch. 538 (SB 1852), in effect January 1, 2007, substituted "any" for "and" after "or surveillance over," in subdivision (a); and substituted "This" for "The provisions of this" before "section is not intended", substituted "is" for "are" after "This section", substituted "if" for "where" after "exchange of information", and substituted "that" for "which" after "multiple violations" in subdivision (d).
9271. Settlement of disputed tax liabilities. [Repealed by Stats. 1995, Ch. 497, in effect January 1, 1996.]
9271. Settlement authority. (a) It is the intent of the Legislature that the State Board of Equalization, its staff, and the Attorney General pursue settlements as authorized under this section with respect to civil tax matters in dispute that are the subject of protests, appeals, or refund claims, consistent with a reasonable evaluation of the costs and risks associated with litigation of these matters.
(g) Any proceedings undertaken by the board itself pursuant to a settlement as described in this section shall be conducted in a closed session or sessions. Except as provided in subdivision (c), any settlement considered or entered into pursuant to this section shall constitute confidential tax information for purposes of Section 9255.
History.—Stats. 1995, Ch. 497, in effect January 1, 1996. Stats. 2003, Ch. 605 (SB 1060), effective January 1, 2004, added ",for at least one year," after "there shall be placed on file" in the first sentence of subdivision (c). Stats. 2006, Ch. 364 (AB 3076), in effect January 1, 2007, substituted "Except as provided in paragraph (3) and subject" for "Subject" before "to paragraph (2)" in paragraph (1) of, added ",itself," after "submitted to the board" in the first and third sentences of paragraph (2) of, and added paragraph (3) to subdivision (b); added ", or penalties, or total tax and penalties" after "a reduction of tax" in the first paragraph of and substituted "For any settlement approved by the board, itself, the" for "The" before "Attorney General's conclusion" in the first sentence of paragraph (5) of subdivision (c); added ",itself," after "disapproved by the board" in the second sentence of subdivision (e)(1); and added "considered or" after "any settlement" in the second sentence of subdivision (g).
9272. Release of levy. (a) The board shall release any levy or notice to withhold issued pursuant to this part on any property in the event that the expense of the sale process exceeds the liability for which the levy is made.
(b) The Taxpayers' Rights Advocate may order the release of any levy or notice to withhold issued pursuant to this part or, within 90 days from the receipt of funds pursuant to a levy or notice to withhold, order the return of any amount up to one thousand five hundred dollars ($1,500) of moneys received, upon his or her finding that the levy or notice to withhold threatens the health or welfare of the taxpayer of his or her spouse and dependents or family.
History.—Stats. 1993, Ch. 589 in effect January 1, 1994, added "of Division 2" before "of Title 9" and added "of Part 2" before "of the Code" to subdivision (b). Stats. 1995, Ch. 555, in effect January 1, 1996, substituted "that the" for "of any of the following: (1) The" after "in the event" in subdivision (a); substituted subdivision letter "(b)" for paragraph number "(2)" and substituted "may order the release of any" for "orders the release of the" after "Taxpayers' Rights Advocate" in, and added "issued pursuant to . . . of moneys received," after "notice to withhold" in, subdivision (b); and relettered former subdivisions (b) and (c) as (c) and (d), respectively.
9272.1. Return of property. (a) Except in any case where the board finds collection of the tax to be in jeopardy, if any property has been levied upon, the property or the proceeds from the sale of the property shall be returned to the taxpayer if the board determines any one of the following:
(2) The taxpayer has entered into and is in compliance with an installment payment agreement pursuant to Section 9033 to satisfy the tax liability for which the levy was imposed, unless that or another agreement allows for the levy.
(b) Property returned under paragraphs (1) and (2) of subdivision (a) is subject to the provisions of Section 9274.
9273. Exemptions from levy. Exemptions from levy under Chapter 4 (commencing with Section 703.010) of Division 2 of Title 9 of Part 2 of the Code of Civil Procedure shall be adjusted for purposes of enforcing the collection of debts under this part to reflect changes in the California Consumer Price Index whenever the change is more than 5 percent higher than any previous adjustment.
History.—Stats. 1993, Ch. 589, in effect January 1, 1994, added "of Divsion 2" before "of Title 9" and added "of Part 2" before "of the Code".
9274. Claim for reimbursement of bank charges bytaxpayer. (a) A taxpayer may file a claim with the board for reimbursement of bank charges and any other reasonable third-party check charge fees incurred by the taxpayer as the direct result of an erroneous levy or notice to withhold by the board. Bank and third-party charges include a financial institution's or third party's customary charge for complying with the levy or notice to withhold instructions and reasonable charges for overdrafts that are a direct consequence of the erroneous levy or notice to withhold. The charges are those paid by the taxpayer and not waived for reimbursement by the financial institution or third party. Each claimant applying for reimbursement shall file a claim with the board that shall be in a form as may be prescribed by the board. In order for the board to grant a claim, the board shall determine that both of the following conditions have been satisfied:
History.— Stats. 2001, Ch. 543 (SB 1185), in effect January 1, 2002, added "and any other reasonable third-party check charge fees" after "reimbursement of bank charges" in the first sentence of, added "and third party" after "Bank"and added "or third party's" after "financial institution's" in the second sentence of, and added "or third party" after "financial institution" in the third sentence of, subdivision (a).
9275. Preliminary notice to taxpayers prior to lien. (a) At least 30 days prior to the filing or recording of liens under Chapter 14 (commencing with Section 7150) or Chapter 14.5 (commencing with Section 7220) of Division 7 of Title 1 of the Government Code, the board shall mail to the taxpayer a preliminary notice. The notice shall specify the statutory authority of the board for filing or recording the lien, indicate the earliest date on which the lien may be filed or recorded, and state the remedies available to the taxpayer to prevent the filing or recording of the lien. In the event tax liens are filed for the same liability in multiple counties, only one preliminary notice shall be sent.
(b) The preliminary notice required by this section shall not apply to jeopardy determinations issued under Article 4 (commencing with Section 8826) of Chapter 4.
9276. Notice preliminary to lien. For the purposes of this part only, the board shall not revoke or suspend a person's permit pursuant to Section 8704 or 8714 unless the board has mailed a notice preliminary to revocation or suspension that indicates that the taxpayer will be suspended by a date certain pursuant to that section. The notice preliminary to suspension shall be mailed to the taxpayer at least 60 days before the date certain.
History.—Stats 1993, Ch. 589, in effect January 1, 1994, substituted "permit" for "license" after "a person's" in the first sentence.
9277. Disregard by board employee or officer. (a) If any officer or employee of the board recklessly disregards board-published procedures, a taxpayer aggrieved by that action or omission may bring an action for damages against the State of California in superior court.
(i) The reasonable expenses of expert witnesses in connection with the civil proceeding , except that no expert witness shall be compensated at a rate in excess of the highest rate of compensation for expert witnesses paid by the State of California.
(ii) The reasonable cost of any study, analysis , engineering report, test, or project that is found by the court to be necessary for the preparation of the party's case.
9278. Offers in compromise. (a) (1) Beginning January 1, 2003, the executive director and chief counsel of the board, or their delegates, may compromise any final tax liability in which the reduction of tax is seven thousand five hundred dollars ($7,500) or less.
(b) For purposes of this section, "a final tax liability" means any final tax liability arising under Part 3 (commencing with Section 8601), or related interest, additions to tax, penalties, or other amounts assessed under this part.
(2) Notwithstanding paragraph (1), a qualified final tax liability may be compromised regardless of whether the business has been discontinued or transferred or whether the taxpayer has a controlling interest or association with a similar type of business as the transferred or discontinued business. All other provisions of this section that apply to a final tax liability shall also apply to a qualified final tax liability, and no compromise shall be made under this subdivision unless all other requirements of this section are met. For purposes of this subdivision, a "qualified final tax liability" means either of the following:
History.—Added by Stats. 2002, Ch. 152 (AB 1458), in effect January 1, 2003. Stats. 2006, Ch. 347 (AB 2367), in effect January 1, 2007, substituted "in the state prison" for "not more than three years" after "fifty thousand dollars ($50,000) or imprisoned" in the first paragraph of subdivision (j). Stats. 2008, Ch. 222 (AB 2047), in effect January 1, 2009, redesignated former subdivision (c) to be subdivision (c)(1); added paragraphs (2) and (3) to subdivision (c); added subdivisions (d)–(g); redesignated former subdivisions (d)–(k) to be (h)–(o); substituted "at" for "a" after "placed on file for" in the first sentence of subdivision (l); added a comma after "book, document, or record" in subdivision (m)(1)(B); and added subdivision (p).
(n) Any person who, in connection with any offer or compromise under this section, or offer of that compromise to enter into that agreement, willfully does either of the following shall be guilty of a felony and, upon conviction, shall be fined not more than fifty thousand dollars ($50,000) or imprisonedpursuant to subdivision (h) of Section 1170 of the Penal Code, or both, together with the costs of investigation and prosecution:
History.—Added by Stats. 2002, Ch. 152 (AB 1458), in effect January 1, 2003. Stats. 2006, Ch. 347 (AB 2367), in effect January 1, 2007, substituted "in the state prison" for "not more than three years" after "fifty thousand dollars ($50,000) or imprisoned" in the first paragraph of subdivision (j). Stats. 2008, Ch. 222 (AB 2047), in effect January 1, 2009, redesignated former subdivision (c) to be subdivision (c)(1); added paragraphs (2) and (3) to subdivision (c); added subdivisions (d)–(g); redesignated former subdivisions (d)–(k) to be (h)–(o); substituted "at" for "a" after "placed on file for" in the first sentence of subdivision (l); added a comma after "book, document, or record" in subdivision (m)(1)(B); and added subdivision (p). Stats. 2011, Ch. 15 (AB 109), in effect April 4, 2011, operative October 1, 2011, substituted "pursuant to subdivision (h) of Section 1170 of the Penal Code" for "in the state prison" after "($50,000) or imprisoned" in subdivision (n).
9278. Offers in compromise. (a) (1) The executive director and chief counsel of the board, or their delegates, may compromise any final tax liability in which the reduction of tax is seven thousand five hundred dollars ($7,500) or less.
(4) A summary of the reason why the compromise is in the best interest of the state. The public record shall not include any information that relates to any trade secrets, patent, process, style of work, apparatus, business secret, or organizational structure, that if disclosed, would adversely affect the taxpayer or violate the confidentiality provisions of Section 9255. No list shall be prepared and no releases distributed by the board in connection with these statements.
(j) Any person who, in connection with any offer or compromise under this section, or offer of that compromise to enter into that agreement, willfully does either of the following shall be guilty of a felony and, upon conviction, shall be fined not more than fifty thousand dollars ($50,000) or imprisoned pursuant to subdivision (h) of Section 1170 of the Penal Code, or both, together with the costs of investigation and prosecution:
History.—Added by Stats. 2008, Ch. 222 (AB 2047), in effect January 1, 2009, operative January 1, 2013. Stats. 2011, Ch. 15 (AB 109), in effect April 4, 2011, operative October 1, 2011, substituted "pursuant to subdivision (h) of Section 1170 of the Penal Code" for "in the state prison" after "($50,000) or imprisoned" in subdivision (j).
(6) Recommendations for any law changes needed to accomplish the goals described in paragraph (8) of subdivision (b) History.—Added by Sec. 40, Stats. 1986, Ch. 1361, effective January 1, 1987.