Opinion ID: 2710725
Heading Depth: 2
Heading Rank: 1

Heading: fradco, inc.

Text: In October 2004, Fradco retained the services of a certified public accountant (CPA) to handle its accounting and tax matters. On October 19, 2004, Fradco’s resident agent executed a power of attorney authorization and provided copies thereof to respondent department, directing the department to provide the CPA “[a]ll [department] billings and payment notices” and allowing the CPA to “receive information and represent me (Fradco) in all [department] tax matters.” The power of attorney remained in effect at all times relevant to this case. In May 2008, the department completed a sales tax audit of Fradco and disallowed a food deduction. Fradco’s CPA appealed the audit determination at an informal conference,4 and provided the power of attorney authorization to the hearing referee. The department issued a preliminary decision and order of determination dated January 22, 2009, a copy of which was mailed to Fradco’s CPA. The final assessment was dated September 17, 2009 and sent only to Fradco’s place of business via certified mail. On April 19, 2010, Fradco’s representative inquired about the final assessment. The representative was informed by letter dated April 21, 2010, that “a Final Assessment was issued September 17, 2009” and that “[n]o appeal was made with respect to this Final Assessment as provided by statute and the matter is now shown as subject to collection.” This letter did not provide a copy of the assessment. After several requests, 4 See MCL 205.21(2)(b) through (d). 3 Fradco and its CPA received a copy of the final assessment on July 20, 2010, ten months after the date printed on the face of the assessment. Fradco claims that this was the first and only copy received, by it or its representative. Fradco filed its appeal with the Tax Tribunal on July 28, 2010—eight days after its representative received the final assessment. The department moved for summary disposition under MCR 2.116(C)(4), arguing that the Tax Tribunal lacked jurisdiction because the appeal was not filed within 35 days after issuance of the final assessment.