Tax Type
Corporation Income Tax
Description
Correction of assessment; Burden of proof
Topic
Collection of Tax
Date Issued
12-20-1991
December 20, 1991
Re: §58.1-1821 Application; Corporation Income Tax
Dear*****************
This will reply to your letter of December 21, 1990, in which you seek correction of assessments of corporation income tax for***************(the "Taxpayer"). You seek to correct numerous adjustments, in some cases based on information provided with your letter that was not available to the auditor. In addition, necessary documentation was not furnished to substantiate many of the errors alleged in your letter.
Accordingly, I am referring your additional information to the Interstate Audit Supervisor for review and such further investigation of the facts as may be necessary. In an administrative application under Va. Code §58.1-1821, as in an application to court, the taxpayer has the burden of proving that an assessment is erroneous by showing what the correct assessment should be. This burden cannot be met if necessary documentation and supporting detail is not furnished. If the Interstate Audit Supervisor is satisfied that the information you have furnished is sufficiently detailed and reconciles to information actually reported on the federal return, he will make the appropriate adjustments to the audit report and assessment. If, after he has completed his review, you believe the assessment is still erroneous, you may reapply to me for correction under Va. Code §58.1-1821.
Sincerely,
W. H. Forst
Tax Commissioner
TPD/484OF
Rulings of the Tax Commissioner