OAR 150-305-0170
Representation of Taxpayers before the Department of Revenue

(1)

Application of ORS 305.230 (Qualifications of persons representing taxpayer). The provisions of ORS 305.230 (Qualifications of persons representing taxpayer) apply to all administrative proceedings before the Department of Revenue. Only those individuals who qualify under ORS 305.230 (Qualifications of persons representing taxpayer) and this rule may represent the taxpayer.

(2)

Individuals Authorized to Represent by Department Rule. The following individuals may represent the taxpayer before the department unless the individual is prohibited from representing the taxpayer by other Oregon law:

(a)

An adult immediate family member of the taxpayer may represent the taxpayer.

(b)

The taxpayer’s registered domestic partner may represent the taxpayer.

(c)

A regular full-time employee of an individual employer may represent the employer.

(d)

A general partner or a regular full-time employee of a partnership may represent the partnership. For general representation rules for partnerships see OAR 150-305-0180 (Designation of Oregon Tax Matters Partner) and 150-305-0182 (Binding Actions of the Tax Matters Partner).

(e)

An officer or a regular full-time employee of a corporation (including a parent, subsidiary, or other affiliated corporation), association, or organized group may represent the corporation, association, or organized group.

(f)

Any shareholder in an S corporation may be designated to represent that S corporation as the tax matters shareholder.

(g)

Any tax matters shareholder or any shareholder of an S corporation may represent another shareholder or group of shareholders of that S corporation in matters related to adjustments of items that flow through from the S corporation to the shareholder’s return.

(h)

Limited Liability Company (LLC) classified as a corporation. A member-manager, a non-member manager, or a regular full-time employee of the LLC may represent the LLC.

(i)

Limited Liability Company classified as a partnership. Any member with management authority may represent the LLC (including a member in a member-managed LLC). Any regular, full-time employee of the LLC may represent the LLC. If the LLC has no members with management authority, then any member may represent the LLC (see ORS 63.130 (Rights of members and managers) and Treas. Reg. § 301.6231(a)(7)-2).

(j)

A regular full-time employee of a trust, receivership, guardianship, or estate may represent the trust, receivership, guardianship, or estate.

(k)

An officer or a regular employee of a governmental unit, agency, or authority may represent the governmental unit, agency, or authority in the course of his or her official duties.

(l)

An individual may represent any individual or entity that is outside the United States before department personnel when such representation takes place outside the United States.

(m)

An individual who prepares and signs a taxpayer’s tax return as the preparer, or who prepares a tax return but is not required (by the instructions to the tax return or by rule) to sign the tax return, may represent the taxpayer during an examination of the tax year or period covered by that tax return. This provision does not permit such individuals to represent taxpayers, regardless of the circumstances, before conference officers, revenue agents, legal counsel or similar department employees.

(n)

A taxpayer’s authorized agent may represent the taxpayer in proceedings relating to the property tax assessment of designated utilities and companies by the Oregon Department of Revenue under ORS 308.505 (Definitions for ORS 308.505 to 308.674) through 308.665 (Railroad car exemption) and 308.805 (Mutual and cooperative electric distribution systems subject to tax on gross earnings) through 308.820 (Tax as a lien). For purposes of this rule, an “authorized agent” means a person who is authorized by a company assessed under ORS 308.505 (Definitions for ORS 308.505 to 308.674) to 308.665 (Railroad car exemption) and 308.805 (Mutual and cooperative electric distribution systems subject to tax on gross earnings) to 308.820 (Tax as a lien) to transact all business related to the filing or processing of an annual statement filed as required by ORS 308.525 (Contents of statement) or all business related to the filing of a request for a director’s conference under ORS 308.595 (Notice when valuation increased or omitted property placed on tentative assessment roll).

(o)

Persons authorized to represent in an ad valorem property tax conference or proceeding under ORS 305.230 (Qualifications of persons representing taxpayer)(1)(d), any person licensed by the Oregon State Board of Tax Practitioners, and consulting foresters may represent a taxpayer in any proceeding with respect to taxes imposed under ORS Chapter 321 (Timber and Forestland Taxation). For purposes of this rule, “consulting forester” means a person who is engaged by the taxpayer to render expert or professional advice in forest management related matters.

(p)

The director may, subject to restrictions imposed under other Oregon law, authorize an individual who is not otherwise eligible under this rule to represent a taxpayer before the department. The sole fact that an individual does not qualify under another section of this rule is not an adequate reason to request special permission to represent a taxpayer.

(3)

Revocation of Authorization. The department, in its discretion, may revoke the authority to represent a taxpayer granted under section (2) of this rule.

(4)

Representation by a Tax Matters Shareholder.

(a)

A tax matters shareholder may be designated to represent an S corporation before the Department of Revenue in any conference or proceeding with respect to the administration of any tax on or measured by net income.

(b)

An S corporation that elects to designate a tax matters shareholder as its authorized representative in proceedings before the department for issues relating to the S corporation adjustments on a Notice of Deficiency must make the designation as provided in this rule.

(c)

The tax matters shareholder designated for Oregon purposes may be the federal tax matters shareholder or may be another shareholder, and must be a shareholder who is:

(A)

A shareholder in the S corporation at some time during the taxable year to which the Notice of Deficiency pertains; or

(B)

A shareholder in the S corporation at the time the designation is made.

(d)

In order to designate a tax matters shareholder, an S corporation must file a signed statement with the department. The statement must:

(A)

Identify the shareholders making the designation by name, address, and social security number;

(B)

Identify the S corporation and the designated shareholder by name, address, and taxpayer identification number;

(C)

Declare that the statement is a designation of a tax matters shareholder for the taxable year to which the Notice of Deficiency relates; and

(D)

Authorize the tax matters shareholder as a qualified representative under ORS 305.230 (Qualifications of persons representing taxpayer) and identify the taxable year(s) of authorization.

(e)

Only one tax matters shareholder may be designated and authorized to represent the corporation for each examination at the S corporation level which results in a Notice of Deficiency to the corporation.

(f)

If a notice explaining the S corporation adjustments is mailed by the department to the tax matters shareholder with respect to any S corporation taxable year, the tax matters shareholder must supply the department with the name, address, ownership percentage and taxpayer identification number of each person who was a shareholder in the S corporation at any time during the taxable year, unless that information was provided in the S corporation return for that year.

(g)

The tax matters shareholder for Oregon will bind the S corporation with respect to the proceedings between the department and the S corporation whose tax liability is in dispute. When appealing on behalf of the S corporation, the tax matters shareholder may exercise any administrative remedy before the department allowed by Oregon law.

(h)

Other actions of the tax matters shareholder that are binding on the S corporation include, but are not limited to:

(A)

Consent to the extension of the statute of limitations regarding an S corporation return.

(B)

Making a settlement offer to the department.

(C)

Acceptance of a closing agreement with the department.

(D)

Consent to time and place of any appeals proceedings.

(5)

S corporation Shareholder Representation.

(a)

When the treatment of S corporation items on a shareholder’s return is consistent with the treatment of that item on the S corporation return and results in a deficiency, a tax matters shareholder or any shareholder of that S corporation may be designated to represent a shareholder or group of shareholders of that S corporation before the Department of Revenue in any conference or proceeding with respect to the administration of any tax on or measured by net income. All shareholders or groups of shareholders are not required to designate the same representative.

(b)

A shareholder or group of shareholders that elect to designate an authorized representative in proceedings before the department for issues relating to the S corporation adjustments on a Notice of Deficiency must make the designation as provided in this rule.

(c)

If the representative designated for Oregon purposes is a shareholder, the representative may be the tax matters shareholder or another shareholder, and must be a shareholder who is:

(A)

A shareholder in the S corporation at some time during the taxable year to which the Notice of Deficiency pertains; or

(B)

A shareholder in the S corporation at the time the designation is made.

(d)

In order to designate a representative, a shareholder or group of shareholders of an S corporation must file a signed statement with the department. The statement must be signed by each shareholder electing that representative and:

(A)

Identify the name, address, and social security number of each shareholder electing the representative;

(B)

Identify the S corporation and the representative by name, address, and taxpayer identification number;

(C)

Declare that the statement is a designation for the taxable year to which the Notice of Deficiency relates; and

(D)

Authorize the representative as a qualified representative under ORS 305.230 (Qualifications of persons representing taxpayer) and identify the taxable year(s) of authorization. The shareholder or group of shareholders may authorize the representative to represent the shareholders for issues other than S corporation issues that are heard during the same appeal with any S corporation adjustments.

(e)

A shareholder or group of shareholders may not designate more than one representative for an appeal. While different shareholders can designate different representatives, each cannot not have more than one representative.

(f)

If a group of shareholders has the same representative and has filed an appeal requesting a conference for the same S corporation adjustment the appeal will be resolved in a single conference.

(g)

Shareholders who do not designate a representative as provided in this rule may appeal their Notice of Deficiency by following the administrative remedies under ORS 305.265 (Deficiency notice) and the related rules.

(h)

The representative will bind all shareholders who have made the designation under this section to all actions with respect to the proceedings between the department and the shareholder whose tax liability is in dispute. Any shareholder who has designated a representative may participate in any level of the administrative proceedings.
Example: Assume an S corporation with 10 shareholders has been examined and each shareholder receives a Notice of Deficiency. If 8 shareholders designate the same representative, their appeal will be heard collectively. If the representative requests a conference, the conference decision will apply to all 8 shareholders (all 8 shareholders may participate). The other 2 shareholders may appeal their cases individually because they did not make the election to be represented by the same representative.
(i)
Other actions of the representative that are binding on the shareholders who have made the designation include, but are not limited to:

(A)

Consent to the extension of the statute of limitations regarding S corporation items with respect to all electing shareholders.

(B)

Making a settlement offer to the department.

(C)

Acceptance of a closing agreement with the department.

(D)

Consent to time and place of any appeals proceedings.

(6)

Limited Liability Companies. When a limited liability company (LLC) has elected to be classified as a corporation and has made an S corporation election, section (4) applies to the LLC. When applying section (4) to an LLC, LLC members are treated as shareholders.

Source: Rule 150-305-0170 — Representation of Taxpayers before the Department of Revenue, https://secure.­sos.­state.­or.­us/oard/view.­action?ruleNumber=150-305-0170.

150–305–0010
Requirement for Social Security Numbers 150–305–0014
Applicable Dates 150–305–0016
Electronic Filing 150–305–0018
Acceptance of Cash Payments 150–305–0030
Declaratory Rulings 150–305–0040
Public Notification of Delinquent Taxpayers 150–305–0050
Release of Tax Lien and Clouds on Title 150–305–0052
Release of Lien 150–305–0060
How to Appeal When the Department Denies a Request for Waiver of Penalty or Interest 150–305–0062
Discretionary Penalty Waivers for Information Returns 150–305–0064
Accrual of Interest After Waiver 150–305–0066
Discretionary Waiver of Interest 150–305–0068
Discretionary Penalty Waivers 150–305–0070
Interest Waivers Due to COVID-19 Pandemic Emergency 150–305–0080
Closing Agreements 150–305–0085
Financial Institution Data Match 150–305–0090
Settlement Offer 150–305–0092
Suspended Collection Status 150–305–0094
Cancellation of Liabilities Discharged in Bankruptcy 150–305–0100
Subpoena Issued by the Department 150–305–0110
Disclosure of Confidential Information Provided to the Department of Revenue 150–305–0120
Implied Consent 150–305–0130
When Deduction for Amounts Paid as Wages or Remuneration Permitted 150–305–0140
Interest on Deficiencies and Delinquencies 150–305–0142
Interest on Refunds 150–305–0144
Interest Rate Formula Rule 150–305–0150
Defines Order for Purposes of Interest Rate Increase 150–305–0152
Interest Rate Increase — Jurisdictional Only Appeals 150–305–0160
Penalty for Dishonored Checks 150–305–0170
Representation of Taxpayers before the Department of Revenue 150–305–0180
Designation of Oregon Tax Matters Partner 150–305–0182
Binding Actions of the Tax Matters Partner 150–305–0190
Compromise of a Disputed Liability 150–305–0192
Appeals of Interest Charged on the Underpayment of Estimated Tax 150–305–0194
“Deficiency” Defined 150–305–0196
Notices of Deficiency and Assessment Mailed When Authorization to Represent Signed 150–305–0198
Reopening an Audit 150–305–0200
Adjustments Included in Deficiency Notice When Federal Audit Report Received 150–305–0202
Language Used to Request a Conference or File Written Objections 150–305–0204
Conferences: Purpose and Procedure 150–305–0206
Written Objections: Procedures 150–305–0208
Assessing Tax on Failure to File 150–305–0210
Last Known Address 150–305–0212
Interest on Deficiency 150–305–0214
Penalties 150–305–0216
Appeal from a Notice of Deficiency: Periods of Limitation 150–305–0218
Waiver of a Conference or Written Objection 150–305–0230
Claim for Refund 150–305–0232
Notices of Proposed Refund Adjustment Mailed When Authorization to Represent Signed 150–305–0234
Written Objections to a Proposed Refund Adjustment 150–305–0236
Date of Notice 150–305–0238
Audit Period for Refunds Issued without Examination 150–305–0240
Proposed Refund Adjustment 150–305–0260
Relief for Subsequent Tax Years 150–305–0270
Beneficial Ownership 150–305–0272
Cancellation of Doubtful Liabilities 150–305–0274
Refund of Penalty and Interest 150–305–0276
Appeal Time Frame 150–305–0290
Concurrent Appeals 150–305–0300
“Methods of Collection” Defined 150–305–0302
Contracts Requiring Certificate of Compliance with Oregon Tax Laws 150–305–0304
Certificate of Compliance With Oregon Tax Laws 150–305–0306
Circumstances Not in Violation of Oregon Tax Laws 150–305–0308
Annual Certification Requirement 150–305–0320
Mediation 150–305–0330
Appeal Procedures 150–305–0340
Stay of Collection: When Collection Action Won’t Be Stayed 150–305–0350
Offset of State Debt Through U.S. Treasury Offset Program 150–305–0360
Rules Application 150–305–0362
Appearance Procedure — Local Taxes Administered by the Department of Revenue 150–305–0370
Use of Checkoff Resources 150–305–0380
Application and Signature Due Dates 150–305–0390
Certification of Nonprofit Entities for Instruction Listing 150–305–0392
Definitions of the Terms “Affiliated and “Central Office” 150–305–0394
Signatures Must Be on Department’s Form 150–305–0396
Signature Gathering Period 150–305–0410
Charitable Checkoff Financial Reporting Requirements 150–305–0420
Costs of Administration 150–305–0430
Method of Distribution from Check-off Contributions and Reimbursement of Administrative Expenses 150–305–0450
Depositing Refunds into College Savings Account 150–305–0460
Verification of Returns, Statements, or Documents Filed Under Tax Law 150–305–0470
Date When Writing or Remittance Deemed Received by Department of Revenue 150–305–0480
Returns Not Filed for Three Consecutive Years
Last Updated

Jun. 8, 2021

Rule 150-305-0170’s source at or​.us