OAR 150-305-0290
Concurrent Appeals

(1)

Applicability of ORS 305.305 (Procedure where deficiency based on federal or other state audit report).

(a)

Any reference in this rule to the appeal provisions in ORS 305.305 (Procedure where deficiency based on federal or other state audit report) refers to deficiencies of Oregon tax based on:

(A)

A federal revenue agent’s report; or

(B)

The audit report of another state’s taxing authority.

(b)

The appeal provisions in ORS 305.305 (Procedure where deficiency based on federal or other state audit report) apply to and constitute the exclusive remedy for appealing an Oregon tax deficiency based on adjustments contained in a federal revenue agent’s report or the audit report of another state that also asserts a deficiency. These provisions do not apply to a taxpayer when adjustments contained in the federal revenue agent’s report or the audit report of another state result in:

(A)

A refund of federal or other state’s tax; or

(B)

No change in federal tax liability or the tax liability to the other state. See ORS 314.380 (Furnishing copy of federal or other state return or report) and corresponding administrative rules for procedures to claim a refund based upon a federal adjustment or adjustment of another state.

(c)

The appeal provisions in ORS 305.305 (Procedure where deficiency based on federal or other state audit report) apply to and constitute the exclusive remedy of a taxpayer who timely appeals a federal adjustment or the adjustment of another state. These provisions do not apply to a taxpayer who, by choice or default, does not file a timely appeal.

(d)

The appeal provisions in ORS 305.305 (Procedure where deficiency based on federal or other state audit report) are the exclusive remedy of a taxpayer who appeals a department billing based on a federal or other state audit adjustment that:

(A)

Asserts a deficiency, and

(B)

Is timely appealed at the federal level or the other state level by the taxpayer.
Example 1: Taxpayer is audited by IRS and receives a federal revenue agent’s report showing tax due, interest and a penalty for substantial understatement of income. Taxpayer agrees with the tax and interest due but appeals the penalty. Oregon does not automatically impose the same penalties as federal but may assert the penalty for substantial understatement of income under ORS 314.402 (Understatement of net tax). The Oregon deficiency does not include the federal penalty for substantial understatement of income. Since the Oregon deficiency is not asserted based on an adjustment timely appealed by the taxpayer for federal purposes, the appeal provisions of ORS 305.305 (Procedure where deficiency based on federal or other state audit report) do not apply. The taxpayer must follow the appeal procedures in ORS 305.265 (Deficiency notice).
Example 2: Taxpayer is audited by IRS and receives a federal revenue agent’s report showing two adjustments to income—an increase to interest income from U.S. government obligations and a decrease to the charitable contributions deduction. Taxpayer agrees with the adjustment to charitable contributions but appeals the adjustment to interest income. The notice of deficiency issued by the department will contain only the adjustment to charitable contributions since under ORS 316.680 (Modification of taxable income) interest from U.S. government obligations is not taxable. Since the Oregon deficiency is not asserted based on an adjustment timely appealed by the taxpayer at the federal level, the appeal provisions of ORS 305.305 (Procedure where deficiency based on federal or other state audit report) do not apply. The taxpayer must follow the appeal procedures in ORS 305.265 (Deficiency notice).

(e)

The taxpayer may not elect to follow other appeal procedures in ORS Ch. 305 instead of those described above.

(2)

Oregon Deficiency based on Federal Report or Audit Report of Another State.

(a)

The appeal provisions in ORS 305.305 (Procedure where deficiency based on federal or other state audit report) apply only to an Oregon deficiency based upon a federal revenue agent’s report or the audit report of another state. A deficiency is based on such a report if it refers to the federal report or the report of the other state for its authority or justification. An Oregon deficiency which does not refer to the federal report or the report of the other state in this way is not based on the federal or other state’s audit report, even if both the Oregon and federal or other state adjustments are based on the same tax items.

(b)

If the Oregon deficiency results from adjustments that are based both on a federal or other state adjustment, and adjustments independently determined by the department, the department will allow the taxpayer to follow the appeal procedures in ORS 305.265 (Deficiency notice) in appealing the deficiency based on the independently determined adjustments.

(3)

Method of Department Assessment. As used in ORS 305.305 (Procedure where deficiency based on federal or other state audit report), the phrase “department assesses the deficiency” includes assessments initiated by full payment of the Oregon deficiency under ORS 305.265 (Deficiency notice)(14).

(4)

IRS Settlement. In some cases, the IRS may reach a settlement agreement with a taxpayer during the federal appeal process. If this occurs, the department is not required to accept a settlement agreement also. The department may still resolve the appeal case based on its merits.

(5)

Proof of IRS Appeal and Assessment.

(a)

Proof of IRS Appeal. Proof of a timely request for a federal appeal may be demonstrated by:

(A)

Submission of a copy of the IRS letter notifying the taxpayer of the time allowed for administrative appeal, together with a copy of the taxpayer’s written request for appeal and the IRS acknowledgment, or

(B)

If the correspondence in (A) is unavailable, submission of any other materials that demonstrate that a timely filed appeal is pending before the IRS or a federal court.

(b)

Proof of IRS Assessment. Proof of an IRS assessment may be demonstrated by:

(A)

Submission of a copy of the IRS 10-day letter; or

(B)

If the billing described in (A) is unavailable, submission of any other materials that demonstrate that the federal adjustment is final and can no longer be appealed.

(6)

A taxpayer must notify the department within 30 days after the taxpayer’s federal appeal has been resolved. The department will review the issues in the appeal and issue a refund, a notice of denial of a refund, or a notice of additional amounts due. A taxpayer that disagrees with a decision issued before October 6, 2001, must file an appeal with the Magistrate Division of the Oregon Tax Court within 60 days of the department’s decision. A taxpayer that disagrees with a decision issued on or after October 6, 2001, must file an appeal with the Magistrate Division of the Oregon Tax Court within 90 days of the department’s decision.

Source: Rule 150-305-0290 — Concurrent Appeals, https://secure.­sos.­state.­or.­us/oard/view.­action?ruleNumber=150-305-0290.

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 150-305-0290’s source at or​.us