§ 44-19-43. Managed audit program.
(a) The tax administrator may, in a written agreement with a taxpayer, authorize a taxpayer to conduct a managed audit pursuant to this section. The agreement shall specify the period to be audited and the procedure to be followed, and shall be signed by an authorized representative of the tax administrator and the taxpayer.
(b) For purposes of this section, the term “managed audit” means a review and analysis of invoices, checks, accounting records, or other documents or information to determine the correct amount of tax. A managed audit may include, but is not required to include, the following categories of liability under this Chapter, including tax on:
(i) Sales of one or more types of taxable items.
(ii) Purchases of assets.
(iii) Purchases of expense items.
(iv) Purchases under a direct payment permit.
(v) Any other category specified in an agreement authorized by this section. It shall be in the tax administrator’s sole discretion as to which categories of liability shall be included in any managed audit.
(c) The decision to authorize a managed audit rests solely with the tax administrator. In determining whether to authorize a managed audit, the tax administrator may consider, in addition to other facts the tax administrator may consider relevant, any of the following:
(i) The taxpayer’s history of tax compliance.
(ii) The amount of time and resources the taxpayer has available to dedicate to the managed audit.
(iii) The extent and availability of the taxpayer’s records.
(iv) The taxpayer’s ability to pay any expected liability.
(d) The tax administrator may examine records and perform reviews that (s)he determines are necessary before the managed audit is finalized to verify the results of the managed audit. Unless the managed audit or information reviewed by the tax administrator discloses fraud or willful evasion of the tax, the tax administrator may not assess a penalty and may waive all or a part of the interest that would otherwise accrue on any amount identified as due in a managed audit. This subsection (d) does not apply to any amount collected by the taxpayer that was a tax or represented to be a tax that was not remitted to the state.
History of Section.P.L. 2015, ch. 141, art. 11, § 9.
Structure Rhode Island General Laws
Chapter 44-19 - Sales and Use Taxes — Enforcement and Collection
Section 44-19-2. - Issuance of permit — Assignment prohibited — Display.
Section 44-19-3. - Temporary permits.
Section 44-19-4. - Return of permit on cessation of business — Cancellation.
Section 44-19-5. - Suspension or revocation of permit — New permit.
Section 44-19-5.1. - Injunctive relief — Jurisdiction of court.
Section 44-19-6. - Penalty for business without permit.
Section 44-19-7. - Registration of retailers.
Section 44-19-8. - Separate listing of tax in price.
Section 44-19-9. - Advertisement as to assumption of tax by retailer.
Section 44-19-10. - Monthly returns and payments — Monthly reports by show promoters.
Section 44-19-10.1. - Prepayment of sales tax on cigarettes.
Section 44-19-10.2. - Floor stock tax on inventory.
Section 44-19-10.3. - Electronic filing of sales tax returns.
Section 44-19-11. - Deficiency determinations — Interest.
Section 44-19-12. - Pecuniary penalties for deficiencies.
Section 44-19-13. - Notice of determination.
Section 44-19-14. - Determination without return — Interest and penalties.
Section 44-19-15. - Jeopardy determinations.
Section 44-19-15.2. - Flea markets.
Section 44-19-16. - Finality of determination — Time payment due.
Section 44-19-17. - Hearing by administrator on application.
Section 44-19-19. - Judgment on review.
Section 44-19-20. - Interest and penalties on delinquent payments.
Section 44-19-20.1. - Interest on overpayments.
Section 44-19-21. - Taxes as debt to state — Lien on real estate.
Section 44-19-22. - Notice of transfer of business — Taxes due immediately.
Section 44-19-23. - Collection powers — Surety bond to pay.
Section 44-19-24. - Disposition of proceeds.
Section 44-19-25. - Claims for refund — Hearing — Judicial review.
Section 44-19-26. - Payment of refunds.
Section 44-19-27.1. - Examination of taxpayer’s records — Witnesses.
Section 44-19-27.2. - Power to summon witnesses and evidence.
Section 44-19-27.3. - Service of summons.
Section 44-19-27.4. - Enforcement of summons.
Section 44-19-28. - Reports required as to use tax.
Section 44-19-29. - Access to records of state agencies.
Section 44-19-30. - Information confidential — Types of disclosure authorized.
Section 44-19-30.1. - Waiver of confidentiality.
Section 44-19-31. - Penalty for violations generally.
Section 44-19-32. - Deposit in mail as sufficient notice.
Section 44-19-33. - Rules and regulations — Forms.
Section 44-19-35. - Tax collection as property held in trust for the state.
Section 44-19-36. - Notice to segregate trust funds.
Section 44-19-37. - Penalty for misappropriation.
Section 44-19-38. - Remedy not exclusive.
Section 44-19-39. - Exclusion of certain small sales.
Section 44-19-40. - Disposition of revenue.
Section 44-19-41. - Materialperson — Definitions and applicability.
Section 44-19-42. - Suppression of sales — Definitions and applicability.