Rule 5Tax Appeals5-101Applicability(a) This rule applies in all administrative adjudications conducted by the Commission and describes the process by which the Commission hears appeal petitions challenging decisions of the Department within the jurisdiction of the Commission.(b) The Commission may determine the parties' compliance with this rule.(c) Unless a statute or rule expressly precludes it, the presiding Commissioner may waive application of these rules if, in the Commissioner's discretion, fairness requires.5-102Assignment of Cases(a) Once a Petition is filed with the Commission, the Chief Commissioner or staff of the Commission at the Chief Commissioner's direction shall designate a Presiding Commissioner and assign the case to one Commissioner or to all available Commissioners sitting en banc, depending on the nature and significance of the case.(b) It is presumed that: (1) A controversy involving twenty-five thousand dollars ($25,000) or less, exclusive of interest and penalties, should be assigned to one Commissioner;(2) A controversy involving an expedited case under § 5-204 should be assigned to one Commissioner; and(3) A controversy involving over two hundred fifty thousand dollars ($250,000), exclusive of interest and penalties, should be assigned to all Commissioners sitting en banc.(c) The Chief Commissioner may reassign a case.(d) A party may request en banc consideration by filing a motion under § 5-301. Such motion shall be decided by the Chief Commissioner after consulting with the assigned Presiding Commissioner.5-103Appearances and Representation(a)(1) Any Taxpayer has the right, at his or her own expense, to be represented by an authorized representative, who can be an attorney, certified public accountant, or any other individual.(2) Alternatively, a Taxpayer may be self-represented, including self-representation by an owner, officer, managing member, partner, trustee, or similar individual with authority for an entity Taxpayer.(b) A Taxpayer's authorized representative must have a completed Power of Attorney form on file with the Commission before representing a Taxpayer in a case. The Commission's form must be used.(c) The Department shall be represented by an authorized representative licensed to practice law in the state of Arkansas. The Department is not required to obtain approval from the Commission for substitution of representatives.(d) Service on an authorized representative is the equivalent of service on the party represented.(e) On written motion served on the party represented and all other parties of record, the Presiding Commissioner may grant a Taxpayer's authorized representative leave to withdraw.5-104In-Person Hearings Outside of Little Rock(a) The Commission may arrange for the use of state or local government facilities to allow it to conduct hearings throughout the state.(b) A Taxpayer may request, in writing in the petition or on motion, to have an in-person hearing at a location more convenient than Little Rock.(c) The Presiding Commissioner may grant such request or may require that the Taxpayer choose between an in-person hearing in Little Rock, a teleconference, or a videoconference.(d) The Department may elect to appear by teleconference or videoconference.5-105Consolidation(a) If there are separate matters that involve similar issues of law or fact and identical or related parties, the matters may be consolidated if it appears that consolidation would promote the just, speedy, and inexpensive resolution of the cases and would not unduly prejudice the rights of a party, including the Taxpayer's right to confidentiality.(b) A Presiding Commissioner may deconsolidate for any reasonable cause.5-106Filing and Service(a) Unless a filing is rejected by the Commission, a document is deemed filed on the earlier of: (1) The date the document was submitted electronically via the electronic filing system; or(2) The date the document is received by the Commission, whether by inperson delivery, United States Mail, or otherwise.(b) A filing that is delivered to the Commission by United States Mail after the deadline shall be deemed filed as of the postmark date.(c) The Commission shall establish a system for electronic filing and service. See § 5-601 et seq.(d) Every pleading, except for the appeal petition, and every other document filed for the case shall be served by the filing party on the other party's authorized representative or, if the party is not represented, on the party itself. Service shall be to the address provided by the authorized representative or party.(1) If both parties or their authorized representatives are users of the Commission's electronic filing system, service shall be as directed under the electronic filing system.(2) If either the sending or the receiving party is not a user of the electronic filing system, then service on the party shall be by: (C) Email if agreed to in writing by the parties.(3) The Taxpayer shall not serve the appeal petition on the Department. Service by the Taxpayer of the appeal petition upon the Department shall be void. The petition is served on the Department by the Commission within fifteen (15) days of the filing date of the petition electronically or, if the Commission cannot serve the petition on the Department electronically, by hand-delivery.(e) A party or authorized representative shall file with the Commission a notice of any change of address, phone number, or email address within ten (10) days of such change.5-107Computing Time(a) Any period of time set forth in these rules or in the Independent Tax Appeals Commission Act, Arkansas Code § 26-18-1101 et seq., unless otherwise provided by law, shall begin on the first day following the day of the act that initiates the period.(b) When the last day of the period is a day on which the Commission is closed, the period shall run until the end of the next business day.(c) For the purpose of computing time to respond, any document served on a day when the Commission is closed shall be deemed served on the next business day.5-108Noncompliance(a) If a Petition, Answer, Reply, or other document is timely filed but determined by the Presiding Commissioner to be noncompliant, the party shall be allowed fourteen (14) days from the date of notice to cure, except that, for cure of a Power of Attorney, thirty (30) days shall be allowed. The Presiding Commissioner may extend the deadline. The corrected document shall be deemed filed on the date originally submitted.(b) Any deadline to Answer, Reply, or otherwise respond to a filing is automatically tolled pending cure of the noncompliant filing.(c) After the cure period has expired, a Petition, Answer, Reply or other document that is noncompliant may be rejected by the Commission.5-109Ex Parte Communications(a) A Commissioner shall not initiate, permit, or consider ex parte communications or other communications made outside the presence of the parties or their representatives concerning a pending or impending matter.(b) When circumstances require it, non-substantive communication for scheduling, administrative, or emergency purposes is permitted, provided the Commissioner reasonably believes that no party will gain a procedural, substantive, or tactical advantage.(c) A Commissioner may consult with other Commissioners or with employees of the Commission or the Department of Inspector General, provided the Commissioner does not abrogate the responsibility personally to decide the matter.(d) If a Commissioner receives an unauthorized ex parte communication bearing upon the substance of a matter, the Commissioner shall notify the parties of the substance of the communication and provide the parties with an opportunity to respond.(e) The parties shall not communicate or cause communication with employees of the Department of Inspector General regarding cases, except in connection with such officers or employees providing technical or administrative support to the Commission.5-201Appeal Petition(a)(1) Only a Taxpayer or a Taxpayer's authorized representative can file an appeal petition to the Tax Appeals Commission. The definition of "Taxpayer" limits petitions to protesting certain actions or decisions of the Department that have become final or without more will become final after the expiration of time, such as a proposed assessment or a refund claim denial.(2) The Commission cannot hear a petition protesting an interim Department action such as day-to-day administration of an ongoing audit.(b) The Taxpayer is responsible for meeting the petition deadline, and the Commission cannot extend petition deadlines.(1) Unless otherwise provided by law, petitions must be filed within ninety (90) days of the date of the action or decision of the Department.(2) Certain actions of the Department can result in expedited cases that impose petition deadlines as short as five business (5) days. The petition shall indicate whether the case is required to be expedited. See § 5-204, Expedited Cases.(c)(1) The Commission encourages Taxpayers to submit petitions online at its website. An appeal petition shall be filed using the Petition form approved by the Commission or in such other form prepared by the Taxpayer.(2) Regardless of the form used, the petition shall:(A) State facts sufficiently clear to identify the Taxpayer, including name and address, and the Taxpayer's reasons for opposing the proposed assessment, denial of a claim for refund, or other action of the Department, including the relief sought; and(B) Reasonably specify the matter, including identifying the relevant Department account, and other identifying information for consideration by the Commission.(d) The petition shall include whether the Taxpayer elects for the hearing to be in person, by teleconference, by videoconference, or by a combination thereof, or no hearing with the matter to be decided solely on written submissions.(e) Petitions should not be made regarding the following, for which the Commission does not have jurisdiction: (1) A tax that is excepted from the Arkansas Tax Procedure Act under Arkansas Code § 26-18-102;(2) A question regarding the constitutionality of the application of statutes to a Taxpayer or the constitutionality of rules promulgated by the Department;(3) A claim against enforcement of an illegal exaction under Arkansas Constitution, Article 16, § 13;(4) A claim that is the subject of pending litigation; or(5) A claim for a tax not administered by the Department, including without limitation the following: local ad valorem property tax, local advertising and promotion tax on lodging or restaurants, federal tax, tax of another state, or tax of a foreign country.(6) An appeal from a final assessment for which a notice of proposed assessment was previously issued.5-202Answer(a) The Department shall file an answer to an appeal petition within sixty (60) days of receipt of the petition from the Commission.(b) An answer is not required in an expedited hearing. See § 5-204.(c) The answer shall state the Department's reasons for opposing the Petition, in all or in part, such that the Commission can understand the Department's position in the dispute and the Taxpayer can fairly reply.(d) An answer shall not be filed in lieu of a motion for voluntary dismissal or for withdrawal from consideration. See § 5-301.5-203ReplyThe Taxpayer may respond to the answer by filing a reply within thirty (30) days of service of the answer but is not required to do so. A reply may not exceed the scope of the petition or answer.
5-204Expedited Cases(a) Certain types of cases are required by law to be heard on an expedited basis, including shortened petition deadlines.(b) The petition shall indicate that it is a type of case that must be expedited.(c) For an expedited case, the hearing, if any, shall be scheduled within the applicable deadline after the petition is filed, and no other pleadings are required. The Department may elect to file an answer.(d) Joint refund offset cases under Arkansas Code § 26-36-315 have specific requirements: (1) The petition must include the following items:(A) A copy of the notice of refund offset at issue.(B) The signature of the nondebtor taxpayer to the petition.(C) A certification from the claimant agency that the nondebtor taxpayer is not a debtor of the claimant agency. (i) This certification may use the form promulgated by the Commission or other form of certification issued by the agency.(ii) The Commission may provide a Taxpayer with the relevant claimant agency contact information for obtaining this certification.(D) Tax documentation necessary to determine each taxpayer's proportionate share of the refund. In general, copies of the full Arkansas income tax return and all Forms W-2 or 1099 or other documentation showing sources of income and tax payment are needed.(2) Taxpayers cannot petition the Commission to dispute the validity or amount of the debt to the claimant agency.5-205Amended Pleadings(a) The Taxpayer may amend the appeal petition at any time before the period for filing an answer expires, once per petition.(b) The Department may amend the answer at any time before the period for filing a reply expires, once per answer.(c) Either party may amend a petition, answer, or reply after the period for responding to a pleading, if any, expires:(1) With the written consent of the adverse party; or(2) With the permission of the Commission.(d) An amended petition shall not confer jurisdiction on a matter that would otherwise not come within the jurisdiction of the Commission, including matters that are time-barred.(e) Upon filing of an amended pleading, the Commission shall provide deadlines to the parties for filing an answer, reply, or both, as applicable.5-206Jurisdictional Objections or Deficiencies(a)(1) Any objection to Commission jurisdiction shall be raised by filing a motion to dismiss under § 5-301.(2) The Commission may raise a jurisdictional matter on its own.(b) All case deadlines, including the deadline for the Department to file an answer, are automatically tolled upon the filing of such a motion to dismiss or the Commission's notice or order raising a jurisdictional matter.(c) For a case assigned to the Commission en banc, whether the Commission has jurisdiction shall be decided en banc. For a case assigned to a single Commissioner, that Commissioner shall decide.(d)(1) After notice and an opportunity for a response, if it is determined that the Commission lacks jurisdiction, the case shall be dismissed. The dismissal shall explain the legal basis and shall be published under § 5-502.(2) If it is determined that the Commission has jurisdiction, at least in part, then an order shall be issued, including setting the deadline for any answer, and the case shall proceed. Any jurisdictional objection and the decision thereon shall be explained in the subsequent decision on the merits under § 5-501.5-301Motions(a) All requests for relief shall be by motion.(1) Motions must be in writing or made during a hearing or conference.(2) Motions must fully state the action requested and the grounds relied upon.(3) Written motions shall be filed with the Commission and served on the opposing party, consistent with § 5-106.(4) When time allows, the other party may, within seven (7) days of the service of the written motion, file a response in opposition.(5) When time allows, within seven (7) days of the service of the response, the moving party may, but is not required to, file a reply.(6) The Commission may grant any motion not responded to without further notice.(7) The Presiding Commissioner may conduct such proceedings and enter such orders as are deemed necessary to address issues raised by the motion.(8) A party that disputes the Commission's jurisdiction or authority shall not file a notice or other document declaring limitations of the Commission's jurisdiction or authority. Any such dispute shall be brought before the Commission by appropriate motion.(b) A motion for summary judgment is not allowed.(c) The Presiding Commissioner may grant a motion for continuance of a hearing or extension of a deadline for good cause shown, except that the Commission cannot extend an appeal petition deadline. A request for the extension of a deadline should be filed prior to the expiration of the original deadline, but failure to timely file shall not preclude the Presiding Commissioner from extending a deadline. Stipulations of the parties for continuances will not be recognized.(1) Such a motion shall be made in writing or made during a hearing or conference.(2) The motion must state the grounds to be considered and be made as soon as practicable and for hearings, except in cases of emergencies, no later than five (5) days prior to the date noticed for the hearing.(3) In determining whether to grant a continuance or extension, the Presiding Commissioner may consider: (A) Prior continuances or extensions;(B) The interests of all parties;(C) The likelihood of informal settlements;(D) The existence of an emergency;(F) Any applicable time requirement;(G) The existence of a conflict of the schedules of parties, their authorized representatives, or witnesses;(H) The time limits of the request; and(I) Other relevant factors.(4) The Presiding Commissioner may require documentation of any grounds for continuance or extension.(d) A request from a party that is not styled as a motion may be deemed a motion by the Presiding Commissioner.(e)(1) A party or parties may move for voluntary dismissal or withdrawal from consideration based on: (A) Department withdrawal of the action or decision at issue;(B) Taxpayer withdrawal of the petition; (C) Settlement by the parties under Arkansas Code § 26-18-1111;(E) Any other resolution such that the Commission does not need to reach a decision or jurisdictional dismissal in the case.(2) The filing of such a motion automatically tolls any pending case deadlines, including the deadline for the Department to file an answer.5-302Case Management(a) In any case, the Presiding Commissioner may direct the parties to appear for a conference.(b) This conference may consider: (1) The simplification of issues; (2) The status of efforts to stipulate pursuant to § 5-403;(3) The necessity or desirability of amendments to the petition, answer, or reply;(4) The possibility of settlement;(5) The scheduling of the hearing and other case events or deadlines; and(6) Such other matters as may aid in the disposition of the action.(c) After the conference, the Presiding Commissioner may make an order which recites the action taken at the conference, any amendments allowed to the pleadings and the agreements made by the parties as to any of the matters considered and which limits the issues for hearing to those not disposed of by stipulation or other agreement of the parties; and such order, when entered, controls the subsequent course of the case, unless subsequently modified.5-303On-Site Observation(a) The Commission may conduct on-site observation of tangible personal property, real property, and activities that are relevant to a controversy.(b) On-site observation may occur only with the consent of the Taxpayer and with all parties invited to observe and record.(c) A party may request on-site observation by motion. See § 5-301.5-304No Discovery(a) There is no discovery in Commission adjudications, including without limitation: interrogatories, requests for admission, requests for production, depositions, and requests for inspections.(b) Neither the Commission nor a party or authorized representative shall issue subpoenas to the parties or outside parties in connection with cases before the Commission. (c) A Taxpayer may contact the Department if the Taxpayer wants to obtain his or her tax records. The Commission does not hear disputes concerning the production of documents by the Department under the Freedom of Information Act of 1967, Arkansas Code § 25-19-101 et seq., or Arkansas Code § 26-18-403.5-305Closure of Record in Written Submissions Cases (a) For non-expedited cases to be decided on written submissions without a hearing, after the reply has been filed or the deadline to do so has passed under § 5-203, the Commission shall schedule the closure of the written record, as a deadline for briefs, motions, or other submissions.(b) Once the record is closed, the deadline for the Commission to issue a decision shall commence.5-401Hearing Scheduling(a) The Presiding Commissioner shall schedule the hearing, which, except in expedited cases, shall be held within ninety (90) days of the date the reply was filed or the expiration of the deadline to file the reply. For expedited cases, see § 5-204.(b) A Notice of Hearing shall be provided to the parties within thirty (30) days of the filing of the reply or the expiration of the deadline to file a reply.(c) The Presiding Commissioner may order hearing by a means other than the means elected by the taxpayer for good cause, or when it is in the interest of justice.5-402Pre-Hearing, Hearing, and Post-Hearing Procedures(a) The Presiding Commissioner presides at the hearing, presides over prehearing, post-hearing, and other case conferences and matters, including if a hearing has been waived altogether, and may rule on motions, require briefs, and issue such orders as will ensure the orderly conduct of the case.(b) Parties have the right to participate or to be represented by an authorized representative in all hearings or other proceedings related to their appeal.(c) Pre-hearing conferences and reports may be delegated by the Presiding Commissioner to Commission staff, provided that staff may not rule on motions.(d) Parties have the right to introduce evidence that is probative of material fact, cross-examine witnesses as necessary for a full and true disclosure of the facts, and present evidence in rebuttal.(e)(1) The Presiding Commissioner may require disclosure of all witnesses, identifying those witnesses who may testify and those expected to testify, by a specified date in advance of the hearing.(2) Advance disclosure of witnesses is never required in expedited cases under § 5-204.(f) The Presiding Commissioner is charged with maintaining the decorum of the hearing and may refuse to admit, or may expel, anyone whose conduct is disorderly. The Presiding Commissioner may limit the time allowed for arguments.(g) The Presiding Commissioner will conduct the hearing in the following manner:(1) The parties will be allowed to present their cases in the sequence determined by the Presiding Commissioner, taking into consideration the burden of proof.(2) Each witness must be sworn or affirmed by the Presiding Commissioner and be subject to examination and cross-examination as well as questioning by Commissioners. The Presiding Commissioner may limit questioning in a manner consistent with the law.5-403Stipulation(a) The parties to a case shall, in good faith, make every reasonable effort to stipulate all relevant and nonprivileged facts to the fullest extent to which a complete or qualified agreement can or fairly should be reached.(b) The Commission may decide a case based on stipulated facts.(c) Efforts to stipulate are not required in expedited cases under § 5-204.(d) If the amount of tax in dispute is less than ten thousand dollars ($10,000), it is presumed that efforts to stipulate are not reasonable and thus unnecessary, unless the Presiding Commissioner specifies otherwise.5-404Evidence(a) The Presiding Commissioner shall admit relevant evidence, including hearsay, if it is probative of a material fact in controversy.(b) Irrelevant, immaterial, and unduly repetitive evidence shall be excluded.(c)(1) The Presiding Commissioner may require prefiling of exhibits by a specified date in advance of the hearing.(2) Prefiling of exhibits is never required in expedited cases under § 5-204.(d) Spreadsheets or workbooks shall be provided electronically. See § 5-604.5-405Recording of Hearing(a) The parties may record the hearing. Only audio recordings shall be permitted. Broadcasting of hearings in any form is prohibited.(b) If a party desires to have a written transcript made of the hearing, the requesting party shall bear all costs of having it prepared. The Commission is not required to prepare a transcript of a hearing.(c) A party may arrange for a hearing to be reported verbatim by a court reporter. Such party shall pay all associated costs and provide notice to the Commission and the other party prior to the hearing. Such party shall provide the other party a verbatim copy, if transcribed, at no cost to the recipient.(d) The Commission may record the hearing and may provide a copy of the recording to the parties upon request.5-406Failure to Appear at Hearing or Prosecute Case(a) If a party fails to appear or participate in a hearing after proper service of notice, the Commission may proceed with the hearing and render a decision notwithstanding the party's failure to appear or participate.(b)(1) If a taxpayer stops communicating with the Commission or becomes unreachable, the Presiding Commissioner may issue a warning to the taxpayer of potential dismissal for nonprosecution, which provides at least ten (10) days to respond.(2) If the taxpayer fails to respond to the warning, the Presiding Commissioner may issue an Order to Show Cause why the case should not be dismissed for nonprosecution, which provides at least ten (10) days to respond.(3) If the taxpayer fails to respond to the Order to Show Cause, the Commission may dismiss the case.(4) Any warning or order to show cause issued under this subdivision shall be served on taxpayer by First Class mail and by electronic means if available.5-407Bifurcation of Proceedings(a) If the Commission determines that a resolution of a threshold issue, such as a statute of limitations, may dispose of a case, the Commission may bifurcate proceedings to hear and decide the threshold matter.(b) If the determination of the threshold issue does not resolve the case, then an order shall be issued, and the case shall proceed. The determination of the threshold issue shall be explained in the subsequent decision on the merits under § 5-501.5-501Issuance of Decision to the Parties(a) The Commission will issue a written decision. The decision will include findings of fact and conclusions of law. It will grant or deny relief and issue orders as the Commission deems appropriate to carry out the decision.(b) The Commission shall serve the decision on the parties. Service of the decision is the conclusion of substantive Commission proceedings to adjudicate the appeal petition.(c) The decision shall be issued within ninety (90) days of the close of the hearing, submission of final post-hearing brief, or other close of the record, unless it is an expedited case with a shorter deadline. The Commission may extend this deadline for good cause by submitting a letter to the parties.(d) A party may seek judicial relief by following the procedures stated in the Arkansas Tax Procedure Act, Arkansas Code § 26-18-101 et seq. Neither the Commission nor any Commissioner shall be made a party in a suit for judicial relief.(e) A party may, within seven (7) days of the decision, move for reconsideration to correct a clear error of fact or law. Such a motion is optional and not required to seek judicial relief.(f) The Commission may correct an error in a decision on its own initiative.5-502Redaction and Publication of Decision(a) The decision shall be published by the Commission on its website.(b) Before publication of a decision, Taxpayer-identifying information shall be redacted. (1) Taxpayer-identifying information includes Taxpayer names, identification or account numbers, addresses, and other information the disclosure of which would lead to identification of the Taxpayer.(2) Taxpayer-identifying information does not include facts about the Taxpayer's activities or operations, particularly those facts that serve as the basis of the decision, unless publication of such facts would allow the public to identify the Taxpayer.5-503En Banc Decisions(a) In an en banc case, a Commissioner may join in, concur with, or dissent from a decision, in all or in part.(b) A decision or portion of a decision in which two or more Commissioners join creates binding precedent as provided in Arkansas Code § 26-18-1116(d).(c)(1) Where only two Commissioners are available, if the vote on the outcome of all or part of the case is split, then such a split shall be resolved by sustaining that part of the Department's action or decision that requires Taxpayer to bear the burden of proof and by resolving in favor of the Taxpayer that part of the Department's action or decision that requires the Department to bear the burden of proof.(2) If there is disagreement between the participating commissioners as to which party bears the burden of proof under subdivision (c)(1) of this rule, the party bearing the burden shall be determined by the Presiding Commissioner.5-601Scope and Application of Electronic Filing(a) Use of the electronic filing system for filings after the petition is required for an authorized representative, except for an authorized representative with a disability that prevents the use of the electronic filing system. The petition should be filed electronically if possible.(b) Use of the electronic filing system by a Taxpayer without an authorized representative is encouraged but not required.(c) Filings shall be submitted by mail, hand delivery, or email in the event of electronic filing system errors or other technical problems under § 5-606.(d) The Commission shall electronically file or issue any notice, order, decision, or other document prepared by the Commission. The Commission shall provide a paper copy of such document to any party not using the electronic filing system.(e) An electronic document is the official record and has the same force and effect as a document filed conventionally.(f) Conventional documents shall be scanned by the Commission and made part of the electronic record. Once scanned, conventional paper documents may be destroyed.5-602Time of Filing(a) An electronic document is submitted when the transmission to the electronic filing system is completed. It is the user's responsibility to confirm that the transmission of the electronic document was completed.(b) After review and acceptance by the Commission, an electronic document shall be considered filed as of the date and time of submission.(c) Notice of a rejection of a document will be provided to the filer electronically.(d) The electronic filing system shall record the date of filing, which shall have the same force and effect as a manually affixed stamp.(e) Any document received by the electronic filing system before midnight shall be deemed filed on that date.5-603Signatures(a) An electronic document shall be deemed to be signed by the registered user who files it.(b) An electronic document may be signed by scanned or digital signature, or, for signatures other than a Taxpayer's signature on a Power of Attorney form, a typewritten name may be used.5-604Format of Documents(a) Electronic documents filed by the parties shall be legible and shall not contain hyperlinks to external sources.(b) Upon request of the Commission, spreadsheets or workbooks shall be provided in both a static format readable by a document viewer, such as portable document format, and in an unlocked format compatible with commonly used spreadsheet software.5-605Registration RequirementsUsers shall furnish at least one email address for electronic service and other notices.
5-606Technical Failures(a) A technical failure of the electronic filing system shall excuse an untimely filing.(b) A user's technical problem that prevents submitting an electronic filing is not a technical failure of the electronic filing system. Users that encounter difficulties with their systems shall use alternative means to comply, including conventional filing.(c) If a technical failure of the electronic filing system or other technical problem prevents a user from submitting an electronic filing, documents shall be submitted and served conventionally.Click here to view image
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Instructions: Petition
(Rev. 10/24)
General Instructions for Filing a Petition
The Tax Appeals Commission recommends that this petition be filed online at https://ig.arkansas.gov/tax-appeals-commission/petition/. Alternatively, file this form:
(1) by email to tac@arkansas.gov,(2) in person, Monday through Friday between 8:00 a.m. and 4:30 p.m. (except on state government holidays); orArkansas Tax Appeals Commission
900 West Capitol, Suite 310
Little Rock, AR 72201
There is no fee for filing this petition.
For more information concerning the appeal process and the Commission's Rules of Procedure, see the Commission's website, https://tac.arkansas.gov.
Questions regarding this form or the appeal process should be directed to the Commission by email to tac@arkansas.gov, phone at 501-682-2741, or mail at the above address. Commission staff can provide information about tax appeal procedures and requirements but cannot provide tax or legal advice.
Specific Instructions
Part I- Taxpayer InformationEnter the information of the taxpayer. If the taxpayer is an entity (corporation, partnership, LLC, trust, etc.), enter the entity's information. If phone number or email is provided, you consent to be contacted by the Commission by that method.
Part II- Action or Decision of the DepartmentAttach a copy of the Department of Finance and Administration (DFA) notice or other DFA action or decision that you are appealing, including any associated documents such as an explanation of adjustment or a summary of findings. The Tax Appeals Commission does not have access to DFA records and cannot look up your account.
Letter ID, Account ID and Tax Period(s)
Provide this information about the DFA action or decision, which can be found on the notice issued to you by DFA.
Tax Type at Issue
Mark the relevant tax type. If the tax type you are appealing is not listed, mark "Other" and write in the tax type.
Type of DFA Decision Being Appealed
See the relevant appeal statute for applicable law and requirements. In most cases, a petition must be filed within ninety (90) days from the date DFA issues a proposed assessment, refund claim denial, or other action or decision being appealed. Appeals of certain actions or decisions are expedited with shorter appeal deadlines, such as business closures, joint refund offsets, and permit denials or cancellations. The notice you received from DFA indicates the DFA action or decision to appeal. Check the box next to the relevant appeal type and attach a copy of the DFA notice. If the DFA action or decision you wish to appeal is not listed, mark "Other," write a description of the action you wish to appeal, and attach a copy of the DFA notice.
For Joint Refund Offsets, also attach a completed Joint Refund Offset Petition Addendum, including supporting documentation.
Related Matter Pending
Separate matters that involve similar issues of law or fact and identical or related parties are typically consolidated into a single proceeding. If your appeal relates to an existing appeal with the Commission, enter the taxpayer name and the docket number in the spaces provided.
Part III- Reasons for Your AppealIdentify what specific items you are disputing, stating relevant facts and providing your reasons for opposing the action or decision of DFA. Attach additional pages if needed. If items in dispute are numerous, provide supporting schedules of items in dispute. You may also attach relevant documentary exhibits. For your reasons, provide, if known, the law, rules, or cases in support of your arguments. Do not simply state "assessment is too high" or "assessment is wrong"; instead, specifically state what you are disputing and explain why you believe relief should be granted. Note that the Commission must follow Arkansas law and cannot waive application of the law for financial or personal hardship. The Commission may reject your appeal if sufficient information is not provided.
Part IV- Authorized RepresentativeRepresentation by an attorney, CPA, or other person is allowed but not required. If represented, enter the representative's information on the form. If multiple representatives, list the lead representative. For a representative to sign the petition or otherwise represent a taxpayer, a completed Power of Attorney form must be provided, and the Commission's form must be used. The Power of Attorney form can be obtained from the Commission's office or online at https://tac.arkansas.gov. If a representative is designated, attach the completed Power of Attorney form to the petition.
Part V- Hearing PreferenceIndicate whether you elect for your hearing to be in-person in Little Rock, in-person at a location closer to Taxpayer, by teleconference, by videoconference, or by a combination thereof. In-person hearings at locations outside of Little Rock are subject to special scheduling considerations and are not allowed for expedited proceedings. A decision on written documents only, with no hearing, can be selected for appeal of a proposed tax assessment, a refund claim denial, another DFA action with a non-expedited appeal, or a joint refund offset. A hearing is required for appeal of business closure, a permit denial or cancellation, or other DFA action with an expedited appeal (excepting joint refund offsets as noted above).
If you request to have an in-person hearing at a location other than Little Rock, the presiding commissioner may grant such request or may require that you choose between an in-person hearing in Little Rock, a teleconference, or a videoconference.
Part VI- SignatureSign your name and enter the other information requested in the spaces provided. If signing for an entity, you must be authorized under Arkansas law to act on behalf of the entity (owner, officer, trustee, etc.) and must enter your title in the space provided. If the appeal relates to a joint tax liability of married taxpayers, either spouse may sign.
NOTE: After the initial petition is filed, electronic filing of all documents is required of all authorized representatives (unless a disability prevents it) and is encouraged for all self-represented taxpayers. Login credentials and instructions will be emailed to you after receipt and processing of this form by the Commission.
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Instructions: Petition Addendum - Joint Refund Offset
(Rev. Oct. 2024)
General Instructions
This petition addendum and the related documents must be included with any petition seeking spousal relief from a proposed joint refund offset. Only spousal relief claims can be heard. The Tax Appeals Commission cannot hear an appeal of the validity of the debt listed as owed by Debtor Spouse or whether the debt has been paid.
"Nondebtor Spouse" refers to the spouse not identified as owing a debt to the Claimant Agency, who is the taxpayer petitioning for spousal relief from a Joint Refund Offset. "Debtor Spouse" refers to the individual identified as owing the debt, with whom the Nondebtor Spouse filed a joint return.
"Claimant Agency" is the governmental agency or entity that has submitted a debt to the Department of Finance and Administration for collection by tax refund offset. "DFA" means the Department of Finance and Administration.
Information concerning the appeal process and the Commission's Rules of Procedure is available online at https://tac.arkansas.gov. Questions regarding this form should be directed to the Commission at tac@arkansas.govor 501-682-2741. Questions about the debt itself should be directed to the Claimant Agency.
Specific Instructions
Part I- Taxpayer and Case InformationEnter the information for the Nondebtor Spouse seeking relief and for the Debtor Spouse identified in the DFA Notice of Refund Offset, including the Claimant Agency and the DFA Letter ID for the Notice. (Listing on this form as the Debtor Spouse does not constitute any admission or evidence of the debt.) If you have already filed a petition, provide the docket number for your case.
Part II- Calculation of Refund Attributable to Each SpouseThe total refund claimed on a joint return can be attributed to one or the other spouse, or each spouse could share in the refund depending on the tax incurred, tax withheld as reported on Forms W-2 or 1099, and payments made. Only the portion of the refund that is attributable to the Nondebtor Spouse is eligible for relief. Use the worksheet to calculate the amount of the total refund that is attributable to each spouse. References to the related lines on your return are provided in the worksheet. The amounts you enter in the "Total" column must agree with the amounts shown on your return. Taxes, credits, and payments should be assigned to the relevant individuals or split where appropriate. Nonrefundable credits exceeding an individual's proportionate share of tax should be assigned to the other spouse.
Part III- Checklist of Required ItemsInclude with the petition and this addendum each listed item. If any are missing, your petition could be rejected.
i A completed Claimant Agency Nondebtor Certification form or equivalent document from the Claimant Agency certifying that the Nondebtor Spouse is not a debtor of the Claimant Agency.
ii Documents to support the amount of refund that is attributable to the Nondebtor Spouse. This documentation must support the share of the Nondebtor Spouse's payment of tax and the resulting amount of the joint refund that is not subject to setoff. Include a complete copy of the individual income tax return (typically form AR1000F), all forms W-2 and 1099, and any other documentation that supports the credits allowable for each spouse, and the Arkansas income taxes owed and paid by each spouse.
iii A copy of the Notice of Refund Offset issued by DFA, which is needed to confirm which spouse is listed as owing the debt, what agency is the Claimant Agency, and the amount of the proposed offset.
iv The Nondebtor Spouse must sign the petition. The Debtor Spouse's signature is not needed or sufficient.
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Instructions: Power of Attorney and Declaration of Representative
General Instructions
Purpose of Form
Use this Power of Attorney (POA) form to authorize an individual to represent you before the Tax Appeals Commission (TAC). You may authorize any individual 18 years of age or older to represent you. Authorizing someone to represent you does not relieve you of your tax obligations.
Questions regarding this form should be directed to the Commission at the address below (under How to File) or by phone at 501-682-2741.
How To File
For new cases about to be filed, the POA can be uploaded by attaching it to the online petition form, which can be found at https://ig.arkansas.gov/tax-appeals-commission/petition/. For cases already assigned a docket number, the POA can be emailed to the case-specific email address. Other alternatives are to email the POA to tac@arkansas.gov, or mail or hand-deliver the POA to:
Tax Appeals Commission
900 West Capitol, Suite 310
Little Rock, AR 72201
Authority Granted
Except as specified below, this power of attorney authorizes the listed representative(s) to receive confidential tax information and appear on your behalf before the Tax Appeals Commission. This authorization does not include the power to (1) substitute or add another representative or (2) disclose tax returns or return information to a third party.
Revocation or withdrawal of a power of attorney
On written motion served on the party represented and all other parties of record, the presiding commissioner may grant an authorized representative leave to withdraw for good cause shown.
Address Changes
If the email address or USPS address for either you or your representative changes, do not file a new POA. Instead, file a written notification with the Commission that includes the new information.
Specific Instructions
Part I.Power of AttorneyLine 1. Taxpayer Information
Enter the information requested. Do not enter information about any other person, including your spouse. A separate Power of Attorney should be submitted for each taxpayer.
Individuals. Enter your name, your street address or post office box, and the tax period(s) from the notice you received from the Department of Finance and Administration. If you, your spouse, or former spouse are submitting POAs in connection with a joint return that you filed, you must each submit separate POA forms even if you are authorizing the same representative(s) to represent you.
Corporations, associations, or partnerships. Enter the name, business address, and the tax period(s) from the notice you received from the Department of Finance and Administration. For consolidated returns, only the parent corporation information is required on line 1.
Exempt organizations. Enter the name and address of the organization, and the tax period(s) from the notice you received from the Department of Finance and Administration.
Trusts. Enter the name, title, and address of the trustee, and the tax period(s) from the notice you received from the Department of Finance and Administration.
Deceased individuals or estates. Enter the name of the decedent; the name, title, and address of the decedent's executor or personal representative; and the tax period(s) from the notice you received from the Department of Finance and Administration.
Line 2. Representative(s)
Enter the information requested about your representative(s). You may name any individual 18 years of age or older as your representative. If you want to name more than two representatives, submit additional POA forms. Your authorization of an eligible representative will allow that individual to receive your confidential tax information.
Line 3. Taxpayer Declaration and Signature
The POA must be manually signed by the taxpayer. The filed POA can include a copy or scan of the manual signature.
Individuals. You must sign and date the POA. If you filed a joint return, your spouse must execute his or her own POA on a separate form to designate a representative. For Taxpayer individuals who are under 18 years of age and cannot sign, the individual's parent or guardian may sign on their behalf. Other individuals may sign for the Taxpayer if a POA form has been signed by the parent or guardian authorizing the other individual(s) to sign on behalf of the Taxpayer.
Corporations or associations. An officer with the legal authority to bind the corporation or association must sign and enter his or her title.
Partnerships. One partner authorized to act in the name of the partnership is required to sign and enter his or her title. A partner is authorized to act in the name of the partnership if, under state law, the partner has authority to bind the partnership.
Estates. If there is more than one executor, only one co-executor having the authority to bind the estate is required to sign.
All others. If the Taxpayer is a dissolved corporation, deceased individual, insolvent, or a person for whom or by whom a fiduciary (a trustee, guarantor, receiver, executor, or administrator) has been appointed, an individual with the authority to bind the entity is required to sign.
Part II.Declaration of RepresentativeThe representative(s) you name must sign and date this declaration and enter the designation (items (a)-(d)) in the order listed. An authorized representative must certify review of the Arkansas Tax Appeals Commission Rules of Procedure, which are found at:
https://ig.arkansas.gov/tax-appeals-commission/legal-information-rules-and-self-help/.
In addition, the representative(s) must include the requested information in the column headed "Licensure state(s) and license number(s), if applicable."