A. Unpaid sums — a civil debt.
1. All taxes imposed by the ordinance and not paid when due become, together with interest and penalties thereon, a debt due the village from the taxpayer and are recoverable as are other debts by civil suit. Employers who are required, under § 40.06, to withhold and remit the taxes required to be withheld at the source, and who fail to withhold and/or remit, become liable to the village in a civil action to enforce the payment of the debt created by such failure.
2. No additional assessment shall be made by the Commissioner after three years from the time the return was due or filed, whichever is later, provided, however, there shall be no period of limitation on such additional assessments in the case of a return that omits a substantial portion of income, or filing a false or fraudulent return to evade payment of the tax, or failure to file a return. Failure to report 25% or more of gross income shall be considered a substantial omission.
3. In those cases in which the Commissioner of Internal Revenue and the taxpayer have executed a waiver of the federal statute of limitations, the period within which an assessment may be made by the Commissioner is extended to three years from the time of final determination of federal tax liability.
B. Refunds and overpayments.
1. Taxes erroneously paid shall not be refunded unless a claim for refund is made within three years from the date on which such payment was made, or the return was due, or three months after the determination of the federal income tax liability, whichever is later.
2. No refund shall be made to any taxpayer until he has complied with all provisions of the ordinance and has furnished all information required by the Commissioner.
3. Overpayments will be either refunded or credited to the taxpayer's current year's liability at his option. Where no election has been made by the taxpayer, overpayments of any year's taxes shall be applied as follows:
a. To taxes owed for any previous years in the order in which such taxes become due.
b. To his current estimated tax liability.
C. Limitation.
Where the total amount due or refund claimed for a tax year is less than $1, such amount shall not be collected or refunded.