In lieu of the procedure provided for in § 4-3-6-2 of this chapter, the taxpayer may elect a hearing on the Finance Director’s final decision on a deficiency notice or claim for refund pursuant to procedure set forth in this section.
(A) State hearing defined. As used in this section, STATE HEARING means a hearing before the Executive Director of the Department of Revenue or a delegate thereof as provided in C.R.S. § 29-2-106.1(3).
(B) Deficiency notice. When the Finance Director asserts that sales tax is due in an amount greater than the amount paid by a taxpayer, then the Finance Director shall mail a deficiency notice to the taxpayer by certified mail. The deficiency notice shall state that additional sales tax is due. The deficiency notice shall contain notification, in clear and conspicuous type, of the time limit to file a protest to the notice and that the taxpayer has the right to elect a state hearing on the deficiency pursuant to C.R.S. § 29-2-106.1(3). Any protest to the deficiency notice shall be filed with the Finance Director within 30 days after the date of notice. The taxpayer shall also have the right to elect a state hearing on the Finance Director’s denial of such taxpayer’s claim for a refund of sales tax paid.
(C) Local remedies unsatisfactory. The taxpayer shall request the state hearing within 30 days after the taxpayer’s exhaustion of local remedies. The taxpayer shall have no right to such hearing if such taxpayer has not exhausted local remedies or if he or she fails to request such hearing within the time period of this subsection. For purposes of this subsection (C), EXHAUSTION OF LOCAL REMEDIES means:
(1) The taxpayer has timely requested in writing a hearing before the Finance Director, and the Finance Director has held such hearing and issued a final decision thereon. Such hearing shall be informal, and no transcript, rules of evidence or filing of briefs shall be required, but the taxpayer may elect to submit a brief, in which case the Finance Director may submit a brief. The Finance Director shall hold such hearing and issue the final decision thereon within 90 days after the Finance Director’s receipt of the taxpayer’s written request therefor, except that the town may extend such period if the delay in holding the hearing or issuing the decision thereon was occasioned by the taxpayer, but, in any such event, the Finance Director shall hold such hearing and issue the decision thereon within 180 days of the taxpayer’s request in writing therefor; or
(2) The taxpayer has timely requested in writing a hearing before the Finance Director, and the Finance Director has failed to hold such hearing or has failed to issue a final decision thereon within the time periods prescribed in this subsection.
(D) State hearing procedure. If a taxpayer has exhausted his or her local remedies as provided in subsection (C)(1) of this section, then the taxpayer may request a state hearing on such deficiency notice or claim for refund, and such hearing shall be conducted in the same manner as set forth in C.R.S. § 29-2-106.1(3) through (7), inclusive.
(E) Appeal to District Court. If the deficiency notice or claim for refund involves only the Finance Director, then in lieu of requesting a state hearing, the taxpayer may appeal such deficiency or denial of a claim for refund to the District Court as provided in C.R.S. § 29-2-106.1(8), if the taxpayer complies with the procedures set forth in subsection (C) of this section.
(F) Judicial review. No provision of this section shall prohibit the taxpayer from pursuing judicial review of a final decision of the Finance Director as otherwise provided in § 4-3-6-2 of this chapter.
(Ord. 45(1991) § 1; Ord. 13(2010) § 5)