3-2-43: ALTERNATIVE REVIEW BY DEPARTMENT OF REVENUE:
In lieu of the procedure provided for in section 3-2-42 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. 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 section 29-2-106.1(3), C.R.S.
B. When the finance director asserts that sales taxes are 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 the additional sales taxes due. The deficiency notice shall contain notification, in clear and conspicuous type, that the taxpayer has the right to elect a state hearing on the deficiency pursuant to section 29-2-106.1(3), C.R.S. 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. The taxpayer shall request the state hearing within thirty (30) days after the taxpayer's exhaustion of local remedies. The taxpayer shall have no right to such hearing if he has not exhausted local remedies, or if he fails to request such hearing within the time period provided for in this subsection C. 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 ninety (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 one hundred eighty (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 subsection C1 of this section.
D. If a taxpayer has exhausted his local remedies as provided in subsection C of this section, then the taxpayer may request a state hearing on such deficiency notice or claim for refund, and such request shall be made, and such hearing shall be conducted in the same manner as set forth in section 29-2-106.1(3) through (7), C.R.S., inclusive.
E. 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 section 29-2-106.1(8), C.R.S., if the taxpayer complies with the procedures set forth in subsection C of this section.
F. 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 section 3-2-42 of this chapter. (Ord. 30, Series 2021)