34 TAC §3.10
The Comptroller of Public Accounts adopts a new §3.10,
concerning taxpayer's bill of rights, with changes to the proposed text as
published in the June 18, 1999, issue of the
Texas
Register
(24 TexReg 4539).
The section is intended to establish standards which will ensure that taxpayers
dealing with the office of the Comptroller of Public Accounts will receive
treatment and service of the highest caliber.
No comments were received regarding adoption of the new section.
Paragraph (f)(3) has been deleted from this section because the subject
to which it relates will be addressed in more detail in another section.
This new section is adopted under the Tax Code, §111.002,
which provides the comptroller with the authority to prescribe, adopt, and
enforce rules relating to the administration and enforcement of the provisions
of the Tax Code, Title 2.
The new section implements the Tax Code, §111.001.
§3.10.Taxpayer's Bill of Rights.
(a)
Taxpayer bill of rights. The goal of this bill of rights
is not limited to protecting taxpayers and ensuring they receive the treatment
and service to which they are entitled. The objective is to also strike a
balance and find ways of protecting taxpayers without interfering with the
government's responsibility to collect taxes and assess the accuracy of returns.
(b)
Prompt and accurate responses to requests for information.
(1)
The comptroller's staff will respond promptly to requests
for information. Phone calls from taxpayers will be returned within 48 hours.
Taxpayers can expect a response to letters, faxes, and emails within a maximum
of 10 days. If the information is not available, comptroller staff will notify
the taxpayer, give a reason for the delay, and set a deadline for the material
or information to be available. Comptroller staff will keep track of these
requests and timeliness of responses.
(2)
The comptroller will give relief to a taxpayer who
follows erroneous advice given by an agency employee. The taxpayer, however,
must have provided complete and accurate information to the agency employee.
Relief will be provided only if that taxpayer, and not a third party, was
harmed by following the erroneous advice.
(3)
Annual staff performance reviews will include an assessment
of how well an individual employee deals with the public and meets agency
goals. Good communications with the public is one of the measures that will
be used to determine merit pay increases.
(4)
In addition, the comptroller will consult with companies
experienced at establishing employee performance audits. Surveys and "mystery
shoppers" will be used to identify weaknesses and weak links in the system.
(c)
Rules and regulations that are readily available and easy
to understand.
(1)
Rules and tax forms published by the comptroller will be
written in simple, clear English without jargon and with judicious use of
acronyms. A taxpayers' liaison committee will be created to critique these
materials and ensure they meet these requirements.
(2)
Rules will be readily available at comptroller offices
throughout the state and at other agencies. They also will be made available
through the comptroller's Internet site.
(3)
Tax and regulatory information will be available at
comptroller offices statewide. Taxpayers can obtain information and assistance
from comptroller staff.
(d)
A complaint system that is fair and timely.
(1)
The comptroller will appoint an ombudsman to handle complaints
by taxpayers, excluding issues being considered in the hearings process. The
ombudsman will have the power to determine if the complaint is valid and whether
it stems from dissatisfaction with the law, rather than the way the rules
are being enforced.
(2)
The name, address, email, and phone number of the
ombudsman will be prominently displayed on comptroller materials and in telephone
directories statewide.
(3)
Taxpayers will also have recourse to the Governor's
Citizens Assistance Office. The office notifies agencies when the complaint
appears valid and concerns their employees, operations, or services. The comptroller's
ombudsman will be notified whenever the assistance office receives a complaint
about this agency.
(4)
The ombudsman's annual report will be used by the
agency to track systemic problems and identify areas that can be improved.
That report will be part of the agency's performance report to the legislature.
(e)
A tax process that is fair, timely, and confidential.
(1)
Taxpayers will be allowed to challenge estimates of tax
liabilities and request a review of assessments and penalties.
(2)
Taxpayers who have never been audited and who come
forward voluntarily to disclose their liability and pay taxes due will not
be charged penalties. Interest may also be waived, except on taxes that were
collected from others but were not paid over when due.
(3)
Information provided by taxpayers will be kept confidential,
to the extent allowed by law. Confidential information will be removed from
private taxpayer rulings, which should become available to the public within
60 days after they are issued.
(4)
Taxpayers can bring an attorney, accountant, or other
representative to an audit conference and may also record the proceedings.
(5)
When cases are disputed, clear deadlines will be established,
both for the state and the taxpayer.
(f)
A tax system that is equitable.
(1)
The same rate of interest will be paid to taxpayers who
overpay their taxes, starting in January 2000, as is required of taxpayers
who underpay their taxes. Refund requests that include all necessary information
and do not require audit review are refunded within 30 days of receipt.
(2)
Taxpayers may request administrative tax hearings
at locations in Texas close to their primary place of business.
(3)
The comptroller will expand the use of managed self-audits
to allow certain businesses to audit their own records to determine if they
have a sales tax liability. Direct payment permit holders will be allowed
to sample and review a percentage of their purchase transactions to calculate
their sales tax liability for reporting purposes. In addition, businesses
will be allowed to use comptroller approved sampling methods to substantiate
their claim for a sales tax refund.
(g)
A closer working relationship with the business community.
(1)
The comptroller will continue to convene focus groups with
business people from specific industries to determine their needs and problems.
Efforts will be made to obtain input from business people affected by rules,
in addition to industry association representatives.
(2)
Recommendations made by these focus groups will be
circulated to appropriate divisions within the agency so that they are considered,
and when appropriate, incorporated in rules and regulations. In addition,
focus groups will be invited to provide comments on the need and cost- efficiency
of rules that already are on the books.
(3)
The comptroller will assign staff to follow up with
participants of focus groups so that they know what happened to the ideas
and information they provided.
(4)
Business people will be encouraged to write to the
comptroller with suggestions for ways of improving existing and proposed rules.
The comptroller will acknowledge and consider all suggestions received.
This agency hereby certifies that the adoption has been
reviewed by legal counsel and found to be a valid exercise of the agency's
legal authority.
Filed with the Office of the Secretary of State on August
16, 1999.
TRD-9905164
Martin Cherry
Special Counsel
Comptroller of Public Accounts
Effective date: September 5, 1999
Proposal publication date: June 18, 1999
For further information, please call: (512) 463-4062