11014th Street S.W. Washington, D.C

Transcription

1 Jessica L Brown Assistant General Counsel Office oftax and Revenue 11014th Street S.W. Suite W750 Washington, D.C Jessica Brown is an Assistant General Counsel at the D.C. Office of Tax and Revenue. Jessica litigates income, franchise, sales, and transfer tax cases on behalf of the District Inthe District's Officeof Administrative Hearings. She also provides assistance to taxpayers by providing legal opinions on District tax matters and policies, and assisting taxpayers in complying with the District's statutes. Before coming to the Office of Tax and Revenue, Jessica practiced state and local tax at an international law firm. She received her JD from the University of Virginia and her BA from the University of Texas.

2 Introduction to the District Of Columbia Office of Tax and Revenue Maryland State Bar Association's Tax Controversy Study Group

3 Agenda Introduction to OTR Audit Division Appeal Rights Collections OTR Criminal Investigation VDAs and Ruling Requests Questions

4 Introduction to OTR Office of Tax and Revenue FY 2015 Deputy CFO Stephen Cordi Executive Asst Christina Simms Director of Operations Glen Groff Special Advisor, OD Deborah Evans Public Affairs Specialist Natalie Wilson General Counsel Alan Levine Problem Resolution Officer Stella Modge Director, RAA Bert Molina Director, Compliance Bedell Terry Director, RPA Joseph Parran Director. RPTA Robert Farr Director, CSA Eva Liggins

5 Audit Division: IVIission Statement To obtain, maintain and achieve tax compliance with all District of Columbia tax laws, except real property taxes, through the examination of filed tax returns, identification of non-filers, and unreported tax revenue.

6 Audit Division: Selection of Audits Review of prior productive audits Personal observation Random selection Leads from other jurisdictions' audits Leads from newspapers, magazines, trade publications Leads from informers Industrial segment audits

7 Audit Division: Audit Process Document Requests and Review Notice of Proposed Audit Changes Informal Conference Notice of Proposed Tax Assessment

8 Appeal of OTR Decisions Office of Administrative Hearings DC Superior Court DC Court of Appeals

9 Collections Division: Mission Statennent Collect promptly the proper amount of tax from all persons who have not filed tax returns and/or paid tax as required by District of Columbia law; encourage future compliance with the law; and to provide accurate, timely and courteous customer service.

10 Collections Division: Field Units Canvassing Sales Tax Certificate Seizures General Seizures 0-Type Fee Offer-in-Compromise Judgments Internet Listing

11 Collections Division: Specialty Units Bankruptcy CP 2000 and Revenue Agent Reports (IRS) Individual and Business Installment Agreements Bulk Sales Taxpayer Delinquent Investigations (Business) Non-Filer Program (Individual Income)

12 Criminal Investigation Division: Mission Statement The Office of Tax and Revenue Criminal Investigation Division serves the District of Columbia by investigating potential criminal violations of the District tax laws and related offenses in a manner that fosters confidence in the District of Columbia tax system, promotes compliance with the District's tax laws and brings about the highest level of voluntary compliance.

13 Criminal Tax Statutes in DC D,C. Code Title 47, Chapter Attempt to evade or defeat a tax Failure to collect or pay over Failure to pay tax, make return, keep records Fraudulent Statements Fraudulent withholding information Fraud and False Statements Attempt to interfere with DC Revenue Laws DC Code Title 22, Chapter Theft felony over $ Fraud felony over $ Identity theft

14 Criminal Investigation Division: Investigative Priorities Identity Theft False Returns/Tax Evasion Failure to File False Returns (Tax Preparation Entities) Residency Issues

15 Criminal investigation Division: Questionable Returns False Schedule A deductions False Schedule C losses/gains to create an EITC refund False IRA's Domicile issues - DC residents not filing D40 return, with P.O. Box in states with no income tax Schedule C income (loss) to justify fraudulent EITC Schedule H - Homeowner and Rental Property Tax Credit Fraudulent W-2's

16 Voluntary Disclosure Agreements Taxpayers can remain anonymous; Limit "look-back" period to the lesser of three years or the date when the taxpayer established business in the District; Waiver of penalties if the tax and interest is paid in full; Establish a payment agreement if an adequate amount is paid in full; and File returns in a spreadsheet format.

17 Ruling Requests Private Letter Ruling Requests Declaratory Orders

18 Questions? Jessica Brown Assistant General Counsel Office oftax and Revenue