MN HF5467

Adds new subdivision 4a to Minnesota Statutes section 270C.33 establishing limitations on tax assessment authority for individual income, corporate franchise, and sales and use taxes under chapters 290 and 297A.

Prohibits the commissioner from assessing additional tax if a taxpayer received written erroneous advice from a department employee acting in official capacity that was reasonably relied upon in a tax order or response to a specific written request, provided the taxpayer did not fail to supply adequate or accurate information.

Exempts the commissioner from the assessment prohibition if the relevant statute, administrative rule, or its interpretation has been materially changed by court decision, or if there has been a federal adjustment and the commissioner issued a revenue notice or directly notified the taxpayer in writing of the proper tax treatment.

Limits application of erroneous advice protections in prior-period audits to only the specific issues within the audit scope where erroneous advice appears in the written order, and to only the reviewed sampled population in audits using data sampling.

Effective for erroneous written advice given to taxpayers after June 30, 2024.