§ 8-6. Appeals and rulings.

(a)

Any person assessed with a licensing tax under this article as the result of an audit may apply within 90 days from the date of the assessment to the treasurer for a correction of the assessment. The application must be filed in good faith and sufficiently identify the taxpayer, audit period, remedy sought, each alleged error in the assessment, the grounds upon which the taxpayer relies, and any other facts relevant to the taxpayer's contention. The treasurer may hold a conference with the taxpayer if requested by the taxpayer, or require submission of additional information and documents, further audit, or other evidence deemed necessary for a proper and equitable determination of the applications. The assessment shall be deemed prima facie correct. The treasurer shall undertake a full review of the taxpayer's claims and issue a determination to the taxpayer setting forth its position. Every assessment pursuant to an audit shall be accompanied by a written explanation of the taxpayer's right to seek correction and the specific procedure to be followed in the town (e.g., the name and address to which an application should be directed).

(b)

Provided an application is made within 90 days of an assessment, collection activity shall be suspended until a final determination is issued by the treasurer, unless the treasurer determines that collection would be jeopardized by delay or that the taxpayer has not responded to a request for relevant information after a reasonable time. Interest shall accrue in accordance with the provisions of this section, but no further penalty shall be imposed while collection action is suspended. The term "jeopardized by delay" includes a finding that the application is frivolous, or that a taxpayer desires to:

(1)

Depart quickly from the locality;

(2)

Remove his property therefrom;

(3)

Conceal himself or his property therein; or

(4)

Do any other act tending to prejudice, or to render wholly or partially ineffectual, proceedings to collect the tax for the period in question.

(c)

Any person assessed with a license tax under this article as a result of an audit may apply within 90 days of the determination by the treasurer on an application pursuant to this article to the tax commissioner for a correction of such assessment. The tax commissioner shall issue a determination to the taxpayer within 90 days of receipt of the taxpayer's application, unless the taxpayer and the treasurer are notified that a longer period will be required. The application shall be treated as an application pursuant to the Code of Virginia, § 58.1-1821, and the tax commissioner may issue an order correcting such assessment pursuant to the Code of Virginia, § 58.1-1822. Following such an order, either the taxpayer or the treasurer may apply to the appropriate circuit court pursuant to the Code of Virginia, § 58.1-3984; however, the burden shall be on the party making the application to show that the ruling of the tax commissioner is erroneous. Neither the tax commissioner nor the department of taxation shall be made a party to an application to correct an assessment merely because the tax commissioner has ruled on it.

(d)

On receipt of a notice of intent to file an appeal to the tax commissioner under subsection (c) of this section, the treasurer shall further suspend collection activity until a final determination is issued by the tax commissioner, unless the treasurer determines that collection would be jeopardized by delay or that the taxpayer has not responded to a request for relevant information after a reasonable time. Interest shall accrue in accordance with the provisions of this section, but no further penalty shall be imposed while collection action is suspended. The term "jeopardized by delay" shall have the same meaning as set forth above.

(e)

Any taxpayer may request a written ruling regarding the application of the tax to a specific situation from the treasurer. Any person requesting such a ruling must provide all the relevant facts for the situation and may present a rationale for the basis of an interpretation of the law most favorable to the taxpayer. Any misrepresentation or change in the applicable law or the factual situation as presented in the ruling request shall invalidate any such ruling issued. A written ruling may be revoked or amended prospectively if there is a change in the law and/or a court decision, or the treasurer notifies the taxpayer of a change in the policy or interpretation upon which the ruling was based; however, any person who acts on a written ruling which later becomes invalid shall be deemed to have acted in good faith during the period in which such ruling was in effect. Anything herein to the contrary notwithstanding, each person or entity who receives gross receipts from the operation of any business, trade, profession, occupation, or calling, as defined in this article, is subject to a license tax. Where two or more persons or entities receive gross receipts from the operation of any such business, trade, or profession, each such person or entity shall pay a license tax in proportion to the share of gross receipts attributable to such person or entity, unless such persons have clearly and unequivocally agreed otherwise.

(Comp. Ords., § 11.5)

(Comp. Ords., § 11.5)