2005 California Revenue and Taxation Code Sections 55061-55064 Article 2. Deficiency Determinations

55061.  (a) If the board is dissatisfied with the return filed or
the amount of the fee paid to the state by any feepayer, or if no
return has been filed or no payment of the fee has been made to the
state by a feepayer, the board may compute and determine the amount
to be paid, based upon any information available to it.  In addition,
where the board is authorized to collect a fee for another state
agency, or where the board is authorized to collect a fee under
circumstances where the feepayer is not required to file a return,
the board may issue a notice of determination or similar billing
document for collection of the fee.  One or more additional
determinations may be made of the amount of the fee due for one, or
for more than one period.  The amount of the fee so determined shall
bear interest at the modified adjusted rate per month, or fraction
thereof, established pursuant to Section 6591.5, from the date the
amount of the fee, or any portion thereof, became due and payable
until the date of payment.  In making a determination, the board may
offset overpayments for a period or periods against underpayments for
another period or periods and against the interest and penalties on
the underpayments.
   (b) If any part of the deficiency for which a determination of an
additional amount due is found to have been occasioned by negligence
or intentional disregard of this part or authorized regulations, a
penalty of 10 percent of the amount of the determination shall be
added, plus interest as provided in subdivision (a).
   (c) If any part of the deficiency for which a determination of an
additional amount due is found to be occasioned by fraud or an intent
to evade this part or authorized regulations, a penalty of 25
percent of the amount of the determination shall be added, plus
interest as provided in subdivision (a).
   (d) The board shall give to the feepayer written notice of its
determination.  The notice shall be placed in a sealed envelope, with
postage paid, addressed to the feepayer at his or her address as it
appears in the records of the board.  The giving of notice shall be
deemed complete at the time of the deposit of the notice in a United
States Post Office, or a mailbox, sub-post office, substation or mail
chute, or other facility regularly maintained or provided by the
United States Postal Service without extension of time for any
reason.  In lieu of mailing, a notice may be served personally by
delivering to the person to be served and service shall be deemed
complete at the time of delivery.  Personal service to a corporation
may be made by delivery of a notice to any person designated in the
Code of Civil Procedure to be served for the corporation with summons
and complaint in a civil action.
55062.  Except in the case of fraud, intent to evade this part,
authorized rules and regulations, or failure to make a return, every
notice of a determination of an additional amount due shall be given
within three years after the date when the amount should have been
paid or the return was due, or within three years after the return
was filed, whichever period expires later.  In the case of failure to
make a return, the notice of determination shall be mailed within
eight years after the date the return was due.
55063.  In the case of a deficiency arising under this part during
the lifetime of a decedent, a notice of deficiency determination
shall be mailed within four months after written request therefor, in
the form required by the board, by the fiduciary of the estate or
trust or by any other person liable for the fee or any portion
thereof.
55064.  If before the expiration of the time prescribed in Section
55062 for the mailing of a notice of deficiency determination the
feepayer has consented in writing to the mailing of the notice after
that time, the notice may be mailed at any time prior to the
expiration of the period agreed upon.  The period so agreed upon may
be extended by subsequent agreements in writing made before the
expiration of the period previously agreed upon.