2005 Idaho Code - 49-439 — AUDIT GUIDELINES

                                  TITLE  49
                                MOTOR VEHICLES
                                  CHAPTER 4
                          MOTOR VEHICLE REGISTRATION
    49-439.  AUDIT GUIDELINES. (1) The state tax commission on behalf of the
department may audit an owner of motor vehicles subject to fees pursuant to
this chapter.
    (2)  Every owner whose fees are computed as specified in section 49-434 or
49-435, Idaho Code, except those registering under subsection (8)(c) of
section 49-434, Idaho Code, for over fifty thousand (50,000) miles driven,
shall maintain records and permit the state tax commission to inspect the
records upon request to substantiate that the actual miles traveled, if using
a mileage schedule in subsection (8)(c) of section 49-434, Idaho Code, are
less than the maximum mileage schedule.
    (3)  When the records are maintained outside this state by owners engaged
in transportation in this state, the owner shall reimburse the state tax
commission for reasonable expenses incurred by the state tax commission in
conducting audits of those records and accounts at the out-of-state location.
The owner or the state tax commission may request that the records be
presented at a place within the state designated by the state tax commission.
The records must be presented by a representative of the owner who is familiar
with the records and who is responsible for the safekeeping of the records.
    (4)  Every owner is required to maintain records for the current year and
the three (3) years immediately preceding. If an assessment has been made,
such audit assessment may be collected by a proceeding in court within a
period of three (3) years after the assessment or a final order entered
pursuant to subsection (7) of this section.
    (5)  An owner who fails to maintain records as required by the provisions
of this section may have the registration of all vehicles registered under
section 49-434 or 49-435, Idaho Code, suspended until such time as adequate
records as required by the provisions of this section are provided. In the
event that the owner does not produce records, the state tax commission may
generate a notice of deficiency based on an estimate of the operation. The
state tax commission shall develop a methodology to be used to calculate a
notice of deficiency based on an estimate of the operation. That methodology
shall be in accordance with the international registration plan and
international fuel tax agreement guidelines.
    (6)  The state tax commission shall provide the carrier with notice of
deficiency and the opportunity to use the appeals process prior to a
suspension. An owner may contest a notice of deficiency made by the state tax
commission within thirty (30) days from receipt of the notice by filing an
appeal in accordance with sections 63-3045, 63-3045B, 63-3047, 63-3048 and
63-3049, Idaho Code.
    (7)  An owner, as identified by the state tax commission, who fails to pay
any audit assessment due is subject to suspension of vehicle registrations. A
reinstatement fee of forty dollars ($40.00) shall be imposed in addition to a
penalty of ten percent (10%) of the amount of audit assessment determined to
be due, plus interest of one percent (1%) of the amount of the audit
assessment due for each month or fraction thereof after the original
registration fee became due. An order suspending the vehicle registration
shall be mailed to the owner by the department. The suspension shall be
canceled if the payment due is made, plus penalty and interest, along with the
reinstatement fee of forty dollars ($40.00) per carrier within fifteen (15)
days after receipt of the suspension order. The reinstatement fees shall be
deposited to the state highway account. The department shall not reregister or
permit a vehicle to operate on a trip permit until all audit assessments,
penalties and interest have been paid.