(a) Action.--The Secretary may at any time within the statute of limitations immediately
assess and collect any tax the Secretary finds is due from a taxpayer if the Secretary
determines that collection of the tax is in jeopardy and immediate assessment and
collection are necessary in order to protect the interest of the State. In making a jeopardy collection, the Secretary may use any of the collection remedies
in G.S. 105-242 and is not required to wait any period of time before using these remedies. Within 30 days after initiating a jeopardy collection, the Secretary must give the
taxpayer the notice of proposed assessment required by G.S. 105-241.9.
(b) Review by Department.--Within five days after initiating a jeopardy collection
that is not the result of a criminal investigation or of a liability for a tax imposed
under Article 2D of this Chapter, the Secretary must provide the taxpayer with a written
statement of the information upon which the Secretary relied in initiating the jeopardy
collection. Within 30 days after receipt of this written statement or, if no statement is received,
within 30 days after the statement was due, the taxpayer may request the Secretary
to review the action taken. After receipt of this request, the Secretary must determine whether initiating the
jeopardy collection was reasonable under all the circumstances and whether the amount
assessed and collected was reasonable under all the circumstances. The Secretary must give the taxpayer written notice of this determination within
30 days after the request.
(c) Judicial Review.--Within 90 days after the earlier of the date a taxpayer received
or should have received a determination of the Secretary concerning a jeopardy collection
under subsection (b) of this section, the taxpayer may bring a civil action seeking
review of the jeopardy collection. The taxpayer may bring the action in the Superior Court of Wake County or in the
county in North Carolina in which the taxpayer resides. Within 20 days after the action is filed, the court must determine whether the initiation
of the jeopardy collection was reasonable under the circumstances. If the court determines that an action of the Secretary was unreasonable or inappropriate,
the court may order the Secretary to take any action the court finds appropriate. If the taxpayer shows reasonable grounds why the 20-day limit on the court should
be extended, the court may grant an extension of not more than 40 additional days.
FindLaw Codes may not reflect the most recent version of the law in your jurisdiction. Please verify the status of the code you are researching with the state legislature or via Westlaw before relying on it for your legal needs.
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