New Mexico § 7-1-11.2 - Required audit notices

§ 7-1-11.2. Required audit notices

A. Except as provided in Subsection G of this section, prior to or coincident with

requesting records and books of account from a taxpayer pursuant to Section 7-1-11 NMSA 1978 , as part of an office or field audit, the department shall provide the taxpayer with

written dated notice of the commencement of an audit. The notice shall, at a minimum, state the tax programs and reporting periods to

be covered and the date on which the audit is commenced. B. To any taxpayer to whom the department is required to provide a written notice

of the commencement of an audit, the department shall also provide a written notice

of the outstanding records or books of account that have been requested but not received. If the taxpayer has provided all records and books of account requested, the notice

shall so state. The notice of outstanding records or books of account shall be given no sooner than

sixty days, unless the taxpayer provides a written request for early completion of

the audit, and no later than one hundred eighty days after the date of the commencement

of the audit. The notice of outstanding records or books of account shall be dated and shall provide

reasonable descriptions of any records or books of account needed or the information

expected to be contained in them and shall give the taxpayer ninety days to comply

with Section 7-1-11 NMSA 1978 . The notice shall state that if the taxpayer does not properly comply within ninety

days of the date of the notice, the department will proceed to issue any assessment

of tax due on the basis of information available. C. A taxpayer may request additional time to comply with the notice of outstanding

records and books of account. Such request shall be in writing and shall state the amount of time needed. D. If the department does not issue an assessment within one hundred eighty days after

giving a notice of outstanding records or books of account or within ninety days after

the expiration of the additional time requested by the taxpayer to comply, if such

request was granted, interest shall be computed in accordance with Paragraph (6) of Subsection A of Section 7-1-67 NMSA 1978 . E. Any taxpayer who was not provided a proper notice of outstanding records or books

of account is entitled to computation of interest in accordance with Paragraph (7) of Subsection A of Section 7-1-67 NMSA 1978 . F. Nothing in this section shall prevent the department from requesting from the taxpayer

a waiver of the statute of limitations for assessment of tax owed. Nothing in this section shall prevent the department from issuing an assessment

of tax owed on the basis of the information available. G. This section does not apply to investigations of fraud.