Tennessee § 67-1-1803 - Jurisdiction — Certification of refunds — Attorneys' fees — Statute of limitation tolled — Appeals — Expedited proceedings.

§ 67-1-1803. Jurisdiction — Certification of refunds — Attorneys' fees — Statute of limitation tolled — Appeals — Expedited proceedings.

Subject matter jurisdiction shall be, and the venue of suits filed pursuant to this part shall lie, in the chancery court in either Davidson County or in the county in Tennessee of the taxpayer's domicile or in the county in which the taxpayer has the taxpayer's principal place of business in Tennessee. If it is determined that the taxes for which a claim for refund was made pursuant to § 67-1-1802, or as to which suit proceeded as a timely suit for refund pursuant to § 67-1-1801(i), were not due from the taxpayer to the commissioner of revenue for any reason going to the merits of the tax, then the court shall certify of record that the tax was wrongfully paid and ought to be refunded, together with interest on the tax calculated forty-five (45) days from the date of filing a claim for refund or date of waiver by the commissioner pursuant to § 67-1-1802(c)(2), or on the date of payment in the case of any tax collected after suit was filed under § 67-1-1801, in accordance with § 67-1-1801(d). Thereupon, the commissioner of finance and administration shall issue such commissioner's warrant for the refund, which shall be paid in preference to all other claims on the state treasury. For the purpose of suits brought under this part, the commissioner of revenue shall be considered a resident of each of the several counties of the state. The court shall award to the prevailing party reasonable attorneys' fees and expenses of litigation up to twenty percent (20%) of the amount finally assessed or denied, including interest after payment. For purposes of this subsection (d), attorneys' fees shall not exceed fees calculated on the basis of reasonable hourly rates multiplied by a reasonable number of hours expended in the case and shall not be calculated by application of any premium, enhancement, or contingency. For purposes of this subsection (d), the state shall be deemed the prevailing party where the taxpayer is found by a court to be the transferee of assets conveyed in violation of title 66, chapter 3, or the tax, penalty or interest at issue in the case arises from the same underlying activity with respect to which the taxpayer or one of its officers, owners or employees was found to have committed fraud. The filing of the suit by the taxpayer tolls all statutes of limitations as to other persons potentially liable to the taxpayer due to the occurrence from which the claim before the court arises until the final determination of the suit. Appeals of any decision of the chancery court of suits brought under this part shall be under the Tennessee Rules of Appellate Procedure. Hearings and determination of all proceedings brought under this part, shall be expedited to the extent feasible and proper. Acts 1986, ch. 749, § 7; 1991, ch. 402, § 1; 1992, ch. 952, § 9; 1994, ch. 956, § 1; 2007, ch. 602, § 34; 2008, ch. 1106, § 60; 2009, ch. 530, § 102; 2014, ch. 854, § 10. Amendments. The 2014 amendment, effective January 1, 2015, inserted “finally” between “amount” and “assessed” in the first sentence in (d). Effective Dates. Acts 2014, ch. 854, § 11. January 1, 2015. Cited: Angel v. Jackson, 724 S.W.2d 736, 1987 Tenn. LEXIS 822 (Tenn. 1987); South Cent. Bell Tel. Co. v. Celauro, 754 S.W.2d 605, 1988 Tenn. LEXIS 141 (Tenn. 1988); Warner-Tamble Co. v. Taylor, 778 S.W.2d 440, 1989 Tenn. LEXIS 456 (Tenn. 1989); Graphic Sys. v. Taylor, 791 S.W.2d 27, 1990 Tenn. LEXIS 214 (Tenn. 1990); James v. Huddleston, 795 S.W.2d 661, 1990 Tenn. LEXIS 308 (Tenn. 1990); Hearthstone, Inc. v. Moyers, 809 S.W.2d 888, 1991 Tenn. LEXIS 136 (Tenn. 1991); GMC v. Taylor, 811 S.W.2d 897, 1991 Tenn. LEXIS 251 (Tenn. 1991); Southern Ry. Co. v. Taylor, 812 S.W.2d 577, 1991 Tenn. LEXIS 250 (Tenn. 1991); Lowe's Companies, Inc. v. Cardwell, 813 S.W.2d 428, 1991 Tenn. LEXIS 294 (Tenn. 1991); SC & T Properties v. Huddleston, 823 S.W.2d 541, 1992 Tenn. LEXIS 25 (Tenn. 1992); Covington Pike Toyota, Inc. v. Cardwell, 829 S.W.2d 132, 1992 Tenn. LEXIS 221 (Tenn. 1992); Eusco, Inc. v. Huddleston, 835 S.W.2d 576, 1992 Tenn. LEXIS 431 (Tenn. 1992); AFG Indus., Inc. v. Cardwell, 835 S.W.2d 583, 1992 Tenn. LEXIS 429 (Tenn. 1992); Nashville Golf & Athletic Club v. Huddleston, 837 S.W.2d 49, 1992 Tenn. LEXIS 487 (Tenn. 1992); Federated Stores Realty, Inc. v. Huddleston, 852 S.W.2d 206, 1992 Tenn. LEXIS 359 (Tenn. 1992); Mast Adv. & Publishing, Inc. v. Moyers, 865 S.W.2d 900, 1993 Tenn. LEXIS 406 (Tenn. 1993); Hutton v. Johnson, 956 S.W.2d 484, 1997 Tenn. LEXIS 569 (Tenn. 1997); Colemill Enters. v. Huddleston, 967 S.W.2d 753, 1998 Tenn. LEXIS 192 (Tenn. 1998); Gehl Corp. v. Johnson, 991 S.W.2d 246, 1998 Tenn. App. LEXIS 820 (Tenn. Ct. App. 1998); J.C. Penney Nat. Bank v. Johnson, 19 S.W.3d 831, 1999 Tenn. App. LEXIS 826 (Tenn. Ct. App. 1999); Nashville Clubhouse Inn v. Johnson, 27 S.W.3d 542, 2000 Tenn. App. LEXIS 163 (Tenn. Ct. App. 2000); Suntrust Bank v. Johnson, 46 S.W.3d 216, 2000 Tenn. App. LEXIS 807 (Tenn. Ct. App. 2000); Hawkins v. Tenn. Dep't of Corr., 127 S.W.3d 749, 2002 Tenn. App. LEXIS 536 (Tenn. Ct. App. 2002); Hardcastle v. Harris, 170 S.W.3d 67, 2004 Tenn. App. LEXIS 827 (Tenn. Ct. App. 2004); Corp. v. Chumley, 190 S.W.3d 652, 2005 Tenn. App. LEXIS 664 (Tenn. Ct. App. 2005); Bellsouth Adver. & Publ. Corp. v. Chumley, 308 S.W.3d 350, 2009 Tenn. App. LEXIS 576 (Tenn. Ct. App. Aug. 26, 2009); ADT Sec. Servs. v. Johnson, 329 S.W.3d 769, 2009 Tenn. App. LEXIS 775 (Tenn. Ct. App. Nov. 19, 2009); Cao Holdings, Inc. v. Trost, 333 S.W.3d 73, 2010 Tenn. LEXIS 1149 (Tenn. Dec. 15, 2010); Wicker v. Comm'r, Tenn. Dep't of Revenue, 342 S.W.3d 35, 2010 Tenn. App. LEXIS 397 (Tenn. Ct. App. June 23, 2010); Blue Bell Creameries, LP v. Roberts, 333 S.W.3d 59, 2011 Tenn. LEXIS 6 (Tenn. Jan. 24, 2011); Scholastic Book Clubs, Inc. v. Farr, 373 S.W.3d 558, 2012 Tenn. App. LEXIS 57 (Tenn. Ct. App. Jan. 27, 2012); Boote v. Roberts, — S.W.3d —, 2013 Tenn. App. LEXIS 222 (Tenn. Ct. App. Mar. 28, 2013).