On March 7, 2017, the Department notified the Taxpayer that its claim for refund was untimely because it was received after the statute of limitations and therefore was denied. The deadline to claim a refund for the period ending December 31, 2012 based on the statute of limitations was December 31, 2016. On April 28, 2017, the Taxpayer submitted a timely formal protest with the Department. The Taxpayer argues that based on prior communication that was sent to the Department the claim for refund should be considered timely. The Department argues that a complete request for refund required by Section 7-1-26, NMSA 1978 Regulation 3.1.98 NMAC was not filed with the Department until after December 31, 2016 and therefore had to be denied. The Taxpayer argued that the regulation was asking for an amended return when it was not required by statute. The Hearing Officer determined that the regulation is reasonable and relevant as the amended return helps the Department to determine that the refund claim being requested is accurate. Due to the Taxpayer failing to request a refund as outlined in statute, regulation, and in the forms issued by the Department before the expiration of the statute of limitations, the refund is barred. The Taxpayer’s protest is denied.
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