TITLE I
THE STATE AND ITS GOVERNMENT

Chapter 21-J
DEPARTMENT OF REVENUE ADMINISTRATION

General Provisions

Section 21-J:1

    21-J:1 Establishment; General Functions. –
I. There is established the department of revenue administration, an agency of the state, under the executive direction of a commissioner of revenue administration.
II. The department of revenue administration, through its officials, shall be responsible for the following general functions:
(a) Overseeing the collection of state taxes, assigned by specific tax law.
(b) Providing information collected through tax administration activities to the governor and general court for public policy decisions. This information shall not include material which identifies, or permits identification of, particular taxpayers.
(c) Establishing a uniform system of financial reports and accounting for the state's political subdivisions.

Source. 1985, 204:1. 1987, 109:3, eff. July 5, 1987; 408:3, eff. May 26, 1987.

Section 21-J:1-a

    21-J:1-a Boards Administratively Attached. –
The following boards shall be administratively attached to the department of revenue administration, under RSA 21-G:10:
I. The current use board, established under RSA 79-A:3.
II. The assessing standards board, established under RSA 21-J:14-a.
III. [Repealed.]

Source. 1991, 281:1. 2001, 297:1, eff. Sept. 15, 2001. 2013, 20:1, III, eff. July 15, 2013.

Section 21-J:1-b

    21-J:1-b Revenue Information Management System Account. –
I. There is hereby established a nonlapsing revenue information management system account. The state treasurer shall credit the additional revenue from existing taxes collected by the department attributable to implementation of the department's revenue information management system (RIMS), as calculated by the commissioner of the department of revenue administration, to the revenue information management system account from which the treasurer shall pay principal and interest on bonds and notes issued to fund the RIMS project. Said funds shall not be used for any other purpose.
II. The revenue increase from existing taxes attributable to the RIMS collected by the department and deposited in the revenue information management system account shall be no greater than $4,000,000 each fiscal year beginning in the fiscal year ending June 30, 2020, and ending when deposits total $40,000,000. The commissioner shall report annually on the methodology used to determine the revenue increase to the capital budget overview committee and house and senate ways and means committees.
III. In addition to the amounts in paragraph II for the biennium ending June 30, 2019, the state treasurer shall deposit any excess general fund appropriation for debt service into the revenue information management system account for prepayment of bonds issued to finance RIMS once the bonds can be called.
IV. Any moneys remaining in the account after the final payments have been made shall lapse to the general fund.

Source. 2017, 156:134, eff. July 1, 2017. 2019, 346:85, eff. July 1, 2019.

Section 21-J:2

    21-J:2 Commissioner; Directors; Compensation. –
I. The commissioner of the department of revenue administration shall be appointed by the governor, with the consent of the council, and shall serve for a term of 4 years. The commissioner of revenue administration shall be qualified by reason of professional competence, education, and experience.
II. The commissioner shall nominate a director, division of audits, a director, division of taxpayer services, a director, division of collections, and a director, division of municipal and property, for appointment by the governor, with the consent of the council. These division directors shall serve at the pleasure of the commissioner. The directors of the divisions shall be qualified by reason of professional competence, education, and experience.
III. The salaries of the commissioner and the director, division of audits, the director, division of taxpayer services, the director, division of collections, and the director, division of municipal and property, shall be as specified in RSA 94:1-a.

Source. 1985, 204:1. 2005, 218:1, eff. Sept. 3, 2005. 2013, 247:9, eff. July 24, 2013. 2017, 156:113, eff. July 1, 2017.

Section 21-J:3

    21-J:3 Duties of Commissioner. –
In addition to the powers, duties, and functions otherwise vested by law, including RSA 21-G, in the commissioner of the department of revenue administration, the commissioner shall:
I. Represent the public interest in the administration of the department and be responsible to the governor, the general court, and the public for such administration.
II. Prepare and furnish to selectmen and assessors, at the expense of the state, a sufficient number of inventory blanks upon which individuals and corporations shall list taxable property for return to said selectmen and assessors.
III. Procure and furnish to the selectmen of towns and assessors of cities, on or before April 1 of each year, blanks upon which to make certificates of the number of individuals and the valuation of the ratable estates of their respective towns and cities. The certificates when completed shall be returned to the commissioner.
IV. Determine from such certificates the average rate of taxation throughout the state.
V. Exercise general supervision over the administration of the assessment and taxation laws of the state and over all assessing officers in the performance of their duties, except the board of tax and land appeals, to the end that all assessments of property be made in compliance with the laws of the state.
VI. Confer with, advise, and give the necessary instructions and directions to local assessing officers throughout the state as to their duties, and to that end to call meetings of such assessing officers, to be held at convenient places, for the purpose of receiving instructions from the commissioner as to the laws governing the assessment and taxation of all classes of property.
VII. Direct proceedings, actions, and prosecutions to be instituted to enforce the laws relating to the liability and punishment of individuals, public officers, and officers and agents of corporations for failure or neglect to comply with the provisions of the law of this state governing returns for the assessment and taxation of property.
VIII. Require county, city, town, and other public officers to report information as to the assessment of property, collection of taxes, and such other information required by the commissioner, in such form and upon such blanks as the commissioner may prescribe. All county, city, town, and other public officers shall furnish the commissioner with the information required.
IX. Summon witnesses to appear and give testimony, and to produce books, records, papers, and documents relating to any tax matter which the commissioner has authority to investigate or determine.
X. Cause depositions of witnesses residing within or without this state, or absent from the state, to be taken in like manner as depositions of witnesses are taken in civil actions in the superior court, in any matter which the commissioner has authority to investigate or determine.
XI. Formulate and recommend any legislation as he may deem expedient to prevent the evasion of assessment and tax laws, and to secure just and equal taxation and improvement in the system of taxation in the state.
XII. File with the secretary of state his report showing all the taxable property in the state and its assessed value, in tabulated form, and such other statistics and information as may be deemed of interest. This report shall be filed not later than 30 days after all necessary figures became available.
XIII. Equalize annually by May 1 the valuation of the property as assessed in the several towns, cities, and unincorporated places in the state including the value of property exempt pursuant to RSA 72:37, RSA 72:37-b, RSA 72:39-a, RSA 72:62, RSA 72:66, RSA 72:70, RSA 72:85, and RSA 72:87, property which is subject to tax relief under RSA 79-E:4, and property which is subject to tax relief under RSA 79-E:4-a or RSA 79-E:4-b, by adding to or deducting from the aggregate valuation of the property in towns, cities, and unincorporated places such sums as will bring such valuations to the true and market value of the property, and by making such adjustments in the value of other property from which the towns, cities, and unincorporated places receive taxes or payments in lieu of taxes, including renewable generation facility property subject to a payment in lieu of taxes agreement under RSA 72:74 and combined heat and power agricultural facility property subject to a payment in lieu of taxes agreement under RSA 72:74-a, as may be equitable and just, so that any public taxes that may be apportioned among them shall be equal and just. In carrying out the duty to equalize the valuation of property, the commissioner shall follow the procedures set forth in RSA 21-J:9-a.
XIV. Conduct required audits of local units of government.
XV. Establish and approve tax rates as required by law.
XVI. Have the authority to abate, in whole or in part, any taxes, additions to tax, penalties, or interest wrongfully assessed under this title or which, in his judgment, are uncollectible or for which the administrative and collection costs involved would not warrant collection of the amount due or for such other good cause as the commissioner shall determine.
XVII. Appoint a chief of field audits, field audit team leaders, and multi-entity tax auditors, who shall be unclassified employees and who shall serve at the pleasure of the commissioner.
XVIII. Hear appeals on disputed taxes, penalties, and interest and on decertification or rejection under RSA 21-J:14-g.
XIX. Have the authority to administer oaths and to examine under oath any person with respect to any matter within the department's jurisdiction.
XX. Enter in contractual agreements with financial institutions to receive and process tax returns or documents and deposit tax revenues received with such documents.
XXI. Except as provided in RSA 78-A:8 and RSA 84-C:5, have authority to require a taxpayer to remit taxes by electronic funds transfer when the taxpayer, including combined return filers, had a tax liability in the prior tax year of $100,000 or more.
XXII. Have authority subject to appropriation to establish the electronic transfer of departmental information intended for the public, and to recover reasonable costs for the service, all of which shall be returned to the general fund as unrestricted revenue.
XXIII. [Repealed.]
XXIV. Have the authority subject to appropriation to publish and distribute a "Package X" containing department-administered tax forms and instructions, and to recover reasonable costs for such publication, all of which shall be returned to the general fund as unrestricted revenue.
XXV. Petition the board of tax and land appeals to issue an order for reassessment of property pursuant to the board's powers under RSA 71-B:16-19 whenever the valuation of property in a particular city, town, or unincorporated place is disproportional to the valuation of other property within that city, town, or unincorporated place, or whenever the municipality has not complied with RSA 75:8-a.
XXVI. Review and report each municipality's assessments once within every 5 years pursuant to RSA 21-J:11-a.
XXVII. Have the authority to contract with vendors to collect unpaid tax liabilities and share such taxpayer information with authorized vendors as is reasonably necessary to collect such debts.
XXVIII. Conduct audits of retailers subject to the enhanced 911 services surcharge imposed under RSA 106-H:9 and report the results of such audits to the bureau of emergency communications, division of emergency services and communications, of the department of safety.
XXIX. The commissioner shall compile and make available annually by July 1 to municipalities and to the assessing standards board a report on residential rental property subject to a housing covenant under the low-income housing tax credit program pursuant to RSA 75:1-a, including the following:
(a) A determination of which municipalities have properties that are participating in the program;
(b) The number of properties within each municipality participating in the program;
(c) The assessed value of the properties prior to the effective date of RSA 75:1-a; and
(d) The assessed value of the properties under RSA 75:1-a.
XXX. Have the authority to allow returns, declarations, or other documents containing monetary values filed with the department to be prepared by rounding to the nearest whole dollar.
XXXI. Have the authority, subject to appropriation, to contract with the Multistate Tax Commission for participation in audits performed by the Multistate Tax Commission on behalf of member states. While under contract with the state, the Multistate Tax Commission shall be an authorized agent of the commissioner for the purposes of paragraph IX.
XXXII. Establish a voluntary disclosure program for taxes administered by the department where a person or entity voluntarily self-discloses a tax liability to the department and the department waives applicable penalties and settles and compromises the taxes and interest due through a voluntary disclosure agreement. A person or entity shall not be eligible to participate in the voluntary disclosure program if the department has contacted or informed the person or entity, an affiliate of the entity, or a member of a unitary business, of which the entity is a member, that the department is inquiring into the person, entity, or unitary business' liability for tax or whether the person, entity, or unitary business is subject to tax or tax collection responsibilities in this state. A person or entity shall not be eligible to participate in the voluntary disclosure program regarding a specific tax administered by the department if the person, entity, or unitary business, of which the person or entity is a member, has filed a return in a previous taxable period for the specific tax, except for good cause shown. A provider, operator, or retailer who collected, but failed to remit, the tax to the state shall not be eligible for the voluntary disclosure program.
XXXIII. File a report not later than March 31 of each year with the ways and means committees of the senate and the house of representatives informing the committees of any changes to the United States Internal Revenue Code, related Treasury Regulations, and administrative rulings, which would impact New Hampshire.

Source. 1985, 204:1. 1987, 408:4. 1988, 232:1, 2. 1989, 50:1. 1991, 163:2; 362:6. 1993, 61:1. 1995, 45:1; 308:121. 1997, 351:12. 1998, 383:1. 1999, 17:3-5, 58, III. 2000, 239:1. 2001, 158:55; 297:3, 14, 15. 2003, 307:6. 2004, 203:1, 7. 2005, 166:1; 251:1. 2006, 294:8. 2008, 361:14; 390:7. 2010, 152:1, eff. Aug. 13, 2010. 2012, 14:3, eff. July 1, 2012. 2014, 78:1, eff. May 27, 2014; 277:1, eff. July 28, 2014. 2015, 254:1, eff. Sept. 11, 2015; 276:183, eff. Sept. 16, 2015; 276:245, eff. July 1, 2015. 2016, 85:11, eff. July 18, 2016; 295:5, eff. June 21, 2016. 2017, 203:1, eff. Sept. 3, 2017. 2019, 266:3, eff. Apr. 1, 2019; 327:7, eff. Oct. 15, 2019. 2021, 200:2, Pt. I, Sec. 1, eff. Oct. 9, 2021; 200:2, Pt. II, Sec. 4, eff. Oct. 9, 2021.

Section 21-J:3-a

    21-J:3-a Background Checks. –
I. The commissioner of the department of revenue administration may require a background investigation and a criminal history records check on any candidate for employment in a position in the department prior to a final offer of employment. The commissioner may request only a state records check or both a federal and state records check, to be conducted through the division of state police. The commissioner may extend a conditional offer of employment to a candidate, with a final offer of employment subject to a successfully completed criminal history records check.
I-a. The commissioner of the department of revenue administration may require a background investigation and a criminal history records check on any current employee of the department for the purpose of determining that employee's suitability to access confidential tax information, including federal tax information. The commissioner may request only a state records check or both a federal and state records check, to be conducted through the division of state police.
II. A candidate for employment in a position in the department or a current employee required by the commissioner to submit to a background investigation and a criminal history records check shall submit to the commissioner a criminal history records release form, as provided by the division of state police, which authorizes the release of the person's criminal records, if any. The candidate or employee shall submit with the release form a complete set of fingerprints taken by a law enforcement agency as directed by the commissioner. In the event that the first set of fingerprints is invalid due to insufficient pattern and a second set of fingerprints is necessary in order to complete the criminal history records check, any conditional offer of employment shall remain in effect. If, after 2 attempts, a set of fingerprints is invalid due to insufficient pattern, the commissioner may, in lieu of the criminal history records check, accept police clearances from every city, town, or county where a candidate or employee has lived during the past 5 years.
III. To obtain a state records check only, the commissioner or his or her designee shall submit a state criminal history records release form to the division of state police. To obtain both the federal and the state records check, the commissioner or his or her designee shall submit the criminal history records release form and applicant finger print card to the division of state police, which shall conduct a criminal history records check through its records and through the Federal Bureau of Investigation. Upon completion of the background investigation, the division of state police shall report any criminal conviction information to the commissioner or his or her designee. The commissioner or his or her designee may submit fingerprint information electronically, in accordance with procedures established by the division of state police. The department shall maintain the confidentiality and security of all criminal history records information received pursuant to this paragraph.
IV. The commissioner may require the candidate or employee to pay the actual costs of the background investigation and the criminal history records check.
V. For purposes of this section, the terms "candidate" and "employee" shall include any contractor, subcontractor, vendor, or other person performing work, including unpaid work or as a volunteer, at the department of revenue administration.

Source. 2015, 254:2, eff. Sept. 11, 2015. 2018, 318:1, eff. Aug. 24, 2018; 318:36, eff. Jan. 1, 2019.

Section 21-J:4

    21-J:4 Assistant Commissioner. –
I. The commissioner of revenue administration shall nominate an assistant commissioner for appointment by the governor, with the consent of the council. The assistant commissioner shall serve for a term of 4 years. The assistant commissioner shall be qualified to hold that position by reason of education and experience.
II. The assistant commissioner shall perform such duties as are assigned by the commissioner. The assistant commissioner shall assume the duties of the commissioner in the event that the commissioner is unable for any reason to perform such duties.
III. The salary of the assistant commissioner shall be as specified in RSA 94:1-a.

Source. 1985, 204:1, eff. July 1, 1985.

Section 21-J:5

    21-J:5 Division Directors. –
I. Each director shall be bonded in such amount and with such sureties as are sufficient under RSA 93-B.
II. The director of each division shall have the power to require, subject to approval by the commissioner, the production of books, affidavits, papers, and documents of all kinds and the appearance of any person as may be necessary to carry out the powers, duties, and authority vested in such division.
III. Subject to the approval of the governor and council, each division may incur necessary expenses in the administration of its powers, duties, and authority and the governor is hereby authorized to draw his warrant for the expenses.
IV. The commissioner shall appoint an assistant director for each division. Assistant division directors shall be classified employees, except for the assistant director of audits, who shall be an unclassified employee.

Source. 1985, 204:1. 1988, 232:3. 1994, 158:6. 1998, 105:1. 2010, 152:2. 2011, 224:196, eff. July 1, 2011.

Section 21-J:6

    21-J:6 Administration Unit. –
There is hereby established within the department an administration unit. The assistant commissioner shall supervise the administration unit and shall be responsible for the following functions, in accordance with applicable laws:
I. Budget, personnel, payroll, and purchasing matters.
II. Handling of accounts receivable for the municipal and property division.
III. Assistance to the commissioner with short and long range department level planning activities.

Source. 1985, 204:1. 2005, 218:2, eff. Sept. 3, 2005. 2014, 161:1, eff. July 10, 2014.

Section 21-J:6-a

    21-J:6-a Repealed by 2016, 85:10, II, eff. July 18, 2016. –

Section 21-J:6-b

    21-J:6-b Revenue Counsel. –
I. There is established within the department the position of revenue counsel who shall be responsible for providing advice and legal representation for the department in all matters of administration of the tax laws assigned to the department.
II. The commissioner shall appoint the position of revenue counsel who shall serve at the pleasure of the commissioner.
III. The salary of the revenue counsel shall be as specified in RSA 94:1-a.

Source. 1991, 355:6. 2011, 173:4, eff. Aug. 13, 2011.

Section 21-J:6-c

    21-J:6-c Repealed by 2017, 156:116, eff. July 1, 2017. –

Section 21-J:6-d

    21-J:6-d Tax Policy Analyst. –
I. There is established within the department the unclassified position of tax policy analyst who shall be responsible for:
(a) Advising the commissioner and assistant commissioner of recommended changes in state statutes, rules, and administrative policies and procedures;
(b) Coordinating all matters of legislative and tax policy assigned to the department; and
(c) Representing the department before the general court.
II. The commissioner shall appoint the unclassified position of tax policy analyst who shall serve at the pleasure of the commissioner.
III. The salary of the tax policy analyst shall be as specified in RSA 94:1-a.

Source. 2015, 254:3, eff. Sept. 11, 2015.

Section 21-J:7

    21-J:7 Division of Audits. –
There is established within the department the division of audits, under the supervision of an unclassified director of audits who shall be responsible for the following functions, in accordance with applicable laws:
I. Classifying for possible audit all returns, reports, or other documentation submitted by taxpayers or their authorized representatives for all taxes administered by the department.
II. Office and field examinations on all returns, reports or other documentation submitted by taxpayers or their authorized representatives for all taxes administered by the department.
III. [Repealed.]

Source. 1985, 204:1. 1987, 408:10. 1991, 163:3, eff. May 27, 1991.

Section 21-J:8

    21-J:8 Division of Collections. –
I. There is established within the department the division of collections, under the supervision of an unclassified director of collections who shall be responsible for the following functions, in accordance with applicable laws:
(a) Collecting all outstanding taxes owed to the state which are within the department's jurisdiction.
(b) Securing all delinquent returns required to be filed with the state by any taxpayer.
(c) [Repealed.]
II. In the exercise of its powers and duties, the division shall have the powers of a tax collector under RSA 80, except that state taxes administered by the department which are outstanding shall not take precedence over prior recorded first and second mortgages.

Source. 1985, 204:1. 1989, 266:1. 1993, 114:3. 2005, 218:4, eff. Sept. 3, 2005.

Section 21-J:9

    21-J:9 Repealed by 2013, 247:7, eff. Mar. 24, 2014. –

Section 21-J:9-a

    21-J:9-a Equalization Procedure. –
The following procedures shall apply in determining the equalization of property within the cities, towns, and unincorporated places as required by RSA 21-J:3, XIII, but shall not affect a municipality's requirements for inventory of property and assessment of taxes as of April 1:
I. The commissioner shall annually conduct a sales-assessment ratio study which shall include arm's length sales or transfers of property that occurred 6 months prior to and 6 months following April 1 of the tax year for which such equalization is made.
II. In determining the arm's length sales or transfers that are included in the sales-assessment ratio study, the commissioner may use a randomly selected sample of such sales and transfers the size of which shall be determined by the total taxable parcels in the city, town, or unincorporated place.
III. If less than 2 percent of the total taxable parcels in a city, town, or unincorporated place has been transferred by an arm's length sale or transfer during the 6 months prior to and 6 months following April 1 of the tax year for which such equalization is made or the commissioner determines the sales are unrepresentative of the property within the municipality, the commissioner may choose one or more of the following options:
(a) Include appraisals of any of the taxable property of such city, town, or unincorporated place in the sales-assessment ratio study. Such appraisals shall be based on full and true value pursuant to RSA 75:1 and shall be performed by department appraisers. The property to be appraised shall be selected by the commissioner.
(b) Include arm's length sales or transfers in the city, town, or unincorporated place, within 2-1/2 years preceding April 1 of the year preceding the tax year for which such equalization is made.
(c) Consider recent equalization ratio activity in adjoining cities, towns, or unincorporated places.
IV. The commissioner may use the inventory of property transfers authorized by RSA 74:18 in determining the equalized value of property and may consider such other evidence as may be available to the commissioner on or before the time the final equalized value is determined.
V. A report filed by the assessing officials of each city, town, and unincorporated place shall certify sales-assessment information necessary for the commissioner to conduct the annual sales-assessment ratio study required under paragraph I. This report shall be filed within 45 days after receipt from the commissioner. Municipalities which fail to timely file the report due to willful neglect or intentional disregard of laws or rules and not reasonable cause shall pay a penalty to the state in the amount of $100 for each day that the report is not timely filed. Within 30 days after the imposition of the penalty by the commissioner, officials of the city, town, or unincorporated place upon which the penalty was imposed may appeal by written application to the board of tax and land appeals or the superior court in the county in which the city, town, or unincorporated place is located. The board of tax and land appeals or the superior court, as the case may be, shall determine de novo the correctness of the commissioner's actions.

Source. 1999, 17:7. 2000, 239:2, 3. 2001, 297:16. 2003, 307:1, eff. July 1, 2003.

Section 21-J:9-b

    21-J:9-b Repealed by 2003, 307:16, eff. July 1, 2003. –

Section 21-J:9-c

    21-J:9-c Orders for Reassessment. –
The following provisions shall govern cases in which the board of tax and land appeals has certified an order for reassessment to the department pursuant to RSA 71-B:17:
I. The commissioner may contract for the services of certified appraisers as needed to complete such reassessments in compliance with any certified orders of the board of tax and land appeals.
II. All reasonable expenses incurred by the department in completing a reassessment shall be paid in the first instance from the appropriation for the department, but each city, town, or county in the case of an unincorporated place, shall, upon notification by the commissioner of the amount due, reimburse the department for such expenses incurred as follows:
(a) The expenses for completing a reassessment, including, but not limited to, salaries of staff of the department for such time as the staff have spent on the reassessment, with the exception of expenses incurred by the department in the supervision and monitoring of appraisals pursuant to RSA 21-J:11, shall be reimbursed; and
(b) The amount of such reimbursement to the department shall, without vote of the municipality, be assessed and collected.

Source. 2001, 297:17, eff. Sept. 15, 2001.

Section 21-J:10

    21-J:10 Assistance to Municipalities. – The commissioner may assist any municipality in the appraisal and valuation of the taxable property therein upon written request by the proper municipal officers or when the municipality shall so vote. The department shall recover the full costs of providing such appraisal and valuation services, including the direct and indirect costs of appraisal staff and indirect administrative and support costs.

Source. 1985, 204:1. 1987, 408:6, eff. May 26, 1987.

Section 21-J:10-a

    21-J:10-a Repealed by 2005, 218:6, eff. Sept. 3, 2005. –

Section 21-J:11

    21-J:11 Appraisals of Property for Ad Valorem Tax Purposes. –
I. (a) Every person, firm, or corporation intending to engage in the business of making appraisals on behalf of a municipality for tax assessment purposes in this state shall notify the commissioner of that intent in writing. No person, firm, or corporation engaged in the business of making appraisals of taxable property for municipalities and taxing districts shall:
(1) Enter into any contract or agreement with any town, city, or governmental division without first submitting a copy of the contract or agreement to the commissioner along with the names and qualifications of all personnel to be employed under the contract or agreement for review of the proposed contract or agreement and written recommendations of the department to be made to the municipality within 10 working days of receipt by the department;
(2) Begin any appraisal work without first submitting a copy of the executed contract or agreement to the commissioner along with the names and qualifications of all personnel to be employed under the contract or agreement.
(b) Any contract or agreement entered into for a reassessment or new assessment ordered by the board of tax and land appeals, pursuant to RSA 71-B, shall be first submitted to the commissioner for examination and approval.
(c) This paragraph shall not apply to municipal employees.
II. The commissioner, at no expense to the municipality, shall monitor appraisals of property and supervise appraisers as follows:
(a) Assure that appraisals comply with all applicable statutes and rules;
(b) Assure that appraisers are complying with the terms of the appraisal contract or agreement;
(c) Review the accuracy of appraisals by inspection, evaluation, and testing, in whole or in part, of data collected by the appraisers; and
(d) Report to the governing body on the progress and quality of the municipality's appraisal process.
III. The commissioner shall adopt rules under RSA 541-A relative to the:
(a) Contract or agreement provisions for a full revaluation, a cyclical revaluation, a partial revaluation, or a statistical update; and
(b) Methodology for inspection, evaluation, and testing of data for the purpose of appraisal monitoring.

Source. 1985, 204:1. 1999, 17:8. 2002, 249:6. 2006, 193:4. 2007, 182:1, eff. April 1, 2007.

Section 21-J:11-a

    21-J:11-a Assessment Report. –
I. The commissioner shall report the degree to which assessments of a municipality achieve substantial compliance with applicable statutes and rules. The commissioner may consider whether:
(a) Level of assessments and uniformity of assessments are within acceptable ranges as recommended by the assessing standards board by considering, where appropriate, an assessment-to-sales-ratio study conducted by the department for the municipality;
(b) Assessment practices substantially comply with applicable statutes and rules;
(c) Exemption and credit procedures substantially comply with applicable statutes and rules;
(d) Assessments are based on reasonably accurate data; and
(e) Assessments of various types of properties are reasonably proportional to other types of properties within the municipality.
II. The commissioner shall issue a copy of the report upon its completion to the municipality and to the assessing standards board. The report shall be completed after the completion of the equalization of property valuations conducted pursuant to RSA 21-J:3, XIII. When issued, the report shall be a public document.
III. [Repealed.]
IV. The report shall separately categorize compliance with findings that test current assessing practices since the year of the prior assessment report, examine permanent records, and summarize compliance in a single conclusion statement.

Source. 2001, 158:56. 2003, 307:7. 2004, 203:13, eff. June 11, 2004. 2013, 18:1, eff. May 16, 2013. 2018, 50:1, eff. July 14, 2018.

Section 21-J:11-b

    21-J:11-b Implementation of Assessment Review. –
I. The commissioner of revenue administration shall adopt a schedule so that each city, town, and unincorporated place has its assessments reviewed within 5 years of April 1, 2007, and shall notify each city, town, and unincorporated place, within 60 days of passage of this act, of the property tax year for which their assessment review shall occur.
II. The department shall offer training and technical assistance to municipal officials to assist in complying with the provisions of RSA 75:8, RSA 75:8-a, and RSA 21-J:11-a.
III. The commissioner of revenue administration shall report in its annual report, the number of communities assisted and the types of assistance and training provided pursuant to RSA 21-J:10, RSA 21-J:11, and RSA 21-J:11-b, II.

Source. 2001, 158:56. 2003, 307:7. 2007, 214:1, eff. Aug. 24, 2007.

Section 21-J:12

    21-J:12 Taxpayer Services Division. –
There is established within the department the division of taxpayer services, under the supervision of an unclassified director of taxpayer services who shall be responsible for:
I. Processing all tax returns and payments filed with the government.
II. Providing general assistance to the public for all taxes administered by the department.
III. Maintaining and reconciling taxpayer accounts within the department's account management systems.

Source. 1985, 204:1. 1988, 232:4. 1991, 269:1. 2011, 224:198, eff. July 1, 2011. 2013, 247:12, eff. July 24, 2013. 2017, 156:114, eff. July 1, 2017.

Section 21-J:13

    21-J:13 Rulemaking Authority. –
The commissioner shall adopt rules, pursuant to RSA 541-A, relative to:
I. The collection of state taxes administered by the department under RSA 21-J:1, II(a).
II. The form of inventories used by individuals and corporations to list taxable property for return to selectmen and assessors, and the form of return blanks used by selectmen in towns and assessors in cities to make certificates of the number of individuals and the ratable valuation of the ratable estates under RSA 21-J:3, I.
III. The uniform auditing of county accounts and a standardized chart of accounts for those county accounts kept by county officers under RSA 21-J:16.
IV. The uniformity of municipal accounts through a standardized chart of accounts under RSA 21-J:17.
V. [Repealed.]
VI. The approval of appraisers of taxable property including:
(a) Evidence of the professional capability of personnel to be employed under contract under RSA 21-J:11; and
(b) The content of the contract to be approved under RSA 21-J:11, as provided in RSA 71-B.
VII. (a) The format and type of information to be submitted by local units of government which the commissioner needs to establish and approve tax rates.
(b) Interpretations of any statutes used in establishing the tax rate.
(c) The method by which a local unit of government may appeal a decision made by the department in the establishment of tax rates under RSA 21-J:3, XV.
VIII. The criteria which must be met to qualify as a nonprofit housing or health care facility for the purposes of RSA 72:23-k.
IX. The forms and any other information that shall be furnished to the department to perform the annual equalization as required under RSA 21-J:3, XIII and RSA 21-J:15.
X. A method for collecting taxes by electronic transfer under RSA 21-J:3, XXI.
XI. [Repealed.]
XII. Certification, decertification, enforcement, and hearing requirements under RSA 21-J:14-f and 21-J:14-g.
XIII. [Repealed.]
XIV. The implementation and administration of a voluntary disclosure program established under RSA 21-J:3, XXXII.

Source. 1985, 204:1. 1987, 194:2. 1989, 399:2, I. 1991, 269:2, 3. 1993, 61:2. 1994, 325:4. 1999, 17:58, IV. 2001, 297:4. 2004, 203:2, 8. 2009, 144:250. 2011, 47:1, I, eff. May 23, 2011. 2013, 247:4, eff. Mar. 24, 2014. 2015, 276:246, eff. July 1, 2015.

Section 21-J:13-a

    21-J:13-a Exemption From Rulemaking Requirement. – The commissioner shall be exempt from adopting, as rules pursuant to RSA 541-A, the requirements on all forms.

Source. 1996, 164:4. 2010, Sp. Sess., 1:74, eff. June 10, 2010.

Section 21-J:14

    21-J:14 Confidentiality of Department Records. –
I. Notwithstanding any other provision of law, and except as otherwise provided in this chapter, the records and files of the department are confidential and privileged. Neither the department, nor any employee of the department, nor the legislative budget assistant or any expert consultants, including certified public accountants, hired by the legislative budget assistant to assist in the carrying out of his or her duties, nor any other person charged with the custody of such records or files, nor any vendor or any of its employees to whom such information becomes available in the performance of any contractual services for the department shall disclose any information obtained from the department's records, files, or returns or from any examination, investigation or hearing, nor may any such employee or person be required to produce any such information for the inspection of any person or for use in any action or proceeding except as hereinafter provided.
II. The information deemed confidential and privileged in paragraph I shall include any information received from the United States Internal Revenue Service in accordance with compacts for exchange of information between the department and the Internal Revenue Service, and likewise shall include any United States federal tax information obtained on New Hampshire tax returns.
III. The information deemed confidential and privileged in paragraph I shall include any information received from any other state in accordance with compacts for the exchange of information between the department and any other state, which compacts the department is hereby authorized to enter.
IV. The records and files deemed confidential and privileged under this section shall not include records or files related to the following areas of the department's activities:
(a) Municipal service and regulatory responsibilities including, but not limited to, responsibilities under RSA 21-J:15-24.
(b) Tax related statistics, reports, summaries or other data prepared by the department which do not identify, or permit identification of, particular tax returns, reports, or related documents.
(c) Meals and rentals licenses as provided under RSA 78-A:4, III.
(d) The formula used by the department to assist the current use board in their determination of current use tax rates, and all variables within that formula, including definitions of those variables, if any.
V. The following exceptions shall apply to this section:
(a) Delivery to a taxpayer or his duly authorized representative of a copy of any return or other papers filed by the taxpayer.
(b) Disclosure of department records, files, or returns to the United States Department of Treasury and United States Food and Drug Administration in accordance with compacts for the exchange of information between the department and the bureaus within the Department of Treasury and the Food and Drug Administration, but only for the purpose of, and to the extent necessary in, the administration of federal tax laws, and related statutes.
(c) Disclosure of department records, files, returns, or information in a New Hampshire state administrative proceeding or any judicial proceeding pertaining to state tax administration where the information is directly related to a tax issue in the proceeding, or the taxpayer whom the information concerns is a party to such proceeding, or the information concerns a transactional relationship between a person who is a party to the proceeding and the taxpayer.
(d) Disclosure to the following officers and employees of the state of New Hampshire:
(1) An officer or employee of the department for the purpose of, and only to the extent necessary in, the administration of the tax laws for which the department is responsible;
(2) An officer or employee of the state of New Hampshire to whom such disclosure is necessary in connection with the processing, storage, and transmission of such information, or the programming, repair, maintenance, testing, or procurement of equipment used to process, store, or transmit such information;
(3) A legal representative of the department who is directly engaged in a civil or criminal proceeding, or an investigation which may result in such a proceeding before a state administrative body, grand jury, or court, but only if the information is or may be related to the resolution of an issue in the proceeding or investigation or if:
(A) The taxpayer whom the information concerns is or may be a party to such proceeding; or
(B) The information concerns a transactional relationship between a person who is or may be a party to such proceeding and the taxpayer.
(4) The legislative budget assistant:
(A) In the performance of his or her duties under RSA 14:31-a, I(a) and (b), provided that disclosure of department records, files, returns, or information to the legislative budget assistant shall be only for the purpose of, and to the extent necessary for, conducting audits of the department's accounts and records consistent with section 6103(d)(2)(A) and (B) of the Internal Revenue Code of 1954, as amended. This exception shall not be construed to authorize disclosure to any member of the legislature or to any expert consultants, including certified public accountants and data processing experts, hired by the legislative budget assistant to assist the legislative budget assistant in the carrying out of his or her duties. The records, files, returns, or information deemed confidential and privileged under RSA 21-J:14 shall not be subject to disclosure under RSA 14:31-a, II or RSA 91-A.
(B) In the performance of his or her duties under RSA 14:31-a, I(d), provided that disclosure of department records, files, returns, or information to the legislative budget assistant shall be only for the purpose of, and to the extent necessary for, conducting audits of the department's programs consistent with section 6103(d)(2)(A) and (B) of the Internal Revenue Code of 1954, as amended. This exception shall not be construed to authorize disclosure to any member of the legislature. The records, files, returns, or information deemed confidential and privileged under RSA 21-J:14 shall not be subject to disclosure under RSA 14:31-a, II or RSA 91-A.
(5) An officer or employee of the office of reimbursements, department of health and human services, in the performance of his duties under RSA 126-A:37 and RSA 126-A:42, which disclosure shall be limited to the statement of the administrator or executor of the estate which lists whether legatees were living at time of the decedent's death, the names of the legatees, their relationships to the decedent, their ages at the time of the decedent's death, and the addresses of the legatees.
(6) An officer or employee of the department of employment security, pursuant to an agreement for exchange of information between the department and the department of employment security, for the purposes of, and only to the extent necessary for, the administration and collection of contributions to the unemployment compensation fund, and administration and payment of unemployment compensation claims. The information disclosed pursuant to such exchange agreement shall not include records, files, returns, or information disclosed to officers or employees of the department by any other state pursuant to a compact for the exchange of information between the department and any other state unless permitted by such state or compact. In the event that the department of employment security may not obtain confidential taxpayer information from the United States Internal Revenue Service, disclosure under this exception shall cease and any agreement for exchange of information between the department and the department of employment security shall be void. Officers or employees of the department of employment security having in their custody or control any confidential taxpayer information obtained from the department pursuant to the exchange agreement authorized under this subparagraph shall be subject to the provisions of RSA 21-J:14.
(7) The legislative budget assistant and the department of administrative services, provided that disclosure of department records, files, returns, or information to the legislative budget assistant and the department of administrative services shall be only for the purposes of, and to the extent necessary for, the development, maintenance, and updating of databases necessary for the operation of the tax policy simulation and forecasting models authorized pursuant to 1999, 338:23. The legislative budget assistant may disclose such information to any consultant under contract with the fiscal committee of the general court pursuant to 1999, 338:23 for the development, maintenance, or updating of the tax policy modeling system. Disclosure of confidential tax information under this exception shall be limited as follows:
(A) Federal records shall only be disclosed according to federal law, regulations, and any compacts or agreements between the department and the Internal Revenue Service;
(B) Information disclosed pursuant to this subparagraph shall not include records, files, returns, or information disclosed to officers or employees of the department by any other state pursuant to a compact for the exchange of information between the department and any other state unless permitted by such state or compact; and
(C) Information disclosed shall not be further disclosed to persons other than officers or employees of the department of administrative services, of the legislative budget assistant, or of the consultant. Officers or employees of the department of administrative services, the legislative budget assistant, or the consultant having in their custody or control any confidential taxpayer information obtained from the department pursuant to this subparagraph shall be subject to the provisions of RSA 21-J:14.
(8) An officer or employee of the department of health and human services in the performance of duties under RSA 167:14-a, V, which disclosure shall be limited to the report of the trust and a copy of the trust document, including any list of beneficiaries, filed in accordance with RSA 87:20.
(9) An officer or employee of the division of enforcement of the liquor commission, pursuant to an agreement for exchange of information between the department and the division of enforcement, for the purposes of, and only to the extent necessary for, the administration and enforcement of RSA 78:16. Officers or employees of the division of enforcement having any confidential and privileged department information obtained from the department pursuant to the exchange agreement authorized under this subparagraph shall be subject to the provisions of this section.
(10) An officer or employee of the insurance department, pursuant to an agreement for exchange of information between the department and the insurance department, for the purposes of sharing information received by the department from insurance companies that claim a business enterprise tax credit, pursuant to RSA 400-A:34-a, and only to the extent necessary, for the administration and collection of tax premiums by the insurance department. The information disclosed pursuant to such exchange agreement shall not include records, files, returns, or information disclosed to officers or employees of the department by any other state, pursuant to a compact for the exchange of information between the department and any other state, unless permitted by such state or compact. Officers or employees of the insurance department, having in their custody or control any confidential taxpayer information obtained from the department pursuant to the exchange agreement authorized under this subparagraph, shall be subject to the provisions of RSA 21-J:14.
(e) Disclosure of department records, files, or returns to any other state in accordance with compacts for the exchange of information between the department and any other state, but only for the purpose of and to the extent necessary in the administration of tax laws of such other state.
(f) Disclosure of department records, files, returns, or information to an authorized vendor of collection services that is a legal representative or agent engaged to collect a debt of the state if the taxpayer whom the information concerns is the subject of an authorized investigation regarding an unpaid tax liability to the state; or the information concerns a transactional relationship between a person who is or may be a party to such proceeding and the taxpayer. The department shall only disclose such information that is directly related to the unpaid tax liability and is necessary to collect such debt. The vendor and its employees having access to this confidential information shall be subject to the provisions of RSA 21-J:14.
(g) Disclosure of department records, files, or returns to the United States Department of Justice in accordance with compacts for the exchange of information between the department and the United States Department of Justice, but only for the purpose of, and to the extent necessary in, the administration and enforcement of RSA 541-C and RSA 541-D relative to the tobacco master settlement agreement.
(h) Disclosure of department records, files, or returns to the Multistate Tax Commission, in accordance with agreements entered into with the Multistate Tax Commission, for the performance of tax audits on behalf of the state.
VI. No exception in paragraph IV or V shall be construed to authorize disclosure to the governor of New Hampshire or a designee or representative of the governor of New Hampshire.
VII. The commissioner of the department of revenue administration may limit disclosure of information to a greater degree than provided for herein when such further limitation is necessary to comply with compacts for the exchange of information with the Internal Revenue Service of the United States and any other state which has entered into a compact with the department as provided in RSA 21-J:14, V(e).
VIII. It shall be unlawful for any officer or employee of the state or an officer or employee of a vendor which has entered into a contractual agreement with the department under RSA 21-J:3, XX, or has entered into a contractual agreement with the state and is authorized by law to receive information made confidential and privileged by this section, willfully to disclose to any person, except as authorized in this section, any records or files of the department. The term "willfully" as used in this paragraph, shall have the same meaning as provided in RSA 626:2, IV. Any violation of this section shall be a class A misdemeanor punishable upon conviction by a fine or imprisonment or both under RSA 651:2 and shall in addition to any other punishment be dismissed from office or discharged from employment upon conviction for such offense.
IX. Persons who make unauthorized disclosures of confidential and privileged information disclosed under the exceptions contained in paragraph V and unauthorized persons who make any unauthorized disclosures of confidential and privileged information in violation of this section shall be subject to the penalties provided in paragraph VIII.
X. Disclosure of returns and return information filed under RSA 87 may be made to the clerk and the probate court having jurisdiction over the estate of the decedent, but only for the purpose of and to the extent necessary for the administration of such tax laws.
XI. Returns or other documents mailed to a vendor of the department for the processing and depositing of tax revenues on behalf of the department shall be confidential records of the department upon their receipt by the vendor. The vendor and its employees having any access to this confidential information shall be subject to the provisions of RSA 21-J:14.
XII. Department records, files, or information obtained by the commissioner or other department employee under the provisions of RSA 78, RSA 541-C, or RSA 541-D may be disclosed to the attorney general, or designee, and other federal, state, or local agencies as provided under RSA 541-D:5, II. The attorney general or designee may further disclose such records, files, or information pursuant to an agreement with an entity designated to serve as a data clearinghouse in accordance with the terms of the Nonparticipating Manufacturer Adjustment Settlement Agreement. The Nonparticipating Manufacturer Adjustment Settlement Agreement means, for purposes of this paragraph, the settlement agreement between the state of New Hampshire and the participating manufacturers, as primarily set forth in the term sheet dated November 14, 2012 and approved by the general court in 2013, 6.

Source. 1985, 204:1. 1987, 391:4, II, III; 408:7, 8. 1991, 348:1; 362:7-9. 1992, 40:1. 1995, 310:6. 1997, 211:1. 2001, 289:2. 2002, 165:10, 11; 232:2. 2003, 152:2. 2005, 166:2, 3; 175:11. 2010, 48:1. 2011, 88:20, eff. July 1, 2011; 173:2, 3, eff. Aug. 13, 2011. 2013, 90:1, 2, eff. Aug. 19, 2013; 247:3, eff. Mar. 24, 2014. 2014, 192:3, eff. Sept. 9, 2014. 2015, 183:1, eff. Aug. 28, 2015; 276:21, eff. July 1, 2015; 276:184, eff. Sept. 16, 2015. 2019, 178:8, eff. Jan. 1, 2020. 2021, 102:1, eff. Aug. 30, 2021; 207:2, Pt. VI, Sec. 3, eff. Oct. 9, 2021.

Assessing Standards Board

Section 21-J:14-a

    21-J:14-a Assessing Standards Board; Members; Appointments; Terms. –
I. There is hereby established an assessing standards board which shall be administratively attached to the department of revenue administration, as provided in RSA 21-J:1-a.
II. The board shall be comprised of the following members:
(a) Four members nominated by the New Hampshire Association of Assessing Officials and appointed by the governor with the consent of the council, one of whom shall be an assessing official for a town with a population of less than 3,000; one of whom shall be an assessing official for a town with a population of more than 3,000; and one of whom shall be an assessing official for a city. Each member shall hold office for the term of such member's position for 2 years and until a successor shall have been appointed and qualified. Any vacancy shall be filled for the unexpired term by the governor with the consent of the council.
(b) Two members of the senate appointed by the president of the senate. The term of each member shall be coterminous with the member's term as senator. A vacancy for an unexpired term shall be filled by the president of the senate.
(c) Two members of the house of representatives appointed by the speaker of the house. The term of each member shall be coterminous with the member's term as representative. A vacancy for an unexpired term shall be filled by the speaker of the house.
(d) The commissioner of the department of revenue administration, or the commissioner's designee.
(e) Three members of the public appointed by the governor with the consent of the council, none of whom shall be an assessor or a municipal official.
(f) Three members appointed by the governor with the consent of council, one of whom shall be a municipal governing body official or designee who shall not be an assessor for a town with a population of less than 3,000; one of whom shall be a municipal governing body official or designee who shall not be an assessor for a town with a population of more than 3,000; and one of whom shall be a municipal governing body official or designee who shall not be an assessor for a city. Each member shall hold office for the term of such member's position for 2 years and until a successor shall have been appointed and qualified. Any vacancy shall be filled for the unexpired term by the governor with the consent of the council.
III. Members of the assessing standards board who are not state employees or legislators shall each be paid $25 a day for such time as the members are actually engaged in the work of the board. All members shall be paid their actual expenses incurred as the result of such work. Non-legislative members shall be paid mileage at the same rate as state employees, but legislative members shall receive mileage at the legislative rate.
IV. The board shall annually elect a chairperson from among its members. The first meeting of the board shall be called by the first-named house member and shall be held within 30 days after the effective date of this section. A chairperson shall be elected from the board's membership at the first meeting and annually thereafter.
V. A member with 4 or more unexcused absences from meetings of the board occurring within any one-year period may be removed from the board pursuant to RSA 4:1, except for legislative members who may only be removed by their appointing authority. The vacancy shall be filled by the removed member's respective appointing authority.

Source. 2001, 297:2. 2003, 274:1-3. 2004, 203:11. 2008, 232:2, eff. Aug. 19, 2008. 2013, 21:1, eff. July 15, 2013.

Section 21-J:14-b

    21-J:14-b Powers and Duties of the Board. –
I. The assessing standards board shall recommend standards and appropriate legislation relative to:
(a) Standards to be followed by assessors, selectmen, and boards of assessors throughout the state, relating to the administration of the property tax and assessment of real property used in any state property tax system.
(b) The establishment of standards for monitoring of local assessment practices by the department of revenue administration and standards for audit by the department of revenue administration of municipalities.
(c) The establishment of standards for revaluations based on the most recent edition of the Uniform Standards of Professional Appraisal Practice (USPAP). The department of revenue administration shall in its assessment review process incorporate these standards and report its findings to the assessing standards board and the municipality, in accordance with RSA 21-J:11-a, II. These standards shall be reported to the assessing standards board for all reviews conducted on or after the April 1, 2006 assessment year. These standards shall be incorporated in the assessment review process for all reviews conducted on or after the April 1, 2007 assessment year.
(d) [Repealed.]
(e) Any study conducted for the purpose of determining the status of assessing practices or the improvement of assessing in the state.
I-a. The assessing standards board shall adopt rules, pursuant to RSA 541-A, relative to:
(a)(1) The establishment of the following standards for assessing officials:
(A) Certification standards;
(B) Continuing education standards;
(C) Decertification, suspension, and other disciplinary standards and sanctions; and
(D) The definition and practices which constitute sales chasing and penalties associated with knowingly committing or being party to sales chasing.
(2) The department of revenue administration shall be responsible for the enforcement of the standards adopted under subparagraph (a)(1).
(b) The forms and procedures necessary to fulfill the duties of the board consistent with board recommendations and to assure a fair opportunity for public comment.
(c) The establishment of practices and procedures for mass appraisal which shall become standards for assessing officials.
(d) The method of calculation and procedures to be used beginning July 1, 2010 to determine the amount of the residential property subject to a housing covenant under the low-income housing tax credit program pursuant to RSA 75:1-a. Such rules may include consideration of whether or not subsidies used to develop the properties, including tax credits, grants, and below-rate financing, should be included in the assessment determination.
II. All standards and practices developed or identified by the board, pursuant to this section, shall be reviewed and updated annually. The board shall hold at least one public forum annually to receive general comment through verbal and written testimony on assessing standards and practices. A quorum of the board shall not be required to hold such public forum.
III. The board, on or before December 1 of each year, shall report its findings and recommendations for proposed legislation to the governor, the president of the senate, the speaker of the house of representatives, the senate clerk, the house clerk, and the state library.
IV. The board shall meet, at least annually, to review the procedures of the prior year's ratio studies conducted by the department of revenue administration for the purposes of equalization and the evaluation of assessment performance and to establish procedures for improving the ratio studies for the forthcoming property tax year.
V. The board shall develop standards for equalization and shall review, revise, and approve the equalization manual published by the department of revenue administration. In developing its standards, the board shall review the standards of the International Association of Assessing Officials and any other standards that are consistent with the work of the board.
VI. The board shall annually determine, vote upon, and recommend to the department of revenue administration, the ratio study procedures for use in the forthcoming tax year. Prior to the adoption of such recommendations, the board shall hold at least one public forum annually to receive general comment through verbal and written testimony on the ratio study procedures. A quorum of the board shall not be required to hold such public forum.

Source. 2001, 297:2. 2003, 307:8. 2004, 203:3, 4. 2006, 193:2. 2008, 390:8. 2009, 228:1, 2. 2010, 257:1, 3, eff. July 6, 2010. 2012, 30:1, 2, eff. April 1, 2013. 2013, 20:2, eff. July 15, 2013. 2014, 232:1, 2, eff. Sept. 19, 2014. 2017, 132:1, eff. Aug. 15, 2017.

Equalization Standards Board

Section 21-J:14-c

    21-J:14-c Repealed by 2013, 20:1, I, eff. July 15, 2013. –

Section 21-J:14-d

    21-J:14-d Repealed by 2013, 20:1, II, eff. July 15, 2013. –

Certification of Assessors and Auditing Authority

Section 21-J:14-e

    21-J:14-e Auditing Authority. – Every person, firm, or corporation making appraisals on behalf of a municipality for tax assessment purposes shall maintain records of its appraisal activities and shall make all such records available for inspection by the commissioner or authorized agents, upon request, at reasonable times during regular business hours. Any willful violation of the provisions of this section shall be subject to the penalties included in RSA 21-J:39.

Source. 2001, 297:2, eff. Sept. 15, 2001.

Section 21-J:14-f

    21-J:14-f Certification Required. –
I. Every person, whether working individually, for a firm or corporation, or as a municipal employee, making appraisals of a municipality for tax assessment purposes, except elected officials making appraisals pursuant to RSA 75:1, shall be certified by the department according to rules adopted by the assessing standards board as provided in paragraph II. Department of revenue administration employees shall be certified at the level appropriate to their duties.
II. The assessing standards board shall adopt rules, pursuant to RSA 541-A, relative to qualifications for certification, requirements for continuing education, and decertification of, suspension of, or other disciplinary actions against persons required to be certified in paragraph I. Such rules shall specify the minimum qualifications with respect to education and training required for certification according to the following functional job categories ranked in ascending hierarchical order:
(a) Building measurer and lister.
(b) Property assessor assistant.
(c) Property assessor.
(d) Property assessor supervisor.
III. No person, except boards of assessors and selectmen making appraisals pursuant to RSA 75:1, shall make appraisals without first obtaining the certification required by this section. Certification is non-assignable and cannot be transferred. Any person who willfully fails to obtain certification as provided in this section shall be subject to the penalties imposed under RSA 21-J:39, IV.

Source. 2001, 297:2; 158:61. 2004, 203:5. 2006, 193:3. 2010, 257:5, eff. July 6, 2010.

Section 21-J:14-g

    21-J:14-g Decertification. –
I. The commissioner may decertify, suspend, or take other disciplinary action against any person for failure to comply with the rules of the assessing standards board adopted pursuant to RSA 21-J:14-f, II.
II. Any person aggrieved by a decertification, suspension, or other disciplinary action of the commissioner may appeal from such decision by application to the board of tax and land appeals or by petition to the superior court in the county in which such person resides or maintains his or her business within 30 days after receiving written notice of the commissioner's decision. The board of tax and land appeals or the court, as the case may be, shall hear the appeal forthwith.

Source. 2001, 297:2. 2004, 203:5. 2010, 257:4, eff. July 1, 2011.

Cooperative Assessment Districts

Section 21-J:14-h

    21-J:14-h Purpose. – The general court finds that the encouragement and support of the establishment of multi-jurisdictional assessing districts is in the state's interest in order to ensure the accuracy and fairness of valuations of real property for the purposes of administration of the education tax, county property taxes, school district property taxes, municipal property taxes, the distribution of various forms of state aid, and the equalization of property values among jurisdictions. The general court further recognizes that many municipalities do not have sufficient numbers of real estate parcels, sufficient varieties of real property, or sufficient levels of new development to make it practical or economical to engage full-time, trained, and certified assessing professionals. The general court further finds that the state has a vested interest in encouraging and supporting the establishment of cooperative assessing districts which can efficiently and economically provide full-time, trained, and certified assessing professionals to serve the municipalities which elect to create and join said districts.

Source. 2001, 297:2. 2005, 257:14. 2008, 173:15, eff. July 1, 2009.

Section 21-J:14-i

    21-J:14-i Cooperative Assessing Districts Authorized. –
I. Any 2 or more municipalities may form a cooperative assessing district under this chapter by utilizing the process set forth in RSA 53-A, relative to agreements between government units.
II. A cooperative assessing district agreement may include a county as an administrative party to the agreement.
III. A cooperative assessing district may have municipalities from more than one county as members.

Source. 2001, 297:2, eff. Sept. 15, 2001.

Section 21-J:14-j

    21-J:14-j Minimum Requirements for a District Inter-local Agreement. –
I. The intergovernmental agreement used to form a cooperative assessing district shall substantially conform to the provisions outlined in RSA 53-A:3 and shall include the following:
(a) A district cost allocation formula based in whole or in part on the number of parcels of real property in each member municipality.
(b) A governing board on which each municipality in the district is represented by at least one member who has at least one vote.
(c) A term of initial membership of at least 5 years.
(d) A requirement of at least 12 months written notice and a vote of the municipality's legislative body before a member may withdraw from the district.
(e) Provisions for holding a withdrawing municipality responsible for payment of its proportionate share of future district expenses to which the district may be committed because of the withdrawing municipality's membership such as capital costs and retirement costs.
(f) Provisions that require a municipality which joins a district to provide its annual pro rata share of the district's budget without regard to whether or not said share is approved and supported by the governing body, the budget committee, or the legislative body of the municipality.
(g) Provisions for administratively attaching the district staff to a political subdivision for the purposes of accounting, payroll, retirement, insurance, and fringe benefits, and for compensating that political subdivision for these administrative services.
(h) Provisions for compensation and oversight if private entities are hired by the district, rather than staff administratively attached to and serving as employees of a political subdivision.
(i) A formula for staffing the district with full-time, trained, and certified professional appraisers which may be based on the number of parcels and types of properties found in the district and other necessary staff.
II. All appraisers employed by a district shall meet current standards pursuant to RSA 21-J:14-f.

Source. 2001, 297:2, eff. Sept. 15, 2001.

Section 21-J:14-k

    21-J:14-k Cessation of Unauthorized Appraisals. – The commissioner, or the commissioner's authorized agents, may issue a written cease and desist order against any person, firm, corporation, or municipality that does not comply with RSA 21-J:11, I or RSA 21-J:14-f. Any such act may be enjoined by the superior court, upon application of the attorney general.

Source. 2002, 249:7, eff. May 17, 2002.

Municipal and Property Division

Section 21-J:15

    21-J:15 Municipal and Property Division. –
There is established within the department a municipal and property division, under the supervision of an unclassified director of the municipal and property division, who shall be responsible for the following functions:
I. Providing technical assistance to the political subdivisions of the state.
II. Performing general municipal and county audits.
III. Assisting the commissioner in his responsibility for setting municipal tax rates.
IV. Establishing a standard technical assistance manual for municipalities on finance and budget matters. This manual shall be available for purchase from the division. The manual shall cover statutory requirements, administrative rules adopted by the commissioner, and advice and information for the use of municipalities. The manual shall distinguish between those provisions which municipalities must comply with and those elements which are advisory in nature.
V. Assisting and supervising municipalities and appraisers in appraisals and valuations as provided in RSA 21-J:10 and RSA 21-J:11.
VI. Appraising state-owned forest and recreation land under RSA 227-H and RSA 216-A.
VII. Annually determining the total equalized valuation of properties in the cities and towns and unincorporated places according to the requirements of RSA 21-J:9-a.
VIII. Preparing a standard appraisal manual which may be used by assessing officials, and holding meetings throughout the state with such officials to instruct them in appraising property.

Source. 1985, 204:1. 1987, 285:5. 1995, 87:1, eff. July 1, 1995. 2013, 247:2, eff. Mar. 24, 2014.

Section 21-J:16

    21-J:16 County Audits. – The accounting and reporting procedure for the auditing of county accounts, including each county's annual report, shall be uniform in all counties.

Source. 1985, 204:1, eff. July 1, 1985.

Section 21-J:17

    21-J:17 Uniformity of Municipal Accounts. – The accounting officers of the several counties, cities, towns, school and village districts, and their departments, shall keep uniform accounts; provided, however, that any community that budgets on a July 1 to June 30 basis shall be permitted to budget teacher salaries on the same basis.

Source. 1985, 204:1, eff. July 1, 1985; 368:4, eff. Jan. 1, 1986.

Section 21-J:18

    21-J:18 Repealed by 1989, 399:2, II, eff. Aug. 4, 1989. –

Section 21-J:19

    21-J:19 Audit. –
I. Any town, or school district, or village district or precinct, at the annual meeting or at a special meeting, or the selectmen of any town, or the governing body of any city, or the school board of any school district, or the commissioners of any village district or precinct, may hire a certified public accountant or a public accountant licensed by the state under RSA 309-A:8 to conduct such an audit within one year after the close of the municipality's fiscal year in accordance with audit guidelines and applicable statutes.
II. Every audit made by independent public accountants licensed under RSA 309-A:8, except examinations for special limited purposes, shall cover the accounts and records of all officials responsible for the receipt, custody, and disbursement of public funds. The audit reports shall include a summary of findings and recommendations regarding compliance with applicable statutory provisions of law, and the adequacy of accounting and business procedures pursued by the unit of government examined. Management letters, so-called, shall be included as part of the official audit findings and recommendations. Contracts executed between local units of government and counties and independent public accountants shall stipulate that all accounts and funds of the governmental unit are to be audited and a report of audit prepared in accordance with this section. A written or printed report of every completed audit shall be made to the proper local officials including a summary of the findings and recommendations of the auditors and a copy of such summary shall be published in the next annual report following the fiscal year in which the audit was completed.

Source. 1985, 204:1. 2008, 174:1, eff. Aug. 10, 2008.

Section 21-J:20

    21-J:20 Audit on Motion of Commissioner. – The commissioner may cause an audit to be made of the accounts of any city, town, school district, or village district or precinct, as often as once in 2 years, or whenever conditions appear to him to warrant such audit. The accounts of all county officers shall be audited annually by a certified public accountant, and a complete report of such audit shall be made available to the public.

Source. 1985, 204:1. 2008, 174:2, eff. Aug. 10, 2008.

Section 21-J:21

    21-J:21 Publication of Report of Audit. – A written or printed report of every completed audit shall be made to the proper local officials including a summary of the findings and recommendations of the auditors and a copy of such summary shall be published in the next annual report following the fiscal year in which the audit was completed. If, in the opinion of the governing board of a city or the selectmen, school board, county or village district commissioners, the whole report of audit should be published, the report may be published. If such summary of findings and recommendations is not so published, the commissioner, at the expense of the county, city, town, or district affected thereby, may cause such summary to be separately published and distributed or published in a newspaper having a general circulation in said county, city, town, or district.

Source. 1985, 204:1, eff. July 1, 1985.

Section 21-J:22

    21-J:22 Expenses of Audit. –
All reasonable expenses incurred by the department in conducting an audit shall be paid in the first instance from the appropriation for the department, but each county, city, town, school district, village district or precinct shall, upon notification by the commissioner of the amount due, reimburse it for such reasonable expenses as follows:
I. Each county and city shall make reimbursement for all such reasonable expenses including salaries of members of the department for such time as said members have spent in said audit.
II. Each town, school district, village district or precinct having an equalized valuation of $1,500,000 or more shall make reimbursement as provided in paragraph I.
III. Each town, school district, village district or precinct having an equalized valuation of less than $1,500,000 shall make reimbursement for all reasonable expenses incurred in the audit including 1/2 of the salaries of members of the department for such time as the members have spent in said audit; provided, however, that in special cases where reimbursement under paragraphs II and III would result in hardship or in case of unusual circumstances, the commissioner is authorized to make such adjustment of said payments as he may deem to be for the best interests of the municipality concerned. The reimbursement shall be credited to the appropriation for the department.

Source. 1985, 204:1, eff. July 1, 1985.

Section 21-J:23

    21-J:23 Expenses of Private Audit for Municipalities or Counties. – All expenses incurred by a municipality or county in connection with an audit conducted by a licensed public accountant or a certified public accountant shall be paid directly to the accountant by the municipality or county concerned.

Source. 1985, 204:1, eff. July 1, 1985.

Section 21-J:24

    21-J:24 Technical Assistance to Municipalities. – The commissioner shall provide municipalities with technical assistance relative to taxation and finance, which shall not be binding upon the municipalities.

Source. 1985, 204:1, eff. July 1, 1985.

Section 21-J:24-a

    21-J:24-a Revolving Fund Established for Municipal Officers and Employees Education and Training. –
I. The commissioner shall establish a revolving fund in order to provide training for and to publish and distribute training and educational materials to municipal officers and employees.
II. The nonlapsing revolving fund, which shall not exceed $5,000 on June 30 of each year, shall be established in the municipal and property division, department of revenue administration. Any amounts in excess of $5,000 on June 30 of each year shall be deposited into the general fund as unrestricted revenue.
III. [Repealed.]
IV. The money in this fund shall be used for the purpose of:
(a) Purchasing, producing, or printing technical information of a nonbinding nature for distribution by the municipal and property division in conjunction with training seminars for local officials, town counsels, and professional auditors. Charges made shall be only in the amount necessary to pay the cost of producing or printing the technical assistance documents of a nonbinding nature or to reimburse the municipal and property division for the cost of purchased material.
(b) Providing training to municipal employees in the areas of assessment, taxation, and finance. A reasonable charge shall be established for such training. This charge shall be fixed to reflect the cost of payments to experts to provide the training, the cost of written training materials, rented facilities, and advertising, and other indirect associated costs. Such training shall be conducted in geographically dispersed locations.
(c) Printing training materials for distribution. A reasonable charge shall be established for each copy of a training document. This charge shall only be the amount necessary to pay the cost of producing such document.
V. Funds received from the sale of any materials shall be credited to the fund established in this section. The receipts from such charges shall be used for no other purpose than the subsequent purchase, production, or printing of technical assistance documents of a nonbinding nature by the municipal and property division of the department of revenue administration.
VI. The following persons shall not be charged for printed materials which are paid for by the fund: legislative committees and legislators who request printed materials.
VII. The department of revenue administration shall provide an accounting for the expenditures and reimbursements in the department's annual report each year.

Source. 1994, 337:1. 1996, 164:1, eff. Aug. 2, 1996. 2014, 78:2, eff. May 27, 2014; 161:2, 3, 6, eff. July 10, 2014.

Miscellaneous Provisions

Section 21-J:25

    21-J:25 Powers of Magistrates to Issue Subpoenas in Proceedings of the Commissioner. – Justices of the peace and all other magistrates empowered to issue subpoenas and compel the attendance of witnesses in the courts of this state shall have the same power to compel their attendance and the production of evidence in any proceeding before the commissioner.

Source. 1985, 204:1, eff. July 1, 1985.

Section 21-J:26

    21-J:26 Repealed by 2019, 346:157, I, eff. July 1, 2019. –

Section 21-J:27

    21-J:27 Rules of Evidence. – In any investigation or hearing, the commissioner shall not be bound by the technical rules of evidence.

Source. 1985, 204:1, eff. July 1, 1985.

Section 21-J:27-a

    21-J:27-a Federal Tax Identification. – For the purpose of administering any state tax as allowed under 42 U.S.C. section 405, the commissioner of the department of revenue administration is authorized to require the submission of a social security number, a federal employer identification number, or any other identifying number used in filing or preparing federal tax returns by individuals, businesses, or return preparers.

Source. 2003, 309:3. 2007, 150:1, eff. Aug. 17, 2007.

Section 21-J:28

    21-J:28 Interest. –
I. For all taxes administered by the department, interest on amounts not paid when due shall be computed at the annual underpayment rate determined from time to time pursuant to paragraph II from the prescribed payment date or original statutory due date to the date payment is actually made. Interest shall be allowed and paid at the annual overpayment rate determined from time to time pursuant to paragraph III upon any overpayment of taxes administered by the department. No interest shall be allowed or paid on amounts less than $10 unless specifically requested in writing. If any overpayment of tax administered by the department is refunded within 3 months after the due date or authorized extension date or within 3 months after the return is filed, whichever is later, no interest shall be allowed under this section. Interest on amounts not paid when due, or interest on overpayments shall be equal to the sum of the simple interest amounts computed with respect to each calendar year, or a portion thereof, during which the underpayment or overpayment remains outstanding. Interest with respect to only a portion of a calendar year shall be determined on a pro rata basis based on the number of days the underpayment or overpayment remains outstanding during the 365-day calendar year. Upon certification by the commissioner, the state treasurer shall refund the overpayment with interest from the revenue of the specific tax.
I-a. In the case of an assessment of any tax, the department may prescribe a time not to exceed 30 days after notice of the original assessment or any reissued assessment during which, if any amount of the tax is paid, no interest shall be imposed on such amount for the period after notice of the original or reissued assessment.
II. For purposes of this section, with respect to any calendar year, the term "annual underpayment rate" shall be determined by the commissioner and shall mean the underpayment rate specified in section 6621(a)(2) of the Internal Revenue Code of 1986 as in effect on the September 1 immediately preceding such calendar year plus 2 percentage points.
III. For purposes of this section, with respect to any period, the term "overpayment rate" shall mean the underpayment rate determined under paragraph II with respect to such period year less 3 percentage points.

Source. 1985, 204:1. 1991, 163:4. 1992, 13:1. 1995, 268:1, eff. July 1, 1997. 2021, 24:1, eff. May 6, 2021.

Refunds, Appeals for Redetermination or Reconsideration, Liens, and Distraints

Section 21-J:28-a

    21-J:28-a Refund of Taxes. –
I. Except as otherwise provided by law, any claim for refund or credit of overpayment of taxes administered by the department shall be filed with the department in writing in such form as the department may by rule prescribe, and shall state the specific grounds upon which it is founded.
II. After a claim for refund is filed, the department shall examine it and either issue a notice of refund or credit to the claimant or issue a notice of denial. After receipt of the department's decision, the claimant may file a written petition for reconsideration with the department as provided in RSA 21-J:28-b.
III. With respect to any refund claim filed with the department pursuant to this section, the commissioner and the taxpayer may, in writing, agree to extend the time for action upon such claim for refund.
IV. In the case of any refund or credit of more than $10 for overpayment of taxes administered by the department, the department shall apply the refund or credit as an offset to any liability with respect to any tax administered by the department. The department shall notify the taxpayer in the event of any such offset in tax.
V. In all cases where it appears that a taxpayer has overpaid his or her tax and the overpayment is $10 or less, the department may, in its discretion, disregard the overpayment if the cost to the state to refund the overpayment would exceed the amount involved, unless the taxpayer has requested the refund.
VI. The procedure outlined in this section and in RSA 21-J:28-b shall be the exclusive method by which taxpayers may challenge their liability for any tax, or the application to them of any provision of this chapter.

Source. 1991, 163:5. 1994, 326:1. 2007, 150:2, eff. Aug. 17, 2007.

Section 21-J:28-b

    21-J:28-b Appeal for Redetermination or Reconsideration; Procedure. –
I. Except as otherwise provided by law, any taxpayer against whom an assessment has been made by the department may petition for redetermination of such assessment within 60 days after notice of the assessment.
II. Any taxpayer aggrieved by the denial of the department to make a refund requested pursuant to this chapter may petition for reconsideration of such claim for refund within 60 days after notice of such denial.
II-a. Within 60 days of receipt of such petition for redetermination or reconsideration, the department shall examine such petition for redetermination or reconsideration, notify the applicant of any errors or omissions, request any additional information that the department is permitted by law to require, and notify the petitioner of the name, official title, address, and telephone number of a department official or employee who may be contacted regarding the petition.
II-b. Within a reasonable time, not to exceed 120 days, after receipt of the petition for redetermination or reconsideration, or of the response to a timely request by the department pursuant to paragraph II-a, the department shall:
(a) Approve or deny the petition for redetermination or reconsideration, in whole or in part, on the basis of nonadjudicative processes, if disposition of the petition for redetermination of reconsideration by the use of these processes is not precluded by any provision of law; or
(b) Commence an adjudicative proceeding in accordance with RSA 541-A.
III. After a hearing on such petition for redetermination or reconsideration, the department shall issue a notice of decision affirming, increasing, or decreasing the tax. Any increase ordered by the commissioner shall be assessed against the taxpayer and shall carry interest as prescribed in RSA 21-J:28. Any refund or credit for overpayment ordered by the commissioner shall, with interest pursuant to RSA 21-J:28 from the date the tax was paid, be paid or credited to the taxpayer in the manner provided in RSA 21-J:28-a, IV.
IV. Within 30 days of the notice of decision, the taxpayer may appeal such decision by written application to the board of tax and land appeals or the superior court, in the county in which the taxpayer resides or has a place of business or resident agent. The board of tax and land appeals or the superior court, as the case may be, shall hear the appeal de novo. Each party may introduce whatever evidence it believes necessary, limited only by the evidentiary rules of the forum. Legal issues shall be limited to those raised before the commissioner, with the exception that the taxpayer may raise additional legal claims addressing constitutional issues, and either party may raise additional legal claims upon a showing of good cause.
V. The board or court may require the taxpayer to provide a bond payable to the state with surety in a sum fixed by the board or court conditioned upon the amount of taxes found to be due and to become due during the pending of the appeal.
VI. The board or court may grant such relief as may be just and equitable and may order the state treasurer to pay the taxpayer the amount of relief granted with interest at the rate established under RSA 21-J:28. The board or court may award reasonable costs and attorney's fees to the prevailing party, provided the prevailing party shows substantially unjustified action.
VII. Compliance with the filing deadlines in this section relative to the department or the board of tax and land appeals shall be in accordance with RSA 80:55.
VIII. The department shall bear the burden of proof on any change to any compensation deduction under RSA 77-A determined by examination.

Source. 1991, 163:5; 362:11. 2000, 239:4. 2002, 232:18. 2003, 133:1. 2010, 152:3. 2011, 207:3, eff. June 25, 2011. 2018, 279:15, eff. Jan. 1, 2019.

Section 21-J:28-c

    21-J:28-c Liens. –
I. Notwithstanding the provisions of any other law, with respect to the collection of any tax administered by the department, the department shall cause a certified copy of the notice and demand for payment of such tax, penalties and interest to be filed in accordance with RSA 454-B:2 and such filing and service of the notice and demand shall constitute a lien upon the real estate, personal estate, property interest, right or credit to which the notice and demand relates, or which may be subsequently discovered.
II. If the party liable for such tax, penalties, or interest neither resides in nor owns property in this state, then the notice and demand in paragraph I of this section shall be filed with the secretary of state and shall constitute a lien in the manner as provided in paragraph I.
III. Any lien filed pursuant to this section shall continue and shall be valid and binding until the liability for the sum, with interest, costs and attorney's fees is satisfied or 6 years from the date such lien is filed, whichever is earlier.
IV. In the event the liability, interest, costs, and attorney's fees are not satisfied before the end of the original term of the lien, any lien filed pursuant to this section may be renewed for the same term as the original term of the lien by refiling according to the procedures set forth in paragraphs I-III.
V. A bankruptcy filing by a taxpayer shall not affect the validity of any lien properly filed or renewed in accordance with this section.

Source. 1991, 163:5. 1992, 13:2. 2005, 86:1. 2007, 150:3, eff. Aug. 17, 2007.

Section 21-J:28-d

    21-J:28-d Distraint. – Upon neglect or refusal of any person or corporation to pay the taxes assessed upon them, the department may distrain the personal estate, property interest, right or credit of such person or corporation.

Source. 1991, 163:5, eff. May 27, 1991.

Section 21-J:28-e

    21-J:28-e Fraudulent Investment Scheme; Refund Request Procedure. –
I. Notwithstanding any other provision of law, any taxpayer aggrieved by a fraudulent investment scheme may petition for a refund of overpayment of taxes resulting from a fraudulent investment scheme for which an amended federal tax return has been filed claiming a theft loss for the fraudulent investment scheme under Internal Revenue Code section 165. Such petition for refund of overpayment of taxes shall be made within 180 days of the taxpayer filing the amended federal tax return.
II. For purposes of this section, "fraudulent investment scheme" means a transaction in which the party perpetrating the fraud receives cash or property from investors, purports to earn income for the investors, and reports to the investors income amounts that are wholly or partially fictitious. In a fraudulent investment scheme the party perpetrating the fraud criminally appropriates some or all of the investors' cash or property.
III. After a petition for refund is filed, the department shall examine the petition and either issue a notice of refund or credit to the claimant or issue a notice of denial. After receipt of the department's decision, the claimant may file a written petition for reconsideration with the department as provided in RSA 21-J:28-b.

Source. 2012, 154:1, eff. June 7, 2012.

Statute of Limitations and Penalties

Section 21-J:29

    21-J:29 Statute of Limitations; Exceptions. –
I. (a) Except as otherwise provided, all taxes administered by the department shall be assessed within 3 years after the return is filed or within 3 years after the last day prescribed by law for filing such return, whichever is later, or in the event no return is required, within 3 years from the date the tax is due or paid, whichever is later. In the case in which a return is required, the 3-year period shall commence with the filing of an original return and shall not be affected by the filing of an amended return.
(b) Except as otherwise provided, any claim for a refund or credit shall be made within 3 years from the due date of the tax upon which such refund is claimed or within 2 years from the date the tax was paid, whichever is later.
(c) Notwithstanding subparagraph I(b), any claim for a refund or credit of taxes, penalties or interest paid as a result of an assessment or demand for payment shall be made within 3 years of the due date of the tax upon which such refund is claimed.
(d) Notwithstanding subparagraphs I(b) and (c), any claim for a refund or credit of taxes based upon a claim that the tax or any provision thereof is unconstitutional under the federal or state constitution shall be made within 120 days of the due date of the tax upon which such refund is claimed.
(e) Notwithstanding subparagraphs I(b), (c), and (d), in the case of a petition for refund of overpayment of taxes based upon a claim of a fraudulent investment scheme under RSA 21-J:28-e, the petition for a refund shall be made within 180 days of the taxpayer filing an amended federal tax return claiming a theft loss for the fraudulent investment scheme under Internal Revenue Code section 165.
II. (a) In the case of any failure to make or file a return or declaration of consideration for any tax administered by the department, the tax may be assessed at any time.
(b) In the case of a willful attempt in any manner to evade any tax administered by the department the tax may be assessed at any time.
(c) If a taxpayer omits from gross income or gross business profits an amount properly includable therein which is in excess of 25 percent of the amount of gross income or gross business profits stated in the return or understates the value of consideration for the transfer of real property in an amount which is in excess of 25 percent of the total consideration for such transfer, the department may assess the tax at any time within 6 years after the return or declaration of consideration was filed.
III. With respect to any tax to which the limitation period provided in paragraph I or subparagraph II(c) shall apply and such period has not expired, the commissioner and the taxpayer may, in writing, agree to extend such period.
IV. Where the assessment of any tax administered by the department has been made within the applicable period of limitation, such tax may be collected by lien or by a proceeding in court, but only if the lien is made or the proceeding commenced within 12 years of the assessment of the tax.

Source. 1985, 204:1. 1991, 163:6. 1994, 326:2, 3. 2007, 150:4, eff. Aug. 17, 2007. 2012, 154:2, eff. June 7, 2012.

Section 21-J:30

    21-J:30 General Application. – Except as otherwise provided, the interest and penalties specified in this subdivision are applicable to all taxes administered by the department.

Source. 1985, 204:1, eff. July 1, 1985.

Section 21-J:31


[RSA 21-J:31 effective until January 1, 2027; see also RSA 21-J:31 set out below.]
    21-J:31 Penalty for Failure to File. – Any taxpayer who fails to file a return when due, unless an extension has been granted by the department, shall pay a penalty equal to 5 percent of the amount of the tax due or $10, whichever is greater, for each month or part of a month during which the return remains unfiled. The total amount of any penalty shall not, however, exceed 25 percent of the amount of the tax due or $50, whichever is greater. This penalty shall not be applied in any case in which a return is filed within the extended filing period as provided in RSA 77:18-b, RSA 77-A:9, RSA 77-E:8, RSA 83-C:6, RSA 84-A:7, or RSA 84-C:7, or the failure to file was due to reasonable cause and not willful neglect of the taxpayer. The amount of the penalty is determined by applying the percentages specified to the net amount of any tax due after crediting any timely payments made through estimating or other means.

[RSA 21-J:31 effective January 1, 2027; see also RSA 21-J:31 above.]


21-J:31 Penalty for Failure to File. –
Any taxpayer who fails to file a return when due, unless an extension has been granted by the department, shall pay a penalty equal to 5 percent of the amount of the tax due or $10, whichever is greater, for each month or part of a month during which the return remains unfiled. The total amount of any penalty shall not, however, exceed 25 percent of the amount of the tax due or $50, whichever is greater. This penalty shall not be applied in any case in which a return is filed within the extended filing period as provided in RSA 77-A:9, RSA 77-E:8, RSA 83-C:6, RSA 84-A:7, or RSA 84-C:7, or the failure to file was due to reasonable cause and not willful neglect of the taxpayer. The amount of the penalty is determined by applying the percentages specified to the net amount of any tax due after crediting any timely payments made through estimating or other means.

Source. 1985, 204:1. 1991, 163:7; 299:3; 390:4. 1993, 4:2; 350:2. 1997, 347:1. 2003, 223:12, eff. July 1, 2003. 2017, 156:225, eff. Jan. 1, 2019. 2021, 91:92, eff. Jan. 1, 2027.

Section 21-J:32

    21-J:32 Penalty for Underpayment of Estimated Tax. –
I. Except as provided in paragraph IV, in the case of any underpayment of estimated tax by a taxpayer, there shall be added to the tax for the taxable period an amount determined at the underpayment rate as determined from time to time pursuant to RSA 21-J:28, II, on the amount of the underpayment for the period of the underpayment.
II. For the purposes of paragraph I, the amount of the underpayment shall be the excess of:
(a) The amount of the installment which would be required to be paid if the estimated tax were equal to 90 percent of the tax for the taxable period; over
(b) The amount, if any, of the installment paid on or before the last date prescribed for payment.
II-a. For purposes of this section, "taxable period" means the calendar year or fiscal year which the taxpayer uses for federal income tax purposes, or that part of a year for which a return is made.
III. The period of the underpayment shall run from the date the installment was required to be paid to whichever of the following dates is the earlier:
(a) The due date of the return; or
(b) With respect to any portion of the underpayment, the date on which such portion is paid. For purposes of this paragraph, a payment of estimated tax on any installment date shall be considered a payment of any previous underpayment only to the extent such payment exceeds the amount of the installment determined under subparagraph II(a).
IV. Notwithstanding the provisions of paragraphs I, II, and III, the penalty with respect to any installment shall not be imposed if the total amount of all payments of estimated tax made on or before the last date prescribed for the payment of the installment equals or exceeds the amount which would have been required to be paid on or before such date if the estimated tax were whichever of the following is the lesser:
(a) The tax shown on the return of the taxpayer for the preceding taxable year, if a return showing a liability for tax was filed by the taxpayer for the preceding taxable year and such preceding year was a taxable year of 12 months.
(b) An amount equal to the tax computed at the rates applicable to the taxable year but otherwise on the basis of the facts shown on the return of the taxpayer for, and the law applicable to, the preceding taxable year.
(c)(1) An amount equal to 90 percent of the tax for the taxable year computed by placing on an annualized basis the taxable income:
(A) For the first 3 months of the taxable year, in the case of the installment required to be paid in the fourth month,
(B) For the first 3 months or for the first 5 months of the taxable year, in the case of the installment required to be paid in the sixth month.
(C) For the first 6 months or for the first 8 months of the taxable year, in the case of the installment required to be paid in the ninth month, and
(D) For the first 9 months or for the first 11 months of the taxable year, in the case of the installment required to be paid in the twelfth month of the taxable year.
(2) For purposes of this paragraph, the taxable income shall be placed on an annualized basis by:
(A) Multiplying by 12 the taxable income referred to in subparagraph IV(c)(1), and
(B) Dividing the resulting amount by the number of months in the taxable year, whether 3, 5, 6, 8, 9, or 11, as the case may be, referred to in subparagraph IV(c)(1).
(d) No amount, if this is the first tax period for which the taxpayer is required to file a tax return.
V. [Repealed.]
VI. Notwithstanding any other provisions of this section, if a taxpayer fails to pay taxes when they are due and is subsequently penalized under RSA 21-J:33 for his failure to pay, the failure to pay shall not be considered an underpayment of estimated tax, and no penalty shall be imposed upon the taxpayer under this section.

Source. 1985, 204:1; 414:10. 1988, 232:5. 1989, 50:2. 1991, 163:8, 9, 43, I. 1995, 268:2. 1999, 163:1, eff. Aug. 29, 1999. 2012, 14:1, eff. Dec. 31, 2012.

Section 21-J:33

    21-J:33 Penalties for Failure to Pay. –
In addition to amounts due under this subdivision, penalties shall be imposed for failure to pay taxes when, and as, due as follows:
I. If the failure to pay is not due to fraud, the penalty shall be equal to 10 percent of the amount of the nonpayment or underpayment. This penalty shall not be applied in any case in which the failure to pay was due to reasonable cause and not willful neglect of the taxpayer.
II. If the failure to pay is due to fraud, the penalty shall be 50 percent of the amount of the nonpayment or underpayment. If a penalty is imposed under this paragraph, no addition to tax shall be imposed under this subdivision for the same nonpayment or underpayment.
III. In the case of any failure to comply with the electronic payment requirements under RSA 21-J:3, XXI, a penalty shall be added to the amount of tax due equal to 5 percent of the amount of such tax not to exceed $5,000. This penalty is in addition to any other penalty that may be applicable and shall be assessed, collected, and paid in the same manner as taxes. The penalty in this paragraph shall not apply if failure to pay was due to reasonable cause and not willful neglect of the taxpayer.

Source. 1985, 204:1. 2001, 158:71. 2010, 152:4, eff. Aug. 13, 2010.

Section 21-J:33-a

    21-J:33-a Substantial Understatement Penalty. –

[Paragraph I effective until January 1, 2027; see also paragraph I set out below.]


I. If there is a substantial understatement of tax imposed under RSA 77, RSA 77-A, RSA 77-E, RSA 78-A, RSA 78-C, RSA 82-A, RSA 83-C, or RSA 84-A for any taxable period, there shall be added to the tax an amount equal to 25 percent of the amount of any underpayment attributable to such understatement.

[Paragraph I effective January 1, 2027; see also paragraph I set out above.]


I. If there is a substantial understatement of tax imposed under RSA 77-A, RSA 77-E, RSA 78-A, RSA 78-C, RSA 82-A, RSA 83-C, or RSA 84-A for any taxable period, there shall be added to the tax an amount equal to 25 percent of the amount of any underpayment attributable to such understatement.
II. For the purposes of this section, there is a substantial understatement of tax for any taxable period if the amount of the understatement for the taxable period exceeds the greater of:
(a) 10 percent of the tax required to be shown on the return for the taxable period; or
(b) $5,000.
III. For the purposes of paragraph II, the term "understatement" means the excess of:
(a) The amount of the tax required to be shown on the return for the taxable period, over
(b) The amount of the tax imposed which is shown on the return.
IV. The amount of the understatement as defined in paragraph III shall be reduced by that portion of the understatement which is attributable to:
(a) The tax treatment of any item by the taxpayer if there is or was substantial authorization for such treatment; or
(b) Any item with respect to which the relevant facts affecting the item's tax treatment are adequately disclosed in the return or in a statement attached to the return.

Source. 1991, 163:10; 299:4; 390:5. 1993, 4:3; 350:3. 1997, 347:2, eff. April 29, 2001. 2014, 158:10, eff. June 30, 2014. 2017, 156:226, eff. Jan. 1, 2019. 2021, 91:93, eff. Jan. 1, 2027.

Section 21-J:33-b

    21-J:33-b Understatement of Taxpayer's Liability by Tax Preparer. –
I. The term "tax preparer," as used in this section, shall include any person who prepares for compensation, or who employs one or more persons who prepare for compensation, any return of taxes administered by the department, or any claim for refund of such taxes. The preparation of a substantial portion of a return or claim for refund shall be treated as if it were the preparation of such return or claim for refund.
II. A person shall not be a "tax preparer" for purposes of this section merely because such person:
(a) Furnishes typing, reproducing, or other mechanical assistance;
(b) Prepares a return or claim for refund of the employer, or of an officer or employee of the employer, by whom he is regularly and continuously employed;
(c) Prepares as a fiduciary a return or claim for refund for any person; or
(d) Prepares a claim for refund for a taxpayer in response to any notice of deficiency issued to a taxpayer.
III. If any part of any understatement of liability with respect to any return or claim for refund is due to the willful neglect or intentional disregard of statutes and rules by a person who is a tax return preparer with respect to such return or claim, such person shall pay a penalty of $1,000 with respect to such return or claim.
IV. If any part of any understatement of liability with respect to any return or claim for refund is due to a willful attempt in any manner to understate the liability for a tax by a person who is a tax return preparer with respect to such return or claim, such person shall pay a penalty of $2,000 with respect to such return or claim. With respect to any return or claim, the amount of the penalty payable by a person by reason of this paragraph shall be reduced by the amount of the penalty paid by such person by reason of paragraph III.
V. For purposes of this section, the term "understatement of liability" means any understatement of the net amount payable with respect to any tax imposed or any overstatement of the net amount creditable or refundable with respect to any such tax. Except as otherwise provided in paragraph VI, the determination of whether or not there is an understatement of liability shall be made without regard to any administrative or judicial action involving the taxpayer.
VI. If at any time there is a final administrative determination or a final judicial decision that there was no understatement of liability in the case of any return or claim for refund with respect to which a penalty under this section has been assessed, such assessment shall be abated, and if any portion of such penalty has been paid the amount so paid shall be refunded to the person who made such payment as an overpayment of tax without regard to any period of limitation which would apply to the making of such refund.
VII. The amount of the understatement as defined in paragraph V shall be reduced by that portion of the understatement which is attributable to the tax treatment of any item with respect to which the relevant facts affecting the item's tax treatment are adequately disclosed in the return or in a statement attached to the return.
VIII. The commissioner shall have the authority under this chapter and RSA 80 to administer and enforce this section.
IX. Any person penalized under RSA 21-J:33-c shall not also be subject to any penalties under this section.

Source. 1991, 163:10, eff. May 27, 1991.

Section 21-J:33-c

    21-J:33-c Penalties for Aiding and Abetting Understatement of Tax Liability. –
I. Any person shall pay a penalty with respect to each return in each tax period in the amount of $1,000, who:
(a) Aids or assists in, procures, or advises with respect to, the preparation or presentation of any portion of a return, affidavit, claim, or other document in connection with any matter arising under statutes and rules administered by the department; and
(b) Knows that such portion will be used in connection with any material matter arising under statutes and rules administered by the department; and
(c) Knows that such portion, if so used, will result in an understatement of liability for tax of another person.
II. For the purposes of this section:
(a) The term "procures" shall mean ordering or causing a subordinate to do an act.
(b) The term "subordinate" includes any other person over whose activities the person has direction, supervision or control, whether or not a director, officer, employee, or agent of the taxpayer involved.
(c) The term "understatement of liability" means any understatement of the net amount payable with respect to any tax imposed or any overstatement of the net amount creditable or refundable with respect to any such tax.
(d) A person furnishing typing, reproducing or other mechanical assistance shall not be treated as having aided or assisted in the preparation of any portion of a return, affidavit, claim, or other document.
III. This penalty shall apply whether or not the understatement is with the knowledge or consent of the persons authorized or required to present the return, affidavit, claim or other document.
IV. The commissioner shall have the authority under this chapter and RSA 80 to administer and enforce this section.
V. When the amount of the understatement of liability, which is attributable to the tax treatment of any item with respect to the relevant facts affecting the item's tax treatment, is adequately disclosed in the return or in a statement attached to the return, then this penalty shall not apply.
VI. Any person penalized under RSA 21-J:33-b shall not also be subject to any penalties under this section.

Source. 1991, 163:10, eff. May 27, 1991.

Property Tax Rates

Section 21-J:34

    21-J:34 Reports Required. –
The governing body of each city, town, unincorporated town, unorganized place, school district, and village district, and the clerk of each county convention shall submit to the commissioner of revenue administration the following reports necessary to compute and establish the tax rate for each city, town, unincorporated town, unorganized place, school district, village district and county. The commissioner shall adopt rules under RSA 541-A establishing the form and content of these reports:
I. A report filed by the governing body of each city, town, or unincorporated place, shall certify the number of residents and total valuation of each class of property included in the inventory of residents and ratable estates. This report shall be filed by September 1 of each year, unless this filing date is extended by the commissioner for just cause.
II. A report filed by the governing body of each city, town, unincorporated town, unorganized place, school district, and village district shall certify the appropriations voted by the meeting of the appropriate legislative body, whether city or town council, mayor and council, or mayor and board of aldermen, at each annual or special town, school district, or village district meeting. This report shall be filed within 20 days of the close of the meeting.
III. A report filed by the governing body of each city, town, school district, and village district shall revise all the estimated revenues for the year. This report shall be filed by September 1 of each year.
IV. The minutes of the appropriate legislative body, whether city or town council, mayor and council, or mayor and board of aldermen, at which appropriations are voted or rescinded, and each annual and special town, school district, and village district meeting shall be certified by the clerk. Such minutes shall be filed within 20 days of the date of the close of the meeting of the appropriate legislative body at which appropriations are voted or rescinded.
IV-a. For municipalities which have elected to vote by official ballot either through adoption of a charter or through the adoption of RSA 40:12-14, the minutes of any meeting or any deliberative session of a municipality's legislative body at which any appropriations may be amended, voted, or rescinded shall be certified by the clerk. Such minutes shall be filed within 20 days after the date of the close of the meeting of the municipality's legislative body at which appropriations may be amended, voted, or rescinded.
IV-b. For municipalities which have elected to vote by official ballot either through adoption of a charter or through the adoption of RSA 40:12-14, the clerk shall also forward a sample of the official ballot and shall certify the counts on each ballot question. The counts may be certified by noting the count on the official ballot sample or by submitting minutes in any other format approved by the commissioner.
V. A financial report for each city, town, school district, village district, or county shall be filed showing the summary of receipts and expenditures, according to uniform classifications, during the preceding fiscal year, and a balance sheet showing assets and liabilities at the close of the year. This report shall be submitted on or before April 1 if the municipality keeps its accounts on a calendar year basis, or on or before September 1 if the municipality keeps its accounts on an optional fiscal year basis pursuant to RSA 31:94-a. School districts shall submit financial reports on or before September 1 of each year.
VI. (a) The governing body of the town, school district, or village district, or the budget committee in towns operating under the municipal budget law, shall file the budget within 20 days of the close of the annual or special meeting.
(b) The governing body of a city shall file the budget within 20 days of the adoption of any budget resolution.
(c) The governing body of a town which has adopted a charter pursuant to RSA 49-B and does not have a budgetary town meeting, shall file the budget within 20 days of the adoption of any budget resolution.
VII. If a special town, school district, or village district meeting is held, the governing body shall submit, within 20 days of the close of the special meeting, a copy of the petition to superior court requesting permission to hold a special meeting and a copy of the decree from the superior court granting permission to hold a special meeting.
VIII. The governing body of the town, school district, or village district shall file, within 20 days of the close of the annual or special meeting, a copy of the warrant posted for the annual or special meeting.
IX. The governing body of the town shall file, within 20 days of the close of the annual meeting, a copy of the annual town report.
X. If a city, town, school district, village district, or county is audited by an independent public accountant, it shall submit a copy of the audited financial statements in accordance with RSA 21-J:19, II.
XI. The budget as presented to the county convention shall be filed by the clerk of the county convention by September 1 of the fiscal year to which the budget relates.
XII. A report filed by the clerk of the county convention shall certify the appropriations voted at the county convention, along with estimated revenues. This report shall be filed by September 1 of the fiscal year to which the report relates.
XIII. The minutes of the county convention shall be certified by the clerk of the county convention. Such minutes shall be filed by September 1 of the fiscal year to which the minutes relate.
XIV. In the case of a supplemental county appropriation, pursuant to RSA 24:14-a, the clerk of the county convention shall file the budget, report of appropriations voted and estimated revenues, and the minutes of the convention vote on the supplemental appropriation, within 20 days of the close of the meeting.
XV. [Repealed.]

Source. 1987, 285:4. 1989, 399:1. 1991, 269:4-7. 1996, 164:2. 1998, 192:1. 1999, 17:9. 2000, 239:9. 2001, 71:1. 2003, 307:2. 2007, 182:2, eff. April 1, 2007.

Section 21-J:35

    21-J:35 Setting of Tax Rates by Commissioner. –
I. The commissioner of revenue administration shall compute and establish the tax rate of each town, city, or unincorporated place. Any assessments report issued by the commissioner pursuant to RSA 21-J:11-a shall not delay or otherwise affect the setting of the tax rate for that municipality.
II. To compute and establish the tax rates of towns, cities and unincorporated places under paragraph I, the commissioner shall examine the reports required under RSA 21-J:34 to ensure that:
(a) All appropriations have been made in a manner which is consistent with procedural requirements established by statute.
(b) No appropriations have been made which are prohibited by statute.
(c) All revenues have been estimated accurately and in a manner which is not prohibited by statute.
(d) All calculations are correct.
III. If the commissioner finds that appropriations were made in a manner which is inconsistent with statute he shall delete the appropriation or that portion in question.
IV. If the commissioner finds that the estimated revenues included are inaccurate or inappropriate he shall adjust the estimates in question.
V. The commissioner shall notify in writing the governing body of each city or town of the rate he has established. This notification shall include a detailed explanation of all changes made in the appropriations or revenue estimates submitted by the municipality or district in question.
VI. Any town, city, or unincorporated place which is dissatisfied with the tax rate set under this section may, within 10 days of notification, request an oral hearing on this matter before the commissioner of revenue administration. If such a request is made, the commissioner shall promptly schedule and conduct a hearing pursuant to rules he shall adopt under RSA 541-A. After hearing, the decision of the commissioner shall be final.
VII. On or before October 1 of each year, the following state agencies shall provide the department of revenue administration estimates of local aid to be distributed to municipalities and school districts in the current fiscal year for the following local aid programs:
(a) State treasury: meals and rooms distribution pursuant to RSA 78-A:26.
(b) Department of transportation: highway construction aid pursuant to RSA 235:23.
(c) Department of environmental services: water pollution control grants pursuant to RSA 486, water filtration grants pursuant to RSA 486-A, and landfill closure grants pursuant to RSA 149-M:43.
(d) Department of education: federal forest land aid pursuant to RSA 227-H:20 through RSA 227-H:22, state aid for an adequate education pursuant to RSA 198:40-a, school building aid pursuant to RSA 198:15-a, and special education aid pursuant to RSA 186-C:18.

Source. 1987, 285:4. 2001, 158:57. 2003, 307:9, eff. July 1, 2003. 2014, 76:1, eff. July 26, 2014. 2017, 156:101, eff. July 1, 2017.

Section 21-J:36

    21-J:36 Repealed by 2007, 182:7, I, eff. April 1, 2007. –

Section 21-J:37

    21-J:37 Service Exemptions Added to Appropriations. – Selectmen and assessors shall total the amount to be credited to veterans upon their tax bills, when the same has been determined, and add the same to the total amount of appropriations voted by the town or city as certified to the commissioner of revenue administration under RSA 21-J:34, for the purpose of computing the tax rate.

Source. 1987, 285:4, eff. July 1, 1987.

Transferee Liability and Criminal Penalties

Section 21-J:38

    21-J:38 Transferee Liability. – The liability, at law or in equity, of a transferee of property of a taxpayer for any tax administered by the department and any addition to tax, penalty or interest with respect to such tax, shall be assessed, paid and collected in the same manner and subject to the same provisions and limitations as in the case of the tax to which the liability relates, except as otherwise provided in this chapter. Transferee liability shall arise in cases in which the transfer is without adequate consideration, would render the transferor insolvent, or would render the transferor without sufficient property in New Hampshire to cover the amount of his tax liability. The term "transferee" includes, but is not limited to, donee, heir, legatee, devisee and distributee. If any person is deceased, the period of limitation for assessment against such person shall be the period that would be in effect had death not occurred.

Source. 1991, 163:11, eff. May 27, 1991.

Section 21-J:38-a

    21-J:38-a Sham Transactions May Be Disallowed. –
I. The commissioner may disallow any sham transaction in ascertaining any taxpayer's tax liability. With respect to transactions between members of a controlled group, the taxpayer shall bear the burden of establishing by a preponderance of the evidence that a transaction or a series of transactions between the taxpayer and one or more members of the controlled group was not a sham transaction. For all other taxpayers, the commissioner shall bear the burden of establishing by a preponderance of the evidence that a transaction or series of transactions was a sham transaction.
II. In administering any tax, the commissioner may apply the doctrines of economic reality, substance over form, and step transaction.
III. If the commissioner disallows a sham transaction under paragraph I, the applicable limitation period for assessing the tax, together with applicable penalties, charges, and interest, shall be extended for a period equal to the applicable limitation period. Nothing in this paragraph shall be construed as extending an applicable limitation period for claiming any refund of a tax.
IV. The commissioner may adopt rules under RSA 541-A that are necessary to administer this section, including rules establishing criteria for identifying sham transactions.
V. In this section:
(a) "Controlled group" means 2 or more person related in such a way that one person directly or indirectly owns or controls the business operation of another member of the group.
(b) "Sham transaction" means a transaction or series of transactions without economic substance because there is no business purpose or expectation of profit other than obtaining tax benefits.
(c) "Tax" includes any tax administered by the commissioner.
(d) "Taxpayer" includes any person or entity subject to a tax.

Source. 2005, 177:139, eff. July 1, 2005.

Section 21-J:39

    21-J:39 Criminal Penalties. –
I. (a) The term "person," as used in this section, shall include, but not be limited to, an officer or employee of a corporation, a member, officer or employee of a partnership, or a trustee, member or employee of a trust who as such trustee, member or employee is under a duty either to perform or to refrain from performing the act with respect to which the violation occurs. This section shall apply to persons acting in any fiduciary capacity.
(b) The term "willfully," as used in this section, shall have the same meaning as provided in RSA 626:2, IV.
II. With respect to any tax administered by the department, no person shall:
(a) Willfully attempt in any manner to evade any tax or the payment thereof;
(b) Willfully fail to collect or truthfully account for and pay over any tax which such person is required to collect, account for, and pay over to the department;
(c) Willfully fail to pay any estimated tax or taxes, to make a return, report or declaration, to keep records, or to supply any information, which such person is required to do under any tax law or under rules adopted under authority of such law, to pay such estimated tax or taxes, to make such return, report or declaration, to keep such records, or to supply such information, at the time or times required by statute or rules, except that in the case of any person with respect to whom there is a failure to pay any estimated tax, this section shall not apply to such person with respect to such failure if there is no addition to tax under RSA 21-J:32 or 33 with respect to such failure;
(d) Willfully make and subscribe any return, report, statement, or other document, that contains or is verified by a written declaration that it is made under the penalties of perjury, and that he does not believe to be true and correct as to every material matter;
(e) Aid or assist in, or procure, counsel, or advise the preparation of or presentation under, or in connection with any matter arising with respect to the taxes administered by the department, a return, affidavit, claim, or other document, which the person knows is fraudulent or false as to any material matter, whether or not such falsity or fraud is with the knowledge and consent of the person authorized or required to present such return, affidavit, claim, or document;
(f) Willfully simulate or falsely or fraudulently execute or sign any bond, license, permit or other document required by the department with respect to the taxes administered by it or by any rule adopted relative to such taxes, or willfully procure such documents to be falsely or fraudulently executed or advise, aid in, or connive at such execution;
(g) Willfully remove, deposit, or conceal, or direct the removing, depositing, or concealing of any goods, chattels, or commodities for or in respect to any tax which is or is to be imposed, or any property upon which levy or distraint is authorized by RSA 80 or RSA 21-J with intent to evade the assessment or collection of any tax;
(h) In connection with the preparation of a tax return for another, the filing of a tax return or the payment of any tax, receive money from such other person on the understanding that it is to be paid over to the department to discharge, in whole or in part, such other person's tax liability and to willfully fail to pay over the same to the department;
(i) With intent to defraud or willfully attempt to evade the tax:
(1) Alter, forge, make or counterfeit any stamp or other device prescribed by law for the collection or payment of any tax, or sell, lend, or have in his possession any such altered, forged, or counterfeited stamp or other device, or make, use, sell, or have in his possession any material in imitation of the material used in the manufacture of such stamp or other device; or
(2) Use more than once any stamp or other device, or alter the cancellation or defacing marks of, or otherwise prepare for reuse any stamp or other device; or
(3) Tamper with or cause to be tampered with any metering machine authorized by any tax law or rules adopted under the authority of such tax law;
(j) Willfully deliver or disclose to the department any list, return, account, statement, declaration, or other document, known by him to be fraudulent or to be false as to any material matter;
(k) Willfully corrupt or by force or threat of force, including any threatening letter or communication, endeavor to obstruct or impede an officer or employee of the state acting in an official capacity under this chapter, or in any other way corrupt or by force or threats of force, including any threatening letter or communication, obstruct or impede, or endeavor to obstruct or impede, the due administration of any tax administered by the department. The term "threats of force," as used in this subparagraph, means threats of bodily harm to the officer or employee of the department or to a member of his family;
(l) When required by any tax law or rules adopted under the authority of such tax law to obtain any license or permit:
(1) Willfully fail to register or apply for such license or permit; or
(2) Willfully sell, offer for sale, or possess with intent to sell, any product for which a license or permit is required without registering or obtaining such license or permit; or
(3) Willfully sell or offer to sell any product for which a license or permit is required to sell such product, to any person required to be licensed who does not possess a valid license issued by the department; or
(4) Willfully operate any business, hotel or restaurant or collect tax without registering or obtaining the required license, or operate any such business, hotel or restaurant after the department has suspended, revoked, or refused to issue such license or permit.
III. (a) Any natural person who violates subparagraph II(a), (b), (d), (e), (i) or (k) shall be guilty of a class B felony and shall be fined as provided in RSA 651:2.
(b) Any other person who violates subparagraph II(a), (b), (d), (e), (i) or (k) shall be guilty of a felony and shall be fined as provided in RSA 651:2.
(c) Any natural person who violates subparagraph II(c), (f), (g), (h), (j), or (l) shall be guilty of a misdemeanor and shall be fined as provided in RSA 651:2.
(d) Any other person who violates subparagraph II(c), (f), (g), (h), (j), or (l) shall be guilty of a misdemeanor and shall be fined as provided in RSA 651:2.
IV. (a) No person, except elected officials making appraisals pursuant to RSA 75:1, shall willfully engage in making appraisals of a municipality for tax assessment purposes, unless such person is certified as provided in RSA 21-J:14-f.
(b) No person engaged in making appraisals of a municipality for tax assessment purposes shall willfully fail to maintain and provide the department access to the records required to be kept under RSA 21-J:14-e.
(c) Any person who violates subparagraph (a) or (b) shall be guilty of a class B misdemeanor.

Source. 1991, 163:11. 2001, 297:5. 2004, 203:9, eff. June 11, 2004.

Taxpayer Bill of Rights

Section 21-J:40

    21-J:40 Taxpayer Information Statements. –
I. The commissioner shall prepare taxpayer information statements which set forth in simple, nontechnical terms:
(a) The rights of a taxpayer and the obligations of the department during an audit.
(b) The procedures by which a taxpayer may appeal any adverse decision of the department, including administrative and judicial appeals.
(c) The procedures for filing and processing refund claims.
(d) The procedures which the department may use in enforcing the revenue provisions of the laws of the state.
II. The statements prepared in accordance with paragraph I shall be distributed by the department to a taxpayer:
(a) When the taxpayer is first contacted by the department for an examination of the taxpayer's records; for an assessment of taxes, penalties or interest; or for a demand for payment of taxes, penalties or interest;
(b) When requested by a taxpayer; or
(c) Any time the department deems it necessary.

Source. 1991, 163:11, eff. May 27, 1991.

Section 21-J:41

    21-J:41 Taxpayer Communications With Department. –
I. In any communication with the department, the taxpayer shall have the following rights:
(a) The right to make an audio recording of any meeting relating to the determination or collection of any tax with the department representative, using the taxpayer's own equipment, and at the taxpayer's own expense.
(b) If the department makes an audio recording of the meeting, the right to request a copy of the recording. The taxpayer shall reimburse the department the reasonable costs of the copy.
(c) The right to contact and consult with an attorney, certified public accountant, public accountant, or any other person authorized to represent a taxpayer at any meeting with the department, if the taxpayer clearly states to the department representative at any time during any meeting, that the taxpayer wishes to consult with the person.
(d) The right to be represented by any attorney, certified public accountant, public accountant, or any other person authorized to represent the taxpayer before the department who is not disbarred or suspended from practice.
(e) The right not to be present if represented at the meeting, unless subpoenaed by the department.
(f) The right to an explanation, in any initial notice or other initial communication of a deficiency, delinquency or other writing that is communicating an underpayment of tax, of the basis for the underpayment, interest, and penalties.
II. Such rights in paragraph I shall include, but not be limited to, audits, conferences, interviews and hearings.
III. Such rights may be waived by the taxpayer.

Source. 1991, 163:11, eff. May 27, 1991.

Section 21-J:42

    21-J:42 Abatement of Penalty or Addition to Tax Due to Erroneous Written Advice by Department. –
The commissioner shall abate any penalty or addition to tax attributable to erroneous advice furnished to the taxpayer in writing by a representative of the department acting in such representative's official capacity. The provision shall apply only if:
I. The written advice was reasonably relied upon by the taxpayer and was in response to a specific written request of the taxpayer; and
II. The portion of the penalty or addition to tax did not result from a failure by the taxpayer to provide adequate or accurate information.

Source. 1991, 163:11, eff. May 27, 1991.

Section 21-J:43

    21-J:43 Authority to Enter Into Written Installment Payment Agreements. – The department may enter into written installment payment agreements if it determines that the agreement facilitates collection of delinquent taxes, penalties, and interest owed. The department may modify or terminate an installment payment agreement if it determines that the financial condition of the taxpayer has sufficiently changed or that the taxpayer has not complied with the terms of the installment agreement. The department shall give written notice to the taxpayer at least 30 days before the action terminating or modifying the installment payment agreement.

Source. 1991, 163:11. 2009, 144:270, eff. July 1, 2009. 2014, 78:3, eff. May 27, 2014.

Section 21-J:43-a

    21-J:43-a Credit or Debit Card Payment. – The commissioner of the department of revenue administration and any authorized employee or agent of the commissioner may accept credit cards or debit cards for the online payment of any of the taxes, penalties, interest, or fees administered by the commissioner or collected by the department. The amount of any service charge required to be paid by the taxpayer to the credit card or debit card service provider to cover the provider's cost of this service shall be determined by the department through a competitive bid process, and the service provider shall add this charge to the amount due, in addition to any tax, penalties, and interest payable. The department, at the time of billing, shall disclose the amount of the service charge to the taxpayer. The commissioner shall adopt rules, pursuant to RSA 541-A, as necessary for the administration of such electronic transactions.

Source. 2011, 180:1, eff. Aug. 13, 2011.

Section 21-J:44

    21-J:44 Taxpayer Remedy for Department Failure to Comply With Subdivision. –
I. The negligent or intentional failure of the department to comply with any of the provisions of RSA 21-J:40-43 shall suspend the running of any applicable statute of limitations or time limitation within which some act must be done or petition, document, writing, or statement must be filed as to both the taxpayer and the department, and such suspension shall continue until the department complies with such provisions.
II. Nothing in paragraph I shall be construed to suspend the time or times within which any return or declaration of consideration must be filed.

Source. 1991, 163:11, eff. May 27, 1991.

Reports

Section 21-J:45

    21-J:45 Reports on Status of Requested Tax Refunds. –
I. The commissioner of the department of revenue administration shall report to the fiscal committee of the general court within 10 days after the close of each quarter, the status of requested refunds pending from the combined general fund and education trust fund for the following taxes:
(a) Business profits tax.
(b) Business enterprise tax.

[Paragraph I(c) repealed by 2021, 91:99, I effective January 1, 2027.]


(c) Interest and dividends tax.
II. This report shall include, but not be limited to, the number and dollar value of requested refunds carried over from the prior quarter, requested refunds initiated during the quarter, requested refunds paid out during the quarter, and requested refunds outstanding at the end of the quarter. This report shall also include a 5-year history of the requested refunds paid for each tax in subparagraphs I(a)-(c).

Source. 2004, 203:17, eff. June 11, 2004. 2014, 78:4, eff. May 27, 2014.

Extension of Tax Filing Deadlines for Members of the Armed Forces and National Guard

Section 21-J:46

    21-J:46 Extension of Tax Filing Deadlines for Members of the Armed Forces and National Guard. –
I. The commissioner of revenue administration may extend the deadline for a member of the armed forces or national guard to file tax returns and make associated tax payments up to 180 days after return from service in a qualifying duty location, provided such person is filing as an individual, a sole proprietor, or as the member on behalf of a single member limited liability corporation.
II. For the purpose of this section, a "qualifying duty location" means:
(a) A hazardous duty area, as recognized by the Internal Revenue Service; or
(b) A combat zone, as designated by Presidential Executive Order.

[Paragraph III effective until January 1, 2027; see also paragraph III set out below.]


III. This section shall apply only to tax returns and associated payments under RSA 77, RSA 77-A, and RSA 77-E.

[Paragraph III effective January 1, 2027; see also paragraph III set out above.]


III. This section shall apply only to tax returns and associated payments under RSA 77-A and RSA 77-E.

Source. 2008, 306:1, eff. July 2, 2008. 2021, 91:94, eff. Jan. 1, 2027.

Commission on the Taxation of Alternative Fuel and Electric-Powered Motor Vehicles

Section 21-J:47

    21-J:47 Repealed by 2012, 86:2, eff. Nov. 1, 2012. –

Commission to Study Revenue Alternatives to the Road Toll

Section 21-J:48

    21-J:48 Repealed by 2015, 261:2, eff. Nov. 1, 2015. –