Skip to main content

Definitions

Terms

Authorized Representative Declaration

The Authorized Representative Declaration (Form 151) allows a taxpayer to authorize someone else to represent their interests in a tax matter before the Department. The Department is prohibited from discussing tax information with any person other than the taxpayer unless the taxpayer has provided the Department with a valid Authorized Representative Declaration.

Decision and Order of Determination

The Department issues a Decision and Order of Determination after a hearing or informal conference. The decision and order is a statement of the reasons and authority for the decision and the amount of tax, interest, and penalty due. 1996 AACS, R 205.1011.

Final Assessment

When a taxpayer seeks a hearing or informal conference, a Final Assessment is not issued until after the Decision and Order of Determination. If a taxpayer does not seek a hearing or informal conference, a Final Assessment is issued to the taxpayer. A Final Assessment is a bill for tax, penalty, and interest due and provides appeal rights depending on the type of tax you owe.

Hearing or Informal Conference

A Hearing or Informal Conference is an opportunity to appear and present testimony and arguments to state your case in front of a Referee. The statute controlling the tax matter determines whether this opportunity is called a Hearing or an Informal Conference.

Intent to Assess

An Intent to Assess is a notice of tax deficiency sent to a taxpayer that includes the amount of tax due, the reason for the deficiency, and a statement informing the taxpayer of their right to a hearing or informal conference to dispute that deficiency.

Recommendation

A referee issues a written recommendation for resolution of a tax matter after a hearing or informal conference. The recommendation contains a statement of the facts, analysis, and conclusion of the law as it pertains to those facts, and a proposed resolution. The Treasurer’s Designee (the Hearings Division Administrator) can either accept or reject the recommendation of the Referee.

Referee

Referees are attorneys designated by law as impartial factfinders, who hear testimony and review documentation in a hearing or informal conference and then make written Recommendations and proposed Decision and Orders for review and decision by the State Treasurer’s Designee (the Hearings Division Administrator). Referees cannot enter payment plans or offer to compromise any portion of the contested amount.

Statement of Reasons and Authority

A written Statement of Reasons and Authority is issued when the State Treasurer's designee rejects the recommendation of the Hearing Referee. The written Statement of Reasons and Authority explains the Department’s rationale for rejecting the recommendation and for the final Decision and Order in the matter.

Timely Written Request

A taxpayer must submit a timely written request to ask for a hearing or informal conference. The written request must state that the taxpayer is requesting a hearing or informal conference regarding the tax matter, include the uncontested amounts, and an explanation of the dispute. A timely written request may be submitted either by United States mail, facsimile, email, or through the Treasury Hearings Web Portal. Form 5713 or the web portal are the preferred methods to file a written request. Appeals of Principal Residence Exemption denials are not accepted via the Web Portal.

Type of Notice

Time Period for Request

Applicable Law

Intent to Assess (city tax)

Within 30 days of notice issuance

MCL 141.684(2)

Refund Adjustment or Denial (city tax)

Within 30 days of notice issuance

MCL 141.689(2) and MCL 141.684(2)

Intent to Assess (state tax)

Within 60 days of notice issuance

MCL 205.21(2)(c)

Refund Adjustment or Denial (state tax)

Within 60 days of notice issuance

MCL 205.21(a)

Principal Residence Exemption denial

Within 35 days after receipt of notice

MCL 211.7cc(8)

Motor Fuel Seizure

Within 10 days of service of the inventory statement

MCL 207.1130(4)

Tobacco Products Seizure

Within 10 days of service of the inventory statement

MCL 205.429(3)

Tobacco License Suspension, Revocation or Non-Renewal

Within 20 days of notice issuance

MCL 205.425(4)