New Hampshire Code of Administrative Rules
Rev - Department of Revenue Administration
Chapter Rev 900 - INTEREST AND DIVIDENDS TAX
Part Rev 908 - PENALTIES
Section Rev 908.01 - Substantial Understatement of Tax
Current through Register No. 12, March 21, 2024
(a) The department shall assess the penalty for understatement of tax provided by RSA 21-J:33-a on returns where the understatement exceeds the greater of 10% of the correct tax liability or $5,000 unless the taxpayer
(b) A taxpayer shall have adequately disclosed the tax treatment of an item on the return or in a statement attached to the front of the return if the following criteria are met:
(c) In determining whether a taxpayer has substantial authority, the department shall consider the following as being authoritative sources:
(d) A taxpayer shall have substantial authority for the tax treatment of an item only if the weight of the authorities supporting the treatment of the item by the taxpayer is substantial in relation to the weight of the authorities supporting the position of the department;
(e) The following shall not be considered authoritative sources:
(f) The existence of substantial authority for a particular item shall be determined as of the date the return containing the item was filed or as of the last day of the taxable period to which the return relates; and
(g) The penalty shall be applied to the net understatement determined by reducing the understatement by the portion of the understatement for which the taxpayer had substantial authority or had adequately disclosed the position taken on the return.
#6321, eff 8-22-96; ss by #8137, eff 8-10-04; ss by #10211, eff 10-24-12