Nebraska State Income Tax Protest — Petition for Redetermination

WRITTEN PROTEST AND PETITION FOR REDETERMINATION — NEBRASKA INDIVIDUAL / CORPORATE INCOME TAX

TABLE OF CONTENTS

1. Filing Cover Page
2. Identification of Taxpayer
3. Identification of Determination Being Protested
4. Statement of Jurisdiction and Timeliness
5. Statement of Facts
6. Legal Bases for Redetermination
7. Requested Relief
8. Request for Oral Hearing
9. Reservation of Rights
10. Verification and Signature
11. Power of Attorney / Authorized Representative
12. Certificate of Service
13. Nebraska Practice Notes
14. Sources and References

1. FILING COVER PAGE

TO: Nebraska Department of Revenue
Legal Section / Protest Unit
PO Box 94818
Lincoln, NE 68509-4818
Email: [as designated on the Notice of Deficiency Determination]

FROM: [TAXPAYER NAME / REPRESENTATIVE]

RE: Written Protest and Petition for Redetermination of Notice of Deficiency Determination

2. IDENTIFICATION OF TAXPAYER

2.1. Taxpayer: [TAXPAYER LEGAL NAME] ("Taxpayer").

2.2. Address: [STREET ADDRESS, CITY, STATE ZIP].

2.3. Form of organization: ☐ Individual ☐ C Corporation ☐ S Corporation ☐ Partnership ☐ LLC ☐ Trust / Estate ☐ Other: [________________________________].

2.4. State of organization / residency: [________________________________].

2.5. Nebraska tax identification number: [________________________________].

2.6. Federal taxpayer identification number (EIN or SSN, last four digits): [XXXX].

2.7. Contact for this matter:

3. IDENTIFICATION OF DETERMINATION BEING PROTESTED

3.1. Taxpayer protests in full the Notice of Deficiency Determination dated [__/__/____] and mailed by the Nebraska Department of Revenue (the "Notice"), bearing notice number [NOTICE NUMBER], for the tax period(s) ending [__/__/____] (the "Tax Period").

3.2. The Notice asserts a deficiency of $[AMOUNT] in tax, plus penalty of $[AMOUNT] and interest of $[AMOUNT], for a total proposed assessment of $[AMOUNT].

3.3. The principal adjustments asserted in the Notice are:

3.4. Taxpayer protests each adjustment listed above and any related penalty and interest.

4. STATEMENT OF JURISDICTION AND TIMELINESS

4.1. This Petition is filed pursuant to Neb. Rev. Stat. § 77-27,127 and § 77-2778, which provide that the exclusive remedy to contest an income tax deficiency assessment is the filing of a written protest with the Tax Commissioner within ninety (90) days of the mailing of the Notice of Deficiency Determination.

4.2. The Notice was mailed on [__/__/____]. The 90-day protest period expires on [__/__/____]. This Petition is timely filed on [__/__/____], within that 90-day period.

4.3. Taxpayer reserves the right to seek judicial review of any adverse final order in the District Court for Lancaster County (or, where applicable, the alternate venue authorized by Neb. Rev. Stat. § 77-2798) within 30 days of service of the Tax Commissioner's final order.

5. STATEMENT OF FACTS

5.1. [Insert numbered factual paragraphs setting out the taxpayer's business, the transactions or items at issue, and the nature of the audit / examination giving rise to the Notice. Each fact paragraph should be capable of admission, denial, or qualification by DOR.]

5.2. Audit history. The examination was conducted by [AUDITOR NAME], Nebraska DOR, between [__/__/____] and [__/__/____]. Taxpayer responded to [NUMBER] Information Document Requests ("IDRs") and produced [DESCRIBE — e.g., general ledgers, federal Forms 1120, depreciation schedules, apportionment workpapers].

5.3. Specific factual disputes. Taxpayer specifically disputes the following findings:

5.3.1. [FACTUAL FINDING 1] — Taxpayer's position: [POSITION].

5.3.2. [FACTUAL FINDING 2] — Taxpayer's position: [POSITION].

5.3.3. [FACTUAL FINDING 3] — Taxpayer's position: [POSITION].

5.4. Records. Taxpayer has retained all books and records reasonably necessary to verify the items at issue, in compliance with Neb. Rev. Stat. § 77-27,109 and applicable retention rules, and stands ready to produce additional documentation as requested.

6. LEGAL BASES FOR REDETERMINATION

6.1. Ground One — [Issue Heading, e.g., Improper Apportionment Under Neb. Rev. Stat. § 77-2734.05]

6.1.1. The Notice's adjustment to [ITEM] misapplies Neb. Rev. Stat. § [CITATION] because [LEGAL ARGUMENT].

6.1.2. Controlling authority: [CITATION TO STATUTE / REGULATION / CASE].

6.2. Ground Two — [Issue Heading, e.g., Federal Conformity Under Neb. Rev. Stat. § 77-2715]

6.2.1. [LEGAL ARGUMENT].

6.3. Ground Three — [Issue Heading, e.g., Penalty Should Be Abated]

6.3.1. The Notice asserts a penalty under Neb. Rev. Stat. § [CITATION]. Penalty abatement is warranted because:

• Taxpayer relied on written advice from the Department in accordance with the Nebraska Taxpayer Bill of Rights, Right VI;
• Taxpayer acted in good faith with reasonable cause; and
• The position taken was supported by substantial authority.

6.4. Ground Four — [Statute of Limitations]

6.4.1. To the extent the Notice asserts adjustments for tax periods more than three years before the date of the Notice, those adjustments are time-barred under Neb. Rev. Stat. § 77-2786, unless the Department demonstrates a 25% omission of taxable income or other applicable extension.

7. REQUESTED RELIEF

WHEREFORE, Taxpayer respectfully requests that the Tax Commissioner:

• A. Withdraw the Notice of Deficiency Determination dated [__/__/____] in its entirety;
• B. In the alternative, redetermine the deficiency by eliminating the adjustments described in Sections 3.3 and 6 above and recalculating tax, penalty, and interest accordingly;
• C. Abate all penalties asserted;
• D. Limit any final assessment to the period(s) for which the statute of limitations remains open under Neb. Rev. Stat. § 77-2786;
• E. Issue a written final order with findings of fact and conclusions of law as required by Title 316 Neb. Admin. Code, Chapter 33; and
• F. Grant such further relief as is just and equitable.

8. REQUEST FOR ORAL HEARING

8.1. Taxpayer expressly requests an oral hearing before a hearing officer designated by the Tax Commissioner pursuant to Title 316 Neb. Admin. Code, Chapter 33.

8.2. ☐ Taxpayer requests an in-person hearing in Lincoln, Nebraska.
☐ Taxpayer requests a telephonic / video hearing.
☐ Taxpayer is available on the following dates: [DATES].

8.3. Taxpayer estimates the hearing will require approximately [____] hours and intends to call [NUMBER] witness(es).

9. RESERVATION OF RIGHTS

9.1. Taxpayer reserves the right to:

• Supplement and amend this Protest as additional facts are developed;
• Submit additional documentary evidence and legal authority;
• Raise additional grounds disclosed by further DOR action;
• Engage in pre-hearing conferences and informal resolution under the Nebraska Taxpayer Bill of Rights;
• Seek judicial review of any adverse final order in the District Court for Lancaster County (or alternate venue under § 77-2798) within 30 days of service of such order;
• Pursue any available federal protection under 28 U.S.C. § 1341 (Tax Injunction Act) limitations and federal due process protections.

10. VERIFICATION AND SIGNATURE

I, [NAME], [TITLE] of Taxpayer, having read the foregoing Protest and Petition for Redetermination, declare under penalty of perjury under the laws of the State of Nebraska that the factual statements contained herein are true and correct to the best of my knowledge, information, and belief, and that this Protest is filed in good faith and not for purposes of delay.

Date: [__/__/____]

Signature: [________________________________]

Printed Name: [NAME]

Title: [TITLE]

11. POWER OF ATTORNEY / AUTHORIZED REPRESENTATIVE

☐ A current Nebraska Department of Revenue Power of Attorney (Form 33) is on file.
☐ A Power of Attorney (Form 33) is enclosed with this Protest.

Representative's Signature: [________________________________]

Date: [__/__/____]

12. CERTIFICATE OF SERVICE

I certify that on [__/__/____] a true and correct copy of this Written Protest and Petition for Redetermination, together with all attachments, was filed with the Nebraska Department of Revenue by:

☐ Electronic filing through revenue.nebraska.gov
☐ U.S. Mail, certified, return receipt requested, to:

Nebraska Department of Revenue
Legal Section / Protest Unit
PO Box 94818
Lincoln, NE 68509-4818

☐ Email to [DOR EMAIL ON NOTICE] (with confirmation of receipt requested).

[________________________________]

[FILER NAME]

13. NEBRASKA PRACTICE NOTES

• Deadline is jurisdictional. Failure to file the written protest within 90 days of the mailing of the Notice causes the proposed assessment to become final by operation of law under Neb. Rev. Stat. § 77-2778. The Tax Commissioner has no authority to extend the statutory deadline, and Nebraska courts have rejected equitable arguments where the statutory deadline is missed. Calendar conservatively from the mailing date stated on the face of the Notice.
• Income vs. sales tax deadlines differ. Income tax protests are governed by 90-day deadlines under §§ 77-2778 and 77-27,127. Sales/use tax protests are governed by the 60-day deadline under § 77-2709. Drug tax and jeopardy determinations carry a 10-day deadline. A taxpayer outside the United States receives 150 days for income tax protests.
• TERC has no jurisdiction over income tax. The Tax Equalization and Review Commission's jurisdiction (Neb. Rev. Stat. §§ 77-5005 to 77-5013) is limited to property tax matters — appeals from county boards of equalization and statewide equalization. Do not file an income tax protest with TERC; it will be dismissed for lack of jurisdiction.
• Judicial review. After the Tax Commissioner issues a final order, the taxpayer has 30 days to file a petition for judicial review in the District Court for Lancaster County under Neb. Rev. Stat. § 77-27,127, or in the alternative venue under § 77-2798 (taxpayer's residence or place of business). Judicial review is on the agency record under the Administrative Procedure Act, Neb. Rev. Stat. § 84-917.
• Pay-and-protest is not required. Unlike some states, Nebraska does not require prepayment of the contested deficiency to pursue an administrative protest. Interest continues to accrue, however, so consider partial payment to limit interest exposure.
• Frivolous positions. Neb. Rev. Stat. § 77-27,130 authorizes damages of up to $1,000 for frivolous protests or appeals. Plead with care.
• Confidentiality. Tax return information is confidential under Neb. Rev. Stat. § 77-2711(3) and §§ 77-27,119(2) and (3). Protest filings are not public records.
• Nebraska Taxpayer Bill of Rights. Right V guarantees due process and a fair hearing; Right VI authorizes penalty abatement where the taxpayer relied on written DOR advice; Right IX requires professional, courteous treatment by Department employees.
• Records retention reminder. Although the user-prompt cites "§ 77-2799," the operative records-retention authorities are § 77-2711 (sales/use, three-year retention) and § 77-27,109 (income tax — Tax Commissioner's authority to compel records). § 77-2786 governs the income tax statute of limitations (generally three years; six years for 25% omissions; unlimited for fraud or non-filing).

14. SOURCES AND REFERENCES

• Nebraska Legislature — Revised Statutes Chapter 77: https://nebraskalegislature.gov/laws/browse-chapters.php?chapter=77
• Neb. Rev. Stat. § 77-27,127 (Income tax appeals; Lancaster County District Court): https://nebraskalegislature.gov/laws/statutes.php?statute=77-27,127
• Neb. Rev. Stat. § 77-2778 (Income tax; deficiency; written protest; time): https://nebraskalegislature.gov/laws/statutes.php?statute=77-2778
• Neb. Rev. Stat. § 77-2786 (Statute of limitations on deficiency): https://nebraskalegislature.gov/laws/statutes.php?statute=77-2786
• Nebraska DOR — Electronically File Your Protest: https://revenue.nebraska.gov/businesses/electronically-file-your-protest
• Nebraska DOR — Appeal Flowchart: https://revenue.nebraska.gov/sites/default/files/doc/info/appeal_flowchart.pdf
• Nebraska DOR — Title 316 NAC Chapter 33 (Practice and Procedure): https://revenue.nebraska.gov/about/legal-information/regulations/chapter-33-practice-and-procedure
• Nebraska Taxpayer Bill of Rights: https://revenue.nebraska.gov/about/nebraska-taxpayer-bill-rights
• TERC (property tax only): https://terc.nebraska.gov/
• Sack v. State, 259 Neb. 463 (2000) (income tax deficiency procedure)
• Kellogg Co. v. Herrington, 216 Neb. 138 (1984) (apportionment / DOR procedure)

Disclaimer: This template is provided for informational purposes only and does not constitute legal advice. An attorney licensed in Nebraska must review and customize this document before filing. Statutory citations and deadlines change frequently; verify all authorities before use.