[Vision2020] Idaho Tax Commissioners Rebut Allegations

[Tom Hansen]

Stay tuned, Visionaires. This has the looks of the first chapter in a long 
saga.

>From today's (June 26, 2008) Spokesman Review -

---------------------------------------------------

Idaho tax commissioners rebut allegations 

Panel defends confidential transactions
Betsy Z. Russell, Staff writer
June 26, 2008

BOISE – Idaho's four state tax commissioners have formally disputed a 
whistle-blower's report that accused them of cutting secret deals to 
excuse multistate corporations from paying millions in taxes.

"The Commission, and the individuals involved, reject as completely untrue 
any allegation that cases are illegally or inappropriately compromised," 
the commissioners wrote.

Auditor Stan Howland, who has worked for the Tax Commission for 28 years, 
three weeks ago sent a 17-page report detailing his claims to state 
lawmakers, the governor and the Idaho attorney general. Howland contended 
that the commissioners routinely settle disputed tax cases with 
corporations, and that confidentiality laws prevent anyone from finding 
out about it.
 
Commissioners Royce Chigbrow, Sam Haws, Coleen Grant and Tom Katsilometes 
wrote in their response: "What Mr. Howland deplores as unjustifiable 
secrecy, others regard as laudable confidentiality designed to protect 
privacy."

They contended that tax law for multistate corporations is more complex 
than Howland suggested, and that confidential settlements therefore often 
are preferable to litigation or published, precedent-setting rulings.

The commissioners also wrote that they don't involve auditors directly in 
the process of compromise agreements because doing so would "involve the 
auditor in judging his own audit. This undermines, and will seem to 
undermine, basic notions of fair play."

Howland contended that the commission has made increasing use of 
confidential settlements in multistate, corporate tax protests for the 
past 17 years, and that it used such settlements for nearly all 
multistate, corporate protests in the past year.

"These special deals are available primarily to those companies that are 
aware of the commission's willingness to compromise audited tax returns," 
Howland wrote. "The number of corporations receiving these 'deals' has 
increased over the years to a point where most large corporations now 
automatically protest all audits in anticipation of receiving their 'Idaho 
tax break.' "

Gov. Butch Otter requested the formal response from the Tax Commission. 

"We'll be looking at it closely," said his press secretary, Jon Hanian.

State lawmakers, who also were sent copies of the response Wednesday, have 
requested a formal attorney general's opinion on whether any laws were 
broken; authorized a special meeting of the Senate tax committee this 
summer to review the allegations; and called for possible changes in state 
laws.

---------------------------------------------------

Seeya at Farmers' Market, Moscow.

Tom Hansen
Moscow, Idaho
 
"We're a town of about 23,000 with 10,000 college students. The college 
students are not very active in local elections (thank goodness!)."

- Dale Courtney (March 28, 2007)


---------------------------------------------
This message was sent by First Step Internet.
           http://www.fsr.com/