Did filing a late Louisiana tax return extend the separate deadline for the taxpayer to claim a refund or credit?

Plain-English summary

Filing a late Louisiana return did not extend the separate statutory deadline for claiming a refund or credit.

La. R.S. 47:1580(C)(1) interrupted the time running against the Department's ability to assess and collect when a taxpayer failed to file. Once the return was filed, the Department received a new collection period for the reported tax, interest, penalties, and other charges.

That rule protected the state, not the taxpayer's refund right. A claim for an overpayment still had to be timely under La. R.S. 47:1623.

Deadline described in the ruling

The ruling said a refund or credit claim had to be filed by the later of:

• Three years from December 31 of the year in which the tax became due; or
• One year from the date the tax was paid.

Why the periods were separate

La. R.S. 47:1580 addressed tax the Department had not received and allowed assessment after a failure to file.

La. R.S. 47:1623 addressed tax, interest, or penalty that the taxpayer paid when it was not due. Recovering that overpayment required a timely claim.

Common questions

Q: Did a late return revive an expired refund claim?

A: No.

Q: Did the unfiled-return rule extend the Department's collection period?

A: Yes, as described in the ruling.

Q: Which deadline controlled the taxpayer's refund request?

A: La. R.S. 47:1623, not the assessment provision.

Q: Is deadline calculation fact-specific?

A: Yes. Tax due dates, payment dates, and later statutory changes must be checked.

Citations and references

• La. R.S. 47:1580(C)(1) — interruption of collection prescription for an unfiled return
• La. R.S. 47:1621 and 47:1623 — overpayments and refund or credit claims
• Louisiana Revenue Ruling 04-007 — tax periods affected by late filing, as referenced in this ruling
• LAC 61:III.101.C — Revenue Ruling authority and reliance statement

Source

• Landing page: Louisiana Department of Revenue Policies
• Original PDF: LA Revenue Ruling 05-002

Original ruling text

RPage 1 of 1Revenue Revenue RevenueRRRRevenue Information Bulletin No 01-xxxx
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Revenue Ruling
No. 05- 002
June 2, 2005
Administrative
Prescription of Tax Refunds or Credits
Purpose: The purpose of this Revenue Ruling is to determine whether or not R.S.
47:1580(C)(1) interrupts the prescription running against refunds or credits for taxpayers who
file returns after the usual prescription period specified in R.S. 47:1623.
Analysis/Discussion: The Louisiana constitution generally provides that a tax, except real
property tax, prescribes (becomes uncollectible) after three years after December 31 of the year
in which the tax became due. R.S. 47:1580 addresses prescription of the department’s ability to
collect tax that is due. It provides for the prescription running against any state tax, license,
excise, interest, penalty or other charge. Specifically, R.S. 47:1580(C)(1) provides that the
failure to file any return interrupts the running of prescription until the subsequent filing of the
return. Once prescription begins to run, the tax, license, excise, interest, penalty or other charge,
which is reported on the return filed, prescribes in three years after the thirty-first day of
December of the year of the filing of the return. This provision allows the department to assess
the tax and charge interest, penalty and other charges from the date the return was originally due.
See Revenue Ruling No. 04-007 for a discussion of the tax periods affected.
The secretary must refund an overpayment if it is determined that the provisions of R. S. 47:1621
are met. R.S. 47:1623 provides for the prescription of refunds or credits for overpayment of
taxes. The taxpayer must file a claim for refund or credit with the secretary before the end of the
three year period from the thirty first day of December of the year in which the tax became due
or before the end of the one year period from the date the tax was paid, whichever is later.
Conclusion:
The prescription provisions of R.S. 47:1623 are not affected by the prescription provisions of
R.S. 47:1580(C)(1). The two provisions address different subjects.
The prescription issue addressed in R.S. 47:1580(C)(1) allows the department to assess tax,
interest, penalty and other charges because of the failure to file a return. The department did not
receive payment of a tax that is due and can now proceed through statutory means to collect that
tax and any interest and penalty due.
In order for the prescription provision of R.S. 47: 1623 to be called upon, a taxpayer must have
made a payment of tax, interest, or penalty when none was due. However, to receive a refund or
credit for that overpayment, a claim for the refund or credit must be timely filed.

Cynthia Bridges
Secretary
A Revenue Ruling is issued under the authority of LAC 61III.101 (C ). A Revenue Ruling is written to provide
guidance to the public and to Department of Revenue employees. It is a written statement issued to apply principles
of law to a specific set of facts. A Revenue Ruling does not have the force and effect of law and is not binding on
the public. It is a statement of the department's position and is binding on the department until superseded or
modified by a subsequent change in statute, regulation, declaratory ruling, or court decision.