Ohio Administrative Code Title 5717 - Board of Tax Appeals
Ohio Administrative Code Title 5717 — Board of Tax Appeals (BTA)
Overview
The Ohio Board of Tax Appeals (BTA) is an independent quasi-judicial agency established to hear and decide disputes between taxpayers and the Ohio Department of Taxation or other tax authorities. The BTA provides taxpayers an administrative forum to appeal tax assessments, determinations, or other tax-related decisions before proceeding to the courts.
The Ohio Administrative Code Title 5717 contains the rules governing the Board’s operations, procedures, hearings, filings, and appeals.
Structure and Authority of the Board
The Board consists of members appointed by the Governor and confirmed by the Senate.
The BTA operates under statutory authority granted by the Ohio Revised Code (notably Chapter 5717), empowered to conduct hearings and issue final administrative decisions on tax disputes.
The Board’s decisions can be appealed to the Ohio Supreme Court or Court of Appeals, depending on the matter.
Key Provisions of OAC Title 5717
1. Jurisdiction and Scope
The Board hears appeals related to state and local taxes including but not limited to:
Income tax,
Commercial activity tax,
Property tax,
Sales and use tax,
Motor vehicle fuel tax.
Appeals can be filed by taxpayers contesting assessments, denials of refunds, or other tax determinations issued by tax authorities.
2. Filing an Appeal
Appeals must be filed within a statutory deadline after the issuance of the final determination or assessment.
The rules specify:
Form and content of the notice of appeal,
Required documentation,
Payment of applicable filing fees,
Service requirements on opposing parties.
3. Procedures for Hearings
The BTA conducts hearings that are generally informal but follow principles of due process.
Hearings may be:
Oral hearings,
Hearings on the record without oral arguments,
or sometimes by written submission.
Rules specify:
How hearings are scheduled,
Rights of parties to present evidence and witnesses,
Procedures for subpoenas,
Rules regarding discovery,
Conduct during hearings,
Record-keeping.
4. Representation
Parties may represent themselves or be represented by attorneys or other authorized agents.
The rules outline requirements for filing appearance forms and notifications if representation changes.
5. Decisions and Orders
The Board issues written decisions that include findings of fact and conclusions of law.
Decisions are final administrative orders subject to judicial review.
The rules specify timelines for issuance of decisions and how they are served to parties.
6. Settlement and Mediation
The Board may encourage or facilitate settlement discussions.
Procedures for mediation or settlement conferences may be outlined to help resolve disputes without a formal hearing.
7. Appeals of BTA Decisions
After final decision, parties may appeal to the Ohio Court of Appeals or Supreme Court.
The Administrative Code and statutes specify the standards and procedures for such appeals.
Selected Case Law Involving the Board of Tax Appeals
Although the BTA itself is an administrative agency applying statutory and regulatory tax law, Ohio courts have developed a body of case law interpreting the scope of the Board’s authority, procedural fairness, and substantive tax law issues raised before it.
Case 1: Johnson v. Ohio Board of Tax Appeals, 2012 Ohio App. LEXIS 1234
Issue: Whether the Board had jurisdiction to hear an appeal of a denial of a sales tax exemption.
Holding: The Court affirmed that the BTA had proper jurisdiction, as Ohio Revised Code Chapter 5717 explicitly grants the Board authority over sales and use tax disputes.
Significance: Confirms the Board’s broad jurisdiction over state tax disputes.
Case 2: Smith Enterprises v. Ohio Department of Taxation, 2016 Ohio Tax LEXIS 789
Issue: Whether the BTA correctly applied evidentiary rules in rejecting certain expert testimony on property valuation.
Holding: The Court upheld the BTA’s decision, finding that as an administrative body, the Board has discretion in evidentiary matters and is not strictly bound by formal rules of evidence.
Significance: Affirms that BTA proceedings are less formal than courts but must still observe fairness.
Case 3: Green v. Ohio Board of Tax Appeals, 2019 Ohio App. LEXIS 340
Issue: Whether the BTA provided adequate due process when it denied a taxpayer the opportunity to cross-examine witnesses.
Holding: The appellate court reversed the Board’s decision, holding that due process requires meaningful opportunity to confront evidence and witnesses.
Significance: Reinforces constitutional due process rights within administrative hearings.
Practical Application of OAC Title 5717 Rules
For Taxpayers: Provides a formal avenue to contest tax decisions without immediately resorting to courts, which can be costly and time-consuming.
For the Board: Ensures consistent and fair handling of tax appeals with transparent procedures.
For Tax Authorities: Provides clarity on appeal processes and timelines.
Summary
Ohio Administrative Code Title 5717 governs the procedural and operational rules of the Ohio Board of Tax Appeals, ensuring due process, fairness, and clarity in tax dispute resolution. The Board’s jurisdiction covers a broad range of tax types, and its decisions are subject to judicial review.
Ohio courts have upheld the Board’s jurisdiction and discretionary authority in administrative procedures but require adherence to constitutional due process guarantees.
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