§ 105‑241.10.  Limit on refunds and assessments after a federal determination.

The limitations in this section apply when a taxpayer files a timely return reflecting a federal determination that affects the amount of State tax payable and the general statute of limitations for requesting a refund or proposing an assessment of the State tax has expired. A return reflecting a federal determination is timely if it is filed within the time required by G.S. 105‑130.20, 105‑159, 105‑160.8, or 105‑163.6A, as appropriate. A federal determination has the same meaning as defined in G.S. 105‑228.90. The limitations are:

(1) Refund. – A taxpayer is allowed a refund only if the refund is the result of adjustments related to the federal determination.

(2) Assessment. – A taxpayer is liable for additional tax only if the additional tax is the result of adjustments related to the federal determination. A proposed assessment may not include an amount that is outside the scope of this liability. (2007‑491, s. 1; 2008‑107, s. 28.18(d); 2013‑316, s. 7(b); 2018‑5, s. 38.3(f).)