The Indiana Department of Revenue’s (DOR) Secondary Review Requests process involves reviewing adjustments to tax returns or DOR application denials. In order to qualify for a Secondary Review, you must have received a letter notifying you of a change to your tax return or an application denial. The change did not affect your refund or the tax amount due. (IC 6-8.1-5.1.5)
A Secondary Review encompasses:
- Not-for-Profit denials
- Physician Practice Ownership Tax Credit
- Railroad Tax Credit for Qualified Infrastructure Investment
- A change resulting in adjustment to a net operating loss, capital loss, credit or other tax attribute
What a Secondary Review is not:
- An adjustment that will result in a change to your refund amount
- An adjustment that will result in a change in the tax amount due
- An official tax protest
- An automatic reversal of any DOR application denial
Note: Any response provided by the Department to a request for a secondary review of adjustment or application denial will not represent a final determination per IC 6-8.1-5-1.5.
FAQs
- My refund/amount owed did not change, why did I get this letter?
You may have received a letter due to an adjustment on your tax return. This adjustment does not result in a reduction of refund or the amount of tax due. However, this adjustment may impact your future year returns if it concerns a carryforward credit or deduction as well as any other reported information that carries from one year to the next year.
- I do not agree with the adjustment, what are my next steps?
If you do not agree with this change, you may review your tax return referenced on the letter to ensure all deductions and credits were claimed accurately. If you have documentation to support that any changes made by DOR were incorrect, then complete a Secondary Review Request (State Form 57028), and submit your documentation via email to DOR at DORSRA@dor.in.gov.
- What kind of documents should I provide for review?
You should provide any documentation that addresses your disagreement with the adjustment DOR made on your tax return or denial of application.
Example 1: If the change was to a Net Operating Loss (NOL) deduction, provide Schedule IT-40 NOL (State Form 46004), federal income tax return, and federal Form 1045. If your change was due to a missing certification code, provide documentation from the granting agency or organization of the credit amount and certification code.
Example 2: If the application denial was for a Nonprofit NP-20A Railroad Tax Credit for qualified infrastructure or Physician Practice Ownership Tax Credit submission, provide any documentation to prove or support your application.
- I received a letter that DOR denied my application or made an adjustment to my return, but I cannot locate the letter. How do I request a copy?
Call DOR Customer Service to request a copy of the adjustment letter or application denial:
Individual: 317-232-2240
Corporate: 317-232-0129
- What happens after my Secondary Review conference?
After DOR reviews your documents, you will receive a determination letter.
If the secondary review does not result in a reinstatement of the credit/deduction as you originally claimed, you will have the opportunity to protest if a tax adjustment (change in refund or amount due) later occurs.
If the secondary review does not result in the reversal of the application denial, then DOR will consider the findings to be final unless additional documents are submitted subsequent to receiving DOR’s determination letter.
- Can I submit a request for Secondary Review on INTIME?
No. At this time, requests for Secondary Review should be sent via email (DORSRA@dor.in.gov), or mail as listed on the Secondary Review Request (State Form 57028).
Mailed requests should be sent to the following address:
Indiana Department of Revenue
Legal Division, MS 102
Attention: Legal Services Department
100 N. Senate Avenue, Room N248
Indianapolis, IN 46204 - How do I find out the status of my Secondary Review?
You may contact the Legal Services Department by email (DORSRA@dor.in.gov), or mail.
Mailed requests should be sent to the following address:
Indiana Department of Revenue
Legal Division, MS 102
Attention: Legal Services Department
100 N. Senate Avenue, Room N248
Indianapolis, IN 46204 - What is the difference between a protest and a Secondary Review?
A protest can only be filed when DOR’s change results in a future assessment or refund denial. For example, this occurs when a refund is either reduced or increased by DOR, or when an amount due has been changed by DOR.
However, an adjustment eligible for a Secondary Review of adjustment does not result in financial adjustments. The Secondary Review request provides a customer the opportunity to have DOR conduct a second review/look of the action taken.
This review does not waive your rights to submit a protest if you later receive a bill for a change to the refund amount related to this adjustment that could affect a future return.
Note: Secondary Review Requests for an application denial are not eligible for protest.
- What is the Railroad Tax Credit for Qualified Infrastructure Investment?
The Railroad Tax Credit refers to a tax credit for “qualified railroad expenditures or qualified new rail infrastructure expenditures.” This credit applies to two categories of taxpayers. For more information regarding the Railroad Tax Credit, review Income Tax Information Bulletin #125.
- What is the Physician Ownership Practice Tax Credit?
The Physician Tax Credit applies to an eligible taxpayer base which may claim a Physician Tax Credit. For more information regarding the Physician Tax Credit, review Income Tax Information Bulletin #123.
Additional Resources
- Power of Attorney (POA-1) - State Form 49357
- Secondary Review Request form - State Form 57028