(a)

1. (1) Taxpayers that receive a Notice of Proposed Assessment or Notice of Proposed Disallowance of a Claim for Refund may obtain an administrative review of the matter by the Office of Hearings and Appeals of the Department of Finance and Administration as set forth in Arkansas Code § 26-18-404.
2. (2) If the taxpayer is not satisfied with the decision issued by the Office of Hearings and Appeals, the taxpayer may request a further review of the matter by the Commissioner of Revenue of the Department of Finance and Administration as set forth in Arkansas Code § 26-18-405(d)(4).

(c) When a taxpayer chooses to bypass the administrative review process, the following procedure shall apply with respect to a Notice of Proposed Assessment:

1. (1) The taxpayer should not protest the Notice of Proposed Assessment within the thirty-day period following receipt of the notice (see Arkansas Code § 26-18-404(c));
2. (2) A Notice of Final Assessment will be issued by the department soon after the expiration of the thirty-day period (see Arkansas Code § 26-18-403(a)(2));

3. (3)

   1. (A) Within one (1) year from the issue date of the Notice of Final Assessment, the taxpayer must pay the entire amount of tax due for at least one (1) tax period covered by the final assessment.
   2. (B) A tax period is equivalent to any one (1) tax year (full or short) for which an Arkansas corporation income tax return must be filed.
   3. (C) Taxpayers that pay only part of an assessment should be aware that the department may proceed with collection activities, including the filing of liens as authorized under Arkansas Code § 26-18-701, within thirty (30) days of the issuance of the final assessment, for any assessed but unpaid taxes, penalties, or interest owed by the taxpayer for all remaining tax periods covered by the final assessment;
4. (4) Within one (1) year from the date of the taxpayer's full or partial payment as addressed above, the taxpayer must file its lawsuit with the Pulaski County Chancery Court or the Chancery Court of the county in which the taxpayer has its principal place of business; and
5. (5) If the taxpayer has already made its full or partial payment of the assessment before the Notice of Final Assessment is actually issued, the taxpayer shall then have one (1) year from the date the Notice of Final Assessment is eventually issued within which to file its lawsuit.

(d) When a taxpayer chooses to bypass the administrative review process, the following procedure shall apply with respect to a Notice of Proposed Disallowance of a Claim for Refund:

1. (1) The taxpayer should not protest the Notice of Proposed Disallowance of a Claim for Refund within the thirty-day period following receipt of the notice (see Arkansas Code § 26-18-404(c));
2. (2) A Notice of Final Disallowance of a Claim for Refund will be issued by the department soon after the expiration of the thirty-day period (see Arkansas Code § 26-18-507(e)(2)(C)); and
3. (3) Within one (1) year from the issue date of the Notice of Final Disallowance of a Claim for Refund, the taxpayer must file its lawsuit with the Pulaski County Chancery Court or the Chancery Court of the county in which the taxpayer has its principal place of business.