1. (a) If the corporation determines that a taxpayer that has claimed a credit under this chapter is not entitled to the credit because of the taxpayer's noncompliance with the requirements of the tax credit agreement or any of the provisions of this chapter, the corporation shall, after giving the taxpayer an opportunity to explain the noncompliance:

   1. (1) notify the department of the noncompliance; and
   2. (2) request the department to impose an assessment on the taxpayer in an amount that may not exceed the sum of any previously allowed credits under this chapter together with interest and penalties required or permitted by law.

2. (b) If a credit was assigned under section 14 of this chapter, the assessment under this section shall be issued against the taxpayer that could have claimed the credit had no assignment occurred. If an assessment is issued to a taxpayer, other than an assignee of a credit that was assigned, the assessment shall not be offset by any nonrefundable credit. An assessment may not be made against an assignee of a credit except in the case of fraud by the assignee in the assignment of the credit. Notwithstanding the provisions of IC 6-8.1-5-2 , an assessment is considered timely if the department issues a proposed assessment:

   1. (1) not later than one hundred eighty (180) days from the date the department is notified of the noncompliance; or

   2. (2) the date on which the proposed assessment could otherwise be issued in a timely manner under IC 6-8.1-5-2 ;

      whichever is later.

As added by P.L.158-2019, SEC.29. Amended by P.L.156-2020, SEC.25.