§ 85. Jeopardy assessment. 1. Authority for making.--If the director
of finance believes that the assessment or collection of a deficiency
will be jeopardized by delay, he shall, notwithstanding the provisions
of section seventy-two immediately assess such deficiency (together with
all interest, penalties and additions to tax provided for by law), and
notice and demand shall be made by the director of finance for the
payment thereof.

2. Notice of deficiency.--If the jeopardy assessment is made before
any notice in respect of the tax to which the jeopardy assessment
relates has been mailed under section seventy-two, then the director of
finance shall mail a notice under such section within sixty days after
the making of the assessment.

3. Amount assessable before decision of director of finance.--The
jeopardy assessment may be made in respect of a deficiency greater or
less than that of which notice is mailed to the taxpayer and whether or
not the taxpayer has theretofore filed a petition with the director of
finance. The director of finance may, at any time before rendering his
decision, abate such assessment, or any unpaid portion thereof, to the
extent that he believes the assessment to be excessive in amount. The
director of finance may in his decision redetermine the entire amount of
the deficiency and of all amounts assessed at the same time in
connection therewith.

4. Amounts assessable after decision of director of finance.--If the
jeopardy assessment is made after the decision of the director of
finance is rendered, such assessment may be made only in respect of the
deficiency determined by the director of finance in his decision.

5. Expiration of right to assess.--A jeopardy assessment may not be
made after the decision of the director of finance has become final or
after the taxpayer has made an application for review of the decision of
the director of finance.

6. Collection of unpaid amounts.--When a petition has been filed with
the director of finance and when the amount which should have been
assessed has been determined by a decision of the director of finance
which has become final, then any unpaid portion, the collection of which
has been stayed by bond, shall be collected as part of the tax upon
notice and demand from the director of finance, and any remaining
portion of the assessment shall be abated. If the amount already
collected exceeds the amount determined as the amount which should have
been assessed, such excess shall be credited or refunded to the taxpayer
as provided in section seventy-seven without the filing of claim
therefor. If the amount determined as the amount which should have been
assessed is greater than the amount actually assessed, then the
difference shall be assessed and shall be collected as part of the tax
upon notice and demand from the director of finance.

7. Abatement if jeopardy does not exist.--The director of finance may
abate the jeopardy assessment if he finds that jeopardy does not exist.
Such abatement may not be made after a decision of the director of
finance in respect of the deficiency has been rendered or, if no
petition is filed with the director of finance, after the expiration of
the period for filing such petition. The period of limitation on the
making of assessments and levy or a proceeding for collection, in
respect of any deficiency, shall be determined as if the jeopardy
assessment so abated had not been made, except that the running of such
period shall in any event be suspended for the period from the date of
such jeopardy assessment until the expiration of the tenth day after the
day on which such jeopardy assessment is abated.

8. Bond to stay collection.--The collection of the whole or any amount
of any jeopardy assessment may be stayed by filing with the director of
finance, within such time as may be fixed by regulation, a bond in an
amount equal to the amount as to which the stay is desired, conditioned
upon the payment of the amount (together with interest thereon) the
collection of which is stayed at the time at which, but for the making
of the jeopardy assessment, such amount would be due. Upon the filing of
the bond the collection of so much of the amount assessed as is covered
by the bond shall be stayed. The taxpayer shall have the right to waive
such stay at any time in respect of the whole or any part of the amount
covered by the bond, and if as a result of such waiver any part of the
amount covered by the bond is paid, then the bond shall at the request
of the taxpayer, be proportionately reduced. If any portion of the
jeopardy assessment is abated, or if a notice of deficiency under
section seventy-two is mailed to the taxpayer in a lesser amount, the
bond shall, at the request of the taxpayer, be proportionately reduced.

9. Petition to director of finance.--If the bond is given before the
taxpayer has filed its petition under section eighty, the bond shall
contain a further condition that if a petition is not filed within the
period provided in such section, then the amount, the collection of
which is stayed by the bond, will be paid on notice and demand at any
time after the expiration of such period, together with interest thereon
from the date of the jeopardy notice and demand to the date of notice
and demand under this subdivision. The bond shall be conditioned upon
the payment of so much of such assessment (collection of which is stayed
by the bond) as is not abated by a decision of the director of finance
which has become final. If the director of finance determines that the
amount assessed is greater than the amount which should have been
assessed, then the bond shall, at the request of the taxpayer, be
proportionately reduced when the decision of the director of finance is
rendered.

10. Stay of sale of seized property pending director's
decision.--Where a jeopardy assessment is made, the property seized for
the collection of the tax shall not be sold--

(a) if subdivision two is applicable, prior to the issuance of the
notice of deficiency and the expiration of the time provided in section
eighty for filing a petition with the director of finance, and

(b) if a petition is filed with the director of finance (whether
before or after the making of such jeopardy assessment), prior to the
expiration of the period during which the assessment of the deficiency
would be prohibited if subdivision one were not applicable.

Such property may be sold if the taxpayer consents to the sale, or if
the director of finance determines that the expenses of conservation and
maintenance will greatly reduce the net proceeds, or if the property is
perishable.

11. Interest.--For the purpose of subdivision one of section
seventy-five, the last date prescribed for payment shall be determined
without regard to any notice and demand for payment issued under this
section prior to the last date otherwise prescribed for such payment.

12. Early termination of taxable year.--If the director of finance
finds that a taxpayer designs quickly to remove its property from this
state, or to conceal its property therein, or to do any other act
tending to prejudice or to render wholly or partly ineffectual
proceedings to collect the tax for the current or the preceding taxable
year unless such proceedings be brought without delay, the director of
finance shall declare the taxable period for such taxpayer immediately
terminated, and shall cause notice of such finding and declaration to be
given the taxpayer, together with a demand for immediate payment of the
tax for the taxable period so declared terminated and of the tax for the
preceding taxable year or so much of such tax as is unpaid, whether or
not the time otherwise allowed by law for filing return and paying the
tax has expired; and such taxes shall thereupon become immediately due
and payable. If any proceeding brought to enforce payment of taxes made
due and payable by virtue of the provisions of this subdivision, the
finding of the director of finance made as herein provided, whether made
after notice to the taxpayer or not, shall be for all purposes
presumptive evidence of jeopardy.

13. Reopening of taxable period.-- Notwithstanding the termination of
the taxable period of the taxpayer by the director of finance, as
provided in subdivision twelve, the director of finance may reopen such
taxable period each time the taxpayer is found by the director of
finance to have received income, within the current taxable year, since
the termination of such period. A taxable period so terminated by the
director of finance may be reopened by the taxpayer if it files with the
director of finance a true and accurate return under any of the named
parts for such taxable period, together with such other information as
the director of finance may by regulations prescribe.

14. Furnishing of bond where taxable year is closed by the director of
finance.--Payment of taxes shall not be enforced by any proceedings
under the provisions of subdivision twelve prior to the expiration of
the time otherwise allowed for paying such taxes if the taxpayer
furnishes, under regulations prescribed by the director of finance, a
bond to insure the timely making of returns with respect to, and payment
of, such taxes or any taxes for prior years.