Harry F. Magnuson and Colleen B. Magnuson

The State Tax Commission appeals from an order granting summary judgment to taxpayers Harry F. and Colleen B. Magnuson and reversing the Commission's determination of the taxpayers' income tax deficiency for the years 1966 and 1967. The district court ruled that the Commission's action, which was initiated more than three years after the taxpayers' returns were filed, was barred by the statute of limitations on income tax assessments in I.C. § 63-3068(a).[Footnote 1] The Tax Commission argues that this limitations period was extended under I.C. § 63-3068(c)[Footnote 2] and its regulations adopted for the enforcement of those provisions. We hold that the statute of limitations was extended under I.C. § 63-3068(c) and that the deficiency assessments by the Tax Commission were not barred. The summary judgment entered by the district court is reversed.