California Doctor Shows Bulk of $1 Million Tax Bill Was Untimely

A California doctor convinced a state tribunal to overturn most of the $1 million in assessments for which he was found liable because the notices of proposed assessment were time-barred.

In a decision posted Monday, the California Office of Tax Appeals found the typical four-year statute of limitations applied to the NPAs the state issued to John Compagno because there wasn’t sufficient evidence of fraud. That meant most of the NPAs—issued Nov. 20, 2017 after he reached a plea agreement with the US attorney’s office over his federal taxes—were untimely, Administrative Law Judge Tommy Leung said.

The state had imposed ...