The Louisiana Department of Revenue has sent a notice and letter of inquiry to me saying that, because I filed a federal income tax return using a Louisiana address, I might also be liable for the filing of a state income tax return for the same year. How did the Department of Revenue receive this information?
The Louisiana Department of Revenue received this information under an exchange of information agreement that the department has entered into with the United States Internal Revenue Service. This agreement and the exchange of information are authorized by both federal and Louisiana law.