64:01:01:20Reduction or abatement of taxes, interest, or

penalties -- Requirements for showing widespread misapplication of tax. In order to show a widespread misunderstanding of the application of a tax to a certain transaction, the taxpayer must show documentary proof illustrating this misunderstanding among other taxpayers and written proof that the taxpayer has been in contact with the department in an effort to determine the taxes that are due. In making a determination, the secretary may consider tax publications distributed by the department issued on the subject or that the argument raised by the taxpayer is not valid on its face or has been found to lack merit in past administrative decisions or litigation.

Source: 17 SDR 4, effective July 18, 1990; 21 SDR 219, effective July 1, 1995.