02-0295

Income Tax

Signed: 6/4/02

BEFORE THE UTAH STATE TAX COMMISSION

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PETITIONER, ) ORDER

)

Petitioner, ) Appeal No. 02-0295

)

v. ) Account No. #####

)

TAXPAYER SERVICES DIVISION OF ) Tax Type: Income Tax

THE UTAH STATE TAX ) Tax Year: 2001

COMMISSION, )

)

Respondent. ) Judge: Davis

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Presiding:

G. Blaine Davis, Administrative Law Judge

Appearances:

For Petitioner: PETITIONER

For Respondent: Ms. Laurie Payne, from the Taxpayer Services Division

Ms. Jan Sanchez, from the Taxpayer Services Division

STATEMENT OF THE CASE

This matter came before the Utah State Tax Commission for an Initial Hearing pursuant to the provisions of Utah Code Ann. '59-1-502.5 on May 21, 2002.

Petitioner's 2000 income tax return was filed late, and he had not made payments of the amount of tax due. Accordingly, a 10% penalty was imposed.

Petitioner later received a notice to pay which had been sent to his former address and he had not received it until after the due date. Petitioner had gone through a divorce, and his mail was being retained by his former wife, and she did not give it to him until after the due date shown on the return.

Petitioner requested a waiver of the penalty believing that the penalty had been imposed because he had not made the payment by the due date when his wife had retained the notices sent by the Tax Commission. Instead, the penalty was for not making the timely payment prior to April 15, 2001.

Petitioner has prior delinquencies for 1998 and 1999.

APPLICABLE LAW

The Tax Commission is granted the authority to waive, reduce, or compromise penalties and interest upon a showing of reasonable cause. Utah Code Ann. §59-1-401(10).

DECISION AND ORDER

Based upon the foregoing, the Commission finds that sufficient cause has not been shown to justify a waiver of the penalty associated with the 2000 income tax return of Petitioner. It is so ordered.

This decision does not limit a party's right to a Formal Hearing. However, this Decision and Order will become the Final Decision and Order of the Commission unless any party to this case files a written request within thirty (30) days of the date of this decision to proceed to a Formal Hearing. Such a request shall be mailed to the address listed below and must include the Petitioner's name, address, and appeal number:

Utah State Tax Commission

Appeals Division

210 North 1950 West

Salt Lake City, Utah 84134

Failure to request a Formal Hearing will preclude any further appeal rights in this matter.

DATED this 4^th day of June , 2002.

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G. Blaine Davis

Administrative Law Judge

BY ORDER OF THE UTAH STATE TAX COMMISSION.

The Commission has reviewed this case and the undersigned concur in this decision.

DATED this 4^th day of June , 2002.

Pam Hendrickson R. Bruce Johnson

Commission Chair Commissioner

Palmer DePaulis Marc B. Johnson

Commissioner Commissioner