86-0305 - Income

BEFORE THE STATE TAX COMMISSION OF UTAH

_____________________________________

XXXXX,                                                                                 )

                                                                                    :

            Petitioner,                                                         )

                                                                                    :

v.                                                                                 )           INFORMAL DECISION

                                                                                    :

                                                                                    )

COLLECTION DIVISION OF THE                          :           Appeal No. 86 0305

STATE TAX COMMISSION OF UTAH,                  )           Acct. No. XXXXX

                                                                                    :

            Respondent.                                                     )

_____________________________________

STATEMENT OF CASE

            This is an appeal to the Utah State Tax Commission from a decision of the Collection Division of the Utah State Tax Commission (Respondent) to assess penalty and interest on individual income tax account No. XXXXX for the tax year XXXXX.  Petitioner waived his right to an oral hearing.  Therefore, the Commission decides this matter based on the pleadings before it.

            Petitioner asserted that he properly and timely filed for an extension for time to file the Utah Income Tax Return on XXXXX.  Petitioner stated that the social security number was not included on the extension because XXXXX was the first year that Petitioner had ever filed, the CPA did not have Petitioner's social security number, and it was after 11:00 p.m. on XXXXX when the CPA prepared Petitioner's extension request.  The social security number was included on the return which Petitioner later filed.  Petitioner did not submit any money with the extension because this was Petitioner's first return.  Last year's tax was zero, and line (11) of the extension request, Form TC-546, instructs the applicant to send in the lesser of the tax due or last year's tax (zero).  Zero is the lesser amount.

            Respondent has no record of the extension.  Respondent's records indicate that the tax of $$$$$ was paid on XXXXX.  Respondent assessed a penalty of $$$$$ and interest of $$$$$ as of XXXXX.

FINDINGS

            Petitioner did not properly apply for an automatic extension of time to file the Utah income tax return for the tax year XXXXX.  The failure to include Petitioner's social security number on the form prevented Respondent from matching the extension request with Petitioner's file.  The inclusion of the social security number on an extension request or on a return is mandatory.

DECISION AND ORDER

            It is the Decision and Order of the Utah State Tax Commission that the Petitioner's request for waiver of penalty and interest on individual income tax account No. XXXXX be denied.

            The assessment of penalty and interest by the Collection Division of the Utah State Tax Commission is hereby affirmed.

            DATED this 1 day of December, 1986.

BY ORDER OF THE STATE TAX COMMISSION OF UTAH.

R. H. Hansen                                                                Roger O. Tew

Chairman                                                                      Commissioner

Joe B. Pacheco                                                            G. Blaine Davis

Commissioner   Commissioner