87-0129 - Income

BEFORE THE STATE TAX COMMISSION OF UTAH

_____________________________________

XXXXX

Petitioner, : INFORMAL DECISION

v. :

COLLECTION DIVISION OF THE : Appeal No. 87-0129

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 interest on individual income tax account No. XXXXX for the tax year XXXXX. An Informal Hearing was held on XXXXX, in the offices of the Utah State Tax Commission. David J. Angerhofer, Hearing Officer, heard the matter for the Commission. XXXXX represented himself. Petitioner claimed a credit on his XXXXX Utah income tax return in connection with a small trust established by his wife's mother. This credit was claimed on Schedule (C) line 4. Rather than credit for state tax paid by the trust, Petitioner believed it was for income received from the trust. Petitioner stated that he was informed by an auditor of the Tax Commission that many other taxpayers had also misunderstood the instructions, and that the instructions were being rewritten and clarified. Respondent assessed an interest of $$$$$ on a tax due of $$$$$. Petitioner requests a waiver of the interest.

FINDINGS

Petitioner had the burden of proof to show that Respondent assessed the interest in error. Petitioner failed to meet this burden of proof. Respondent properly assessed interest on this account since the Tax Commission was denied the use of the money during the period in question.

DECISION AND ORDER

It is the Decision and Order of the Utah State Tax Commission that Petitioner's request for waiver of interest on individual income tax account No. XXXXX for the tax year XXXXX be denied. The assessment of interest by the Collection Division of the Utah State Tax Commission is hereby affirmed.

DATED this 26 day of June, 1987.

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