BEFORE THE STATE TAX
COMMISSION OF UTAH
_____________________________________
XXXXX
Petitioner, )
v. ) INFORMAL DECISION
COLLECTION
DIVISION OF THE ) Appeal No. 87-0523
STATE TAX
COMMISSION OF UTAH, ) Acct. No. XXXXX
Respondent. )
_____________________________________
STATEMENT OF CASE
This
matter came before the Utah State Tax Commission for an Informal Hearing on
XXXXX. James E. Harward, Hearing
Officer, heard the matter for the Tax Commission. XXXXX appeared representing the Petitioner. Petitioner argued that the penalty and
interest associated with the late filing of the XXXXX income tax year for XXXXX
was due to reasonable cause and not neglect, and therefore, was the Tax
Commission could waive the penalty and interest. The Petitioner cited numerous IRS cases which define reasonable
cause. Although not directly on point,
the Petitioner argues that they are similar to the case at hand and would
indicate that the facts surrounding this case would be reasonable and therefore
the penalty and interest should be waived.
A.
XXXXX died approximately XXXXX. At the
time of his death, XXXXX's wife did not know the extent of the assets. It took many months to put together the
assets and to get the appropriate K-1s, particularly from a corporation name
XXXXX. The return was due on XXXXX, and
was filed approximately four months late.
At the time of the filing of the return, a request for waiver of the
penalty and interest was made. However,
no record of that can be found at the Tax Commission.
DECISION AND ORDER
The
Commission hereby reduces the penalty to $$$$$ but does not waive the penalty
in its entirety. Petitioner should have
filed for an extension when it realized a delay was inevitable. The assessment of interest is affirmed. The Commission was denied the use of the
money during the period of delinquency.
DATED
this 10 day of September, 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