87-1185 - Income

 

BEFORE THE STATE TAX COMMISSION OF UTAH

_____________________________________

XXXXX

Petitioner, : INFORMAL DECISION

v. :

COLLECTION DIVISION OF THE : Appeal No. 87-1185

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. 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 the Petitioner. Petitioner stated that for the tax year XXXXX he had received an extension through XXXXX. He filed the tax return and paid the taxes with check No. XXXXX on XXXXX. Petitioner wrote check No. XXXXX to the Internal Revenue Service at the same time. On XXXXX Petitioner received notice that the tax had not been paid and was assessed penalty and interest. Petitioner wrote a new check on XXXXX and issued a stop payment on the original check on XXXXX. Petitioner requests a wavier of the penalty and interest.

FINDINGS

Petitioner has met the burden of proof to establish that check No. XXXXX was timely prepared based on the carbon copies presented for check Nos. XXXXX, both of which were dated XXXXX. The Tax Commission hereby waives the penalty. Interest was properly assessed in this matter. The Tax Commission was denied the use of the money and the Petitioner had the use of the money when the original check did not clear. In addition, interest is properly assessed regardless of whether or not an extension request has properly been filed if a payment is made beyond the statutory due date of the return.

DECISION AND ORDER

Based on the foregoing it is the Decision and Order of the Utah State Tax Commission that the penalty be waived and the interest be affirmed on individual income tax account No. XXXXX for the tax year XXXXX. The Collection Division of the Utah State Tax Commission is hereby ordered to adjust its records in accordance with this decision.

DATED this 11 day of December, 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