BEFORE THE STATE TAX
COMMISSION OF UTAH
_____________________________________
XXXXX
Petitioner, :
:
v. : INFORMAL DECISION
:
COLLECTION
DIVISION OF THE : Appeal No. 88-0052
UTAH STATE TAX COMMISSION, : Acct. No. XXXXX
Respondent. :
_____________________________________
STATEMENT OF CASE
This
is an appeal to the Utah State Tax Commission for reconsideration of a
Commission decision denying a request for waiver of penalty and interest assessments
on Petitioners' XXXXX income tax return.
Pursuant to Utah Code Ann. §63-46b-5(1)(b), no hearing was held. A review of Petitioners' file served as the
evidentiary basis for this decision.
Petitioners, XXXXX, filed a timely XXXXX personal income tax return but
failed to remit the entire tax due.
Petitioners assert that because of the restrictions placed by the state
of Utah on their financial institution, XXXXX, they were unable to fully meet
their tax liabilities at the time of filing.
The balance of the taxes due were received by the Commission XXXXX.
FINDINGS
Utah
Code Ann. §59-1-401(2) stipulates that a penalty of the greater of $$$$$ or 10
percent of the tax due shall be assessed for the failure to pay any tax as
reported on a filed return. However,
Section 59-1-401(7) authorizes the Commission to waive penalties if the
Commission finds that the noncompliance was due to reasonable cause. Because the Petitioners' failure to remit
the tax was due to circumstances beyond their control, a denial of the request
for waiver of penalty would be inequitable.
DECISION AND ORDER
Based
on the foregoing facts, it is the decision and order of the Commission that the
request for waiver of penalty be granted.
The request for a waiver of interest is denied.
DATED
this 27 day of September, 1988.
BY ORDER OF THE STATE TAX COMMISSION OF UTAH.
FOR THE COMMISSION
G. Blaine
Davis
Commissioner