88-0060 - Income

 

BEFORE THE STATE TAX COMMISSION OF UTAH

_____________________________________

XXXXX

Petitioner, :

v. : INFORMAL DECISION

COLLECTION DIVISION OF THE : Appeal No. 88-0060

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 Petitioner's XXXXX personal income tax return. Pursuant to Utah Code Ann. §63-46b-5(1)(b), no hearing was held. A review of Petitioner's file served as the evidentiary basis for this decision.

Petitioner, XXXXX, filed a timely extended return but failed to include the tax remittance with the return. The tax was later paid within the extended period, but Petitioner was assessed penalty and interest charges. XXXXX, representative for Petitioner asserts that acceptance of the check marked "payment in full" was a waiver of any penalty and interest charges.

FINDINGS

Utah Code Ann. §59-1-401(2) provides that a penalty of the greater of $$$$$ or ten percent of the tax due shall be assessed for failure to remit tax due as reported on the return. Utah Code Ann. §59-10-537 states that interest shall be assessed "whether or not any extension of time for payment was granted." Therefore, both the penalty and interest assessments on Petitioner's account are valid and appropriate.

Petitioner should be informed that receiving a check marked "payment in full" into the account processing system in no way can be deemed an acceptance by the Commission as such. All checks are received into the system pending verification and acceptance. Only the Commissioners have the authority to waive penalty and interest assessments. Utah Code Ann. §59-1-401(7).

DECISION AND ORDER

Based on the foregoing, it is the decision and order of the Commission that the request for waiver of penalty and interest assessments be denied.

DATED this 29 day of September, 1988.

BY ORDER OF THE STATE TAX COMMISSION OF UTAH.

FOR THE COMMISSION

G. Blaine Davis

Commissioner