BEFORE THE STATE TAX
COMMISSION OF UTAH
_____________________________________
XXXXX
Petitioner, :
v. : INFORMAL DECISION
:
COLLECTION
DIVISION OF THE : Appeal No. 88-0615
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 a waiver of penalty and interest
assessments on Petitioner's XXXXX 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
filed a timely personal income tax return for XXXXX, postmarked XXXXX but
failed to remit the tax due as reported on the return. Petitioner remitted the tax due to the
Commission XXXXX. Petitioner asserts that he did not know at the time of filing
how much tax was due but promptly paid the tax due upon receipt of a notice and
demand letter dated XXXXX.
FINDINGS
Petitioner
signed the return showing a tax due amount of $$$$$; therefore, Petitioner
should have known of the tax due. Utah
Code Ann. §59-1-401(2)(a) provides that a penalty of the greater of $$$$$ or
ten percent of the tax due shall be assessed for failure to pay any tax as
reported on a filed return. Section
59-1-401(1)(b) provides that a penalty of the greater of $$$$$ or ten percent
of the tax due will be assessed for failure to pay the tax due within 90 days
of the due date. Petitioner failed both
to remit the tax as reported on the return and to remit the tax within the 90
day grace period; therefore, the penalty assessments are valid. Utah Code Ann. §59-10-537(1) provides that
interest shall be assessed at the rate of one percent whether or not any
extension of time for payment was granted; therefore, all interest assessments
are valid.
DECISION AND ORDER
Based
on the foregoing facts, it is the decision and order of the Commission that the
request for a waiver of penalty and interest be denied.
DATED
this 29 day of September, 1988.
BY ORDER OF THE STATE TAX COMMISSION OF UTAH.
FOR THE COMMISSION
G. Blaine
Davis