89-1874 - Income

 

BEFORE THE UTAH STATE TAX COMMISSION

_____________________________________

XXXXX

Petitioner, : FINDINGS OF FACT,

: CONCLUSIONS OF LAW

v. : AND FINAL DECISION

:

: Appeal No. 89-1874

COLLECTION DIVISION OF THE :

UTAH STATE TAX COMMISSION :

: Account No. XXXXX

Respondent. :

_____________________________________

STATEMENT OF CASE

This matter came before the Utah State Tax Commission for a formal hearing on XXXXX. Paul F. Iwasaki, Presiding Officer, heard the matter for and in behalf of the Tax Commission. Present and representing the Petitioner were XXXXX.

Based on the evidence and testimony presented at the hearing, the Tax Commission hereby makes its:

FINDINGS OF FACT

1. The tax in question is income tax.

2. The period in question is XXXXX.

3. The Petitioner lost his job in XXXXX. At the time of his separation, he had approximately $$$$$ in profit sharing to which he was entitled. Of that sum approximately $$$$$ represented monies which had to be paid back to his employer because of loans he had made against such funds over the years.

4. Petitioner filed an extension for his XXXXX income tax return on XXXXX. He did not remit any money other than that which was withheld during the course of the income tax year.

5. Petitioner did not file his income tax return for XXXXX until XXXXX. Petitioner did not pay his income tax liability at that time.

6. Petitioner stated that the basis for his delay in filing his return was that he was waiting for documents and records regarding his profit sharing money from his employer.

7. As a result of the late filing and payment of his income tax for XXXXX, the Petitioner was assessed an extension penalty in the amount of $$$$$ and a penalty for the late payment of his tax in the amount of $$$$$.

CONCLUSIONS OF LAW

The Tax Commission is granted the authority to waive, reduce, or compromise penalties and interest upon a showing of reasonable cause. (Utah Code Ann. §59-1-401(A).)

DECISION AND ORDER

In the present case, the explanation given by the Petitioner as to why he was delayed in filing his return for XXXXX was not a sufficient reason upon which to grant a waiver or reduction of the penalties imposed. Here, the Petitioner for a one year period of time did not file his return with any explanation as to why it may have been incomplete nor did he remit the sufficient amount of money to either cover the amount of taxes he had for the previous year or XXXXX of the liability for the tax year in question as required by the code.

Based upon the foregoing, the Tax Commission finds that sufficient evidence has not been shown which would justify a waiver or a reduction of the penalties involved for the tax year XXXXX, therefore, the Petitioner's request is denied.

DATED this 4th day of April, 1990.

BY ORDER OF THE UTAH STATE TAX COMMISSION.

R. H. Hansen Roger O. Tew

Chairman Commissioner

Joe B. Pacheco G. Blaine Davis

Commissioner Commissioner