89-1972 - Income

 

BEFORE THE UTAH STATE TAX COMMISSION

_____________________________________

XXXXX

:

Petitioner :

: FINDINGS OF FACT,

v. : CONCLUSIONS OF LAW

: AND FINAL DECISION

:

COLLECTION DIVISION OF THE : Appeal No. 89-1972

UTAH STATE TAX COMMISSION :

: Account Nos. XXXXX

Respondent : XXXXX

_____________________________________

STATEMENT OF CASE

This matter came before the Utah State Tax Commission pursuant to the Utah Administrative Procedures Act for a formal telephone hearing on XXXXX before Joseph G. Linford, Presiding Officer. The Petitioner appeared at the hearing. No one representing the Respondent appeared.

After reviewing the evidence and arguments of the parties in the record and the recommendation of the presiding officer, the Tax Commission hereby makes its:

FINDINGS OF FACT

1. The tax in question is income tax.

2. The periods in question are the tax years XXXXX, XXXXX and XXXXX.

3. Petitioner began paying off the delinquent tax due for the periods in question on XXXXX, paying $$$$$ per month. Petitioner began on XXXXX a long series of letters to the Tax Commission, all of which evidence a great deal of frustration on the part of Petitioner as to Petitioner's impression that the Tax Commission was being slow and unresponsive to her requests for information and assistance.

4. Petitioner finally succeeded in paying off the tax amount on XXXXX.

5. By letter dated XXXXX, the penalties in this case were reduced to $$$$$, with interest amounts still outstanding.

6. In compliance with established Tax Commission policy and procedure, interest amounts continue to accrue until all amounts - tax, penalty and interest - are paid in full. The consideration of a request for waiver of penalty and interest must be postponed until the actual amount of the taxes have been paid. This addresses two of the most prominent features of Petitioner's frustration in this case. Petitioner felt that she was being charged a great deal more than she should have been charged. This assumption appears to have been based upon her misunderstanding regarding the continuing accrual of interest amounts just mentioned. Petitioner also felt that the Tax Commission was taking an inordinate amount of time in responding to her request for waiver, but such a request cannot be acted upon until after the tax amounts were paid in full. Once those amounts were paid in XXXXX, then the request for waiver was able to be processed.

CONCLUSIONS OF LAW

1. Utah Code Ann. §§59-1-401 and59-1-402 provide that penalties and interest shall be assessed for the late payment and filing of taxes.

2. Utah Code Ann. §59-1-401(8) provide that the Commission may, upon reasonable cause shown, waive or reduce the penalties and interest assessed under the above statutes.

3. Such reasonable cause has not been shown in this case. Although Petitioner became very irritated and confused with the manner in which her case was being handled over the past few years, it appears that everything was done in compliance with Tax Commission policy and procedure, although it also appears that many problems could have been avoided with more personal attention by Tax Commission personnel to Ms. XXXXX's requests. Petitioner gives no substantial reason for waiving the remaining penalty and interest. A substantial waiver has already been granted in reducing the penalty to $$$$$.

DECISION AND ORDER

Based upon the foregoing, it is the decision and order of the Utah State Tax Commission that Petitioner's request for waiver of penalty and interest be denied.

DATED this 4th day of April, 1990.

BY ORDER OF THE UTAH STATE TAX COMMISSION.

R. H. Hansen Roger O. Tew

Chairman Commissioner

ABSENT

Joe B. Pacheco G. Blaine Davis Commissioner Commissioner