90-0096 - Income

 

BEFORE THE UTAH STATE TAX COMMISSION

_____________________________________

XXXXX

Petitioner, : FINDINGS OF FACT,

: CONCLUSIONS OF LAW,

v. : AND FINAL DECISION

COLLECTION DIVISION OF THE : Appeal No. 90-0096

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 on behalf of the Commission. Present and representing the Petitioner was XXXXX.

Based upon 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. In XXXXX, the Petitioner timely filed for an extension on his XXXXX income tax. At that time the Petitioner remitted an amount equal to the taxes he paid for the previous year.

4. The Petitioner ultimately filed his income tax return timely, however, he failed to include $$$$$, which was the amount of additional income tax due for that year. The Petitioner was under the impression that when he paid the estimated tax due with his extension, he had satisfied his tax obligation for XXXXX.

5. The Petitioner's confusion was attributable to several factors: 1) The Petitioner's physical health was not good. The Petitioner had been hospitalized for high blood pressure; 2) The Petitioner's wife, who had been responsible for the financial and tax matters had been diagnosed as having been in the early stages of Alzheimer's disease during the period in question; 3) Both the Petitioner and his wife had been suffering from depression due to the untimely death of their son in XXXXX; and 4) The Petitioner is a native of XXXXX, and was not fully aware of the tax laws of this country.

6. In XXXXX the Petitioner received notice that $$$$$ in additional taxes were due and the Petitioner promptly paid the additional amount.

7. A penalty in the amount of $$$$$ was assessed for the late payment of the XXXXX income tax.

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(8).)

DECISION AND ORDER

Based upon the foregoing, the Tax Commission finds that sufficient cause has been shown which would justify a reduction of the penalty associated with the XXXXX income tax year, to the amount of $$$$$. It is so ordered.

DATED this 6 day of September, 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