90-1417 - Income

 

BEFORE THE UTAH STATE TAX COMMISSION

_____________________________________

XXXXX,

Petitioners, : INFORMAL DECISION

:

v. :

COLLECTION DIVISION OF THE : Appeal No. 90-1417

UTAH STATE TAX COMMISSION, :

: Account No. XXXXX

Respondent. :

_____________________________________

STATEMENT OF CASE

Petitioners, XXXXX and XXXXX, appeal the assessment of $$$$$ in interest against their XXXXX individual income tax liability. Pursuant to the Utah Administrative Procedures Act and the rules of the Tax Commission, this matter is conducted as an informal adjudicatory proceeding. As no hearing has been requested, this decision is based upon information contained in the Tax Commission's file.

FINDINGS

Petitioners moved from Utah to XXXXX in early XXXXX. They contend they filed their XXXXX Utah individual income tax return in a timely manner and included a check for full payment of the tax due. The Tax Commission has no record of receiving either the return or the check. Petitioners failed to notice that their check was never cashed.

In XXXXX, the Tax Commission filed a XXXXX income tax return on behalf of Petitioners and assessed a tax liability of $$$$$ plus penalty and interest. Petitioners received notice of the assessment in XXXXX, after the Tax Commission obtained their correct address in Idaho. One year later, Petitioners paid the tax and penalty, then filed their request for waiver of interest.

DECISION AND ORDER

In considering Petitioners' request that interest be waived, the Tax Commission notes Petitioners' failure to report their XXXXX check had never been cashed and their delay in paying the liability after becoming aware of the matter. The Tax Commission also notes Petitioners had use of the tax money in question from XXXXX until XXXXX. The assessed interest is a reasonable charge for use of the funds during the time they were improperly held by Petitioners.

As the Tax Commission finds insufficient cause to waive interest in this matter, the request for waiver is denied. It is so ordered.

DATED this 23rd day of August, 1990.

BY ORDER OF THE UTAH STATE TAX COMMISSION.

ABSENT

R. H. Hansen Roger O. Tew

Chairman Commissioner

Joe B. Pacheco G. Blaine Davis

Commissioner Commissioner