90-1553 - Income

 

BEFORE THE UTAH STATE TAX COMMISSION

____________________________________

XXXXX

:

Petitioner, : AMENDED ORDER

:

v. :

:

AUDITING DIVISION OF THE : Appeal No. 90-1553

UTAH STATE TAX COMMISSION, :

: Account No. XXXXX :

Respondent. : Tax Type: Income

_____________________________________

STATEMENT OF CASE

The Commission issued an order on XXXXX remanding the case to the Collections Division to redetermine the Petitioner's Utah income tax liability for the years XXXXX through XXXXX based upon an estimate of deductions for business expense. The Collections Division was also ordered to factor into its redetermination the accurate number of personal exemptions Mr. XXXXX is entitled to claim. This was based on the Commission's recognition that the Petitioner's fraudulent failure to maintain records and file returns forced the Collections Division to estimate Utah income tax liability, it being entirely proper for the Collections Division to develop a reasonable estimate of Mr. XXXXX income from the best information available.

On XXXXX, the Collection Division submitted documentation which is hereby attached and marked as Exhibit A and incorporated by reference as part of this decision.

The Commission finds that the Collections Division has applied a rule of reason in extrapolating Mr. XXXXX's taxable income from his business income. The Commission finds that the Collections Division has complied with the order of XXXXX, and has appropriately determined Petitioner's Utah income tax liability for the years XXXXX through XXXXX. It is so ordered.

Dated this _______ day of _________________, 1994.

BY ORDER OF THE UTAH STATE TAX COMMISSION.

W. Val Oveson Roger O. Tew

Chairman Commissioner

Joe B. Pacheco Alice Shearer

Commissioner Commissioner