BEFORE THE UTAH STATE TAX
COMMISSION
____________________________________
In Re: )
: INFORMAL
DECISION
XXXXX )
: Appeal No.
90-1586
:
: Account
No. XXXXX
______________________________________
STATEMENT OF CASE
This
matter came before the Utah State Tax Commission pursuant to the Administrative
Procedures Act and the rules of the Utah State Tax Commission for informal
proceedings. No hearing was requested,
therefore, this decision is based upon information contained in the Tax
Commission's file.
When
Petitioner remitted the prepayment on her application for extension for the
income tax year XXXXX, Petitioner drafted a check to make the prepayment. The dollar amount indicated in numerals on
the check is $$$$$, whereas Petitioner has also written in the appropriate
place on the check, $$$$$ dollars.
Petitioner did not include the $$$$$ figure on the prepayment form and a
$$$$$ figure was filled in by a Tax Commission employee, who also stamped
"Amount Guaranteed $$$$$, Utah State Tax Commission" on the check.
The payment was treated by the Tax Commission as a $$$$$ payment, which was
insufficient for the required prepayment.
The
Tax Commission has previously waived all penalties associated with this case,
but did not waive the interest.
Petitioner now requests that the interest also be waived.
FINDINGS
Utah
Code Ann. §§59-1-401 and59-1-402 provide that penalties and interest shall be
assessed for the late filing and payment of taxes.
Utah
Code Ann.59-1-401(8) provides that upon reasonable cause shown, the Tax
Commission may waive or reduce penalties and interest assessed under the above
statutes.
Such
reasonable cause for waiver of the interest has been shown. The difficulty was in part the confusing
nature of Petitioner's check, but it was also in part the Tax Commission
employee who did not rely on the legal presumption that the words on a check
supersede the numbers.
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 interest is granted. It is so ordered.
DATED
this 13th day of November, 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