BEFORE THE UTAH STATE TAX
COMMISSION
_____________________________________
In Re: )
: INFORMAL
DECISION
XXXXX ) Appeal No. 91-0920
: 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.
FINDINGS
The
issue before the Commission is the Petitioner's request for waiver of penalty
associated with his XXXXX income tax liability.
The
Petitioner filed his XXXXX State and Federal income tax returns in a timely
manner. In completing the returns, he misread
the wage information on one of his W-2 forms, mistaking a "9" for a
"3", and consequently underreporting his income by $$$$$. The Internal Revenue Service discovered the
error, recomputed his federal tax liability, then added additional penalty and
interest. The IRS has subsequently
waived its assessment of penalty.
Based
on information provided by the IRS, the Utah State Tax Commission's staff also
recomputed the Petitioner's Utah income tax liability, resulting in an increase
of $$$$$. Penalty at the rate of 10% in
the amount of $$$$$ was also assessed against the Petitioner, together with
interest.
DECISION AND ORDER
In
view of the size of Petitioner's error and the fact that error was brought to
the attention of the Tax Commission by the IRS, rather than by the Petitioner
himself, the Tax Commission finds sufficient cause does not exist to waive the
penalty assessed against Petitioner's income tax liability for XXXXX. It is so
ordered.
DATED
this 3 day of September, 1991.
BY ORDER OF THE UTAH STATE TAX COMMISSION.
R. H. Hansen Roger
O. Tew
Chairman Commissioner
Joe B.
Pacheco S.
Blaine Willes
Commissioner