BEFORE THE UTAH STATE TAX COMMISSION
In Re: ) FINDINGS OF FACT,
: CONCLUSIONS OF LAW,
: AND FINAL DECISION
XXXXX ) Appeal No. 91-1251
: Account No. XXX-XX-XXXX
STATEMENT OF CASE
This matter came before the Utah State Tax Commission for a formal hearing on XXXXX. Lisa L. Olpin and Paul F. Iwasaki, Presiding Officers, heard the matter for and on behalf of the Commission. Present was Petitioner XXXXX.
A final decision in this matter was rendered on XXXXX.
Petitioner then requested reconsideration on XXXXX. On XXXXX, the Tax Commission denied Petitioner's petition.
Based upon further information provided by Petitioner and the Collection Division of the Tax Commission, Petitioner's appeal was ordered re-opened on XXXXX.
This second formal hearing was held on XXXXX. Petitioner represented herself. XXXXX represented the Collection Division.
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 individual income tax.
2. The periods in question are the years XXXXX through XXXXX.
3. Petitioner divorced in XXXXX. She has XXXXX who she supports. She is a realtor associate.
4. At the time of Petitioner's divorce, Petitioner developed a XXXXX. She continued to XXXXX until she XXXXX in XXXXX at XXXXX.
5. For the years XXXXX and XXXXX, Petitioner did not file or pay her personal income taxes on time.
6. In XXXXX, Petitioner was audited by the Tax Commission. At that time, Petitioner hired XXXXX, an accountant, to help handle her tax situation.
7. In XXXXX, XXXXX billed Petitioner for services rendered. He also filed an extension on Petitioner's XXXXX taxes.
8. Petitioner and XXXXX had a falling out when Petitioner disputed the amount of XXXXX bill.
9. XXXXX missed the XXXXX extension filing deadline.
10. XXXXX, the collections agent assigned to Petitioner's account, communicated with XXXXX regarding Petitioner's tax status.
11. XXXXX and XXXXX agreed to certain payment and filing arrangements.
12. When the agreement was not complied with, XXXXX garnished Petitioner's wages.
13. During the garnishment, Petitioner and XXXXX learned that XXXXX had never communicated to Petitioner any agreement he had entered into on Petitioner's behalf.
14. XXXXX continued to bill Petitioner. Petitioner left XXXXX and hired XXXXX to handle her financial situation.
15. When XXXXX refused to give documents to XXXXX, XXXXX could not timely file Petitioner's XXXXX and XXXXX tax returns.
16. XXXXX returned Petitioner's paperwork only after Petitioner's attorney became involved.
17. Petitioner was assessed penalties and interest on all of the years in question for late payments and/or late filings.
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 waiver of the penalties associated with the years XXXXX, XXXXX and XXXXX. Interest is not waived. The penalties are not waived for the years XXXXX and XXXXX; this decision modifies the previous order. It is so ordered.
DATED this 11th day of September, 1992.
BY ORDER OF THE UTAH STATE TAX COMMISSION.
R. H. Hansen Roger O. Tew
Joe B. Pacheco S. Blaine Willes