BEFORE THE UTAH STATE TAX
COMMISSION
________________________________
In Re: ) FINDINGS OF FACT,
: CONCLUSIONS
OF LAW,
XXXXX, ) AND FINAL DECISION
:
) Appeal No.
92-1631
: Account
No. XXXXX
_________________________________
STATEMENT OF CASE
This
matter came before the Utah State Tax Commission for a formal hearing on
XXXXX. Lisa L. Olpin, Presiding
Officer, heard the matter for and on behalf of the Commission. Petitioner was present and represented
himself.
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 personal income tax.
2. The period in question is XXXXX.
3. Petitioner was employed by XXXXX XXXXX as a
real estate agent in XXXXX.
4. He timely filed and paid his state personal
income taxes.
5. In the spring of XXXXX, Petitioner learned
that the Internal Revenue Service was auditing XXXXX XXXXX.
6. As a result of the federal audit, the I.R.S.
found that XXXXX had significant accounting errors, affecting its employees'
compensation amounts.
7. Petitioner's federal taxable income for
XXXXX was increased.
8. Petitioner contacted XXXXX's accountant
before paying the I.R.S. and the state because he wanted to know if XXXXX would
be contesting the audit.
9. Petitioner apparently never has fully understood
why his federal taxable income increased, only that the I.R.S. had disallowed
some manner in which XXXXX had calculated his gross salary.
10. Petitioner is requesting a waiver of the
$$$$$ penalty and interest, claiming he is more or less an innocent third
party.
11. The penalty assessment was added because
Petitioner did not pay his increased tax liability within ninety days of the
State's notice of audit change. Neither
did Petitioner contact the Tax Commission after the I.R.S. adjusted his XXXXX
taxable income.
CONCLUSIONS OF LAW
The
Tax Commission is granted the authority to waive, reduce, or compromise
penalties and interest upon a showing of reasonable cause. (Utah Code Ann.
§59-1-401(8).)
Based
upon the foregoing, the Tax Commission finds that sufficient cause has not been
shown which would justify a waiver of the $$$$$ penalty associated with the
personal income tax due on the year XXXXX.
Interest is not waived. It is so
ordered.
DATED
this 21st day of December, 1992.
BY ORDER OF THE UTAH STATE TAX COMMISSION.
ABSENT
R. H. Hansen Roger
O. Tew
Chairman Commissioner
Joe B.
Pacheco S.
Blaine Willes
Commissioner Commissioner