93-0475

Income

Signed 5/18/93

BEFORE THE UTAH STATE TAX COMMISSION

_____________________________________

In Re: )

) INFORMAL DECISION

XXXXX, )

) Appeal No. 93‑0475

) 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. Present and representing the Petitioner's were XXXXX and XXXXX. Present and representing the Auditing Division was XXXXX, Assistant Utah Attorney General.

FINDINGS

1. The tax in question is income tax.

2. The year in question is XXXXX.

3. The Petitioners timely filed and paid their XXXXX income tax return. Due to an innocent error, however, they understated the amount of tax due and received a refund of $$$$$ in excess of that to which they were entitled.

4. By way of letter dated XXXXX, the Petitioners were notified of the audit change. They were instructed that additional tax due, which reflected the refund in the amount $$$$$, was being assessed as well as interest in the amount of $$$$$. No penalty was assessed at that time.

5. On XXXXX, the Petitioner contacted the Tax Commission and paid the $$$$$ due which reflected the overpaid refund. They were informed by a representative that they would not have to pay the interest at that time but could request a waiver of the interest which they did immediately.

6. The waiver of interest request was subsequently denied by the Commission. Because the interest was not paid initially, the Petitioners were then assessed a $$$$$ penalty for not timely paying the audit assessment.

7. The Petitioner's have paid the interest due for the period in question and are seeking a waiver of the penalty assessed for that period.

DECISION AND ORDER

The Tax Commission finds sufficient cause does exist to waive the penalty associated with the XXXXX income tax year. It is so ordered.

DATED this 18 day of May, 1993.

BY ORDER OF THE UTAH STATE TAX COMMISSION.

R. H. Hansen Roger O. Tew

Chairman Commissioner

Joe B. Pacheco S. Blaine Willes

Commissioner Commissioner

NOTICE: You have twenty (20) days after the date of the final order to file a Request for Reconsideration or thirty (30) days after the date of final order to file in Supreme Court a Petition for Judicial Review. Utah State Tax Commission Administrative Rule R861-5A-1(p) and Utah Code Ann. ''63-46b-14(3)(a).

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