BEFORE THE UTAH STATE TAX COMMISSION
In Re: )
XXXXX, ) FINDINGS OF FACT,
: CONCLUSIONS OF LAW,
) AND FINAL DECISION
) Appeal No. 93-0769
: 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 individual income tax.
2. The period in question is the year XXXXX.
3. Petitioner timely filed his XXXXX individual income tax return in XXXXX. The Tax Commission later corrected Petitioner's return as Petitioner had referenced the wrong table in calculating his taxes. He had used a figure from the married, head of household column when, in fact, Petitioner was single.
4. Tax Commission records show that a notice of correction was sent to Petitioner in XXXXX. The first notice and demand for payment of taxes was sent in XXXXX with a payment due date of XXXXX.
5. Mr. XXXXX testified that he was unaware of any correction to his return until he received the demand for payment letter. At that time, the penalty and interest assessments had already been assessed. He immediately wrote the Tax Commission protesting these charges in his letter of XXXXX.
6. Petitioner paid the additional tax amount owing on XXXXX and says he requested a waiver of the penalty and interest amounts at that time.
7. Mr. XXXXX stated that the Commission refused to process his waiver request until he paid the entire amount assessed. A $$$$$ legal fee was added in XXXXX.
8. Petitioner feels that fairness is at issue. He was out of work from the aerospace business for eleven months recently. He has since married and acquired six children to care for. He feels that he should have been allowed to correct his return before the penalty and interest charges were levied against his account.
7. He states that the additional $$$$$ plus interest is a financial hardship.
CONCLUSIONS OF LAW
The Tax Commission is granted the authority to waive, reduce, or compromise penalties and interest upon a showing of reasonable cause. (Utah Code Ann. '59-1-401(8).)
DECISION AND ORDER
Based upon the foregoing, the Tax Commission finds that sufficient cause has been shown which would justify a waiver of the $$$$$ penalty associated with the late payment of individual income taxes due on the year XXXXX in that there appears to have been miscommunication between the Tax Commission and Petitioner regarding the correction changes. The interest amount and legal fee are not waived. It is so ordered.
DATED this 22nd day of September, 1993.
BY ORDER OF THE UTAH STATE TAX COMMISSION.
W. Val Oveson Roger O. Tew
Joe B. Pacheco Alice Shearer
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 Code Ann. ''63-46b-13(1), 63-46b-14(2)(a).