93-1426

Income

Signed 8/17/94



BEFORE THE UTAH STATE TAX COMMISSION

____________________________________

XXXXX, )

:

Petitioner, : ORDER

:

v. : Appeal No. 93-1426

:

COLLECTION DIVISION OF THE : Filing Period: XXXXX

UTAH STATE TAX COMMISSION, :

:

Respondent. : Tax Type: Income

_____________________________________

STATEMENT OF CASE

This matter came before the Utah State Tax Commission for a Settlement Conference pursuant to the provisions of Utah Code Ann. 59-1-502.5, on XXXXX. G. Blaine Davis, Administrative Law Judge, heard the matter for and on behalf of the Commission. Present and representing Petitioner by telephone was Mr. XXXXX, CPA. Present and representing Respondent was XXXXX of the Collections Division.

At the beginning of XXXXX, the Petitioner was moved to the State of Utah by XXXXX, to accept employment here. Shortly after his wife arrived in XXXXX, the Petitioner was notified that XXXXX was reducing its operations and that his job would be terminated. He then moved back to Virginia in XXXXX, and received reimbursement for his moving expenses in XXXXX. XXXXX withheld payroll withholding tax from both the wages they paid to him while he was in Utah and from the moving expenses for moving him back to Virginia. The Petitioner did not file a Utah income tax return for XXXXX or XXXXX.

Three years later, the State Tax Commission requested that he file the returns, and he thereafter complied. The XXXXX return did not have sufficient withholdings but the XXXXX had been overpaid and he would have had a refund except for the penalty for failing to file and pay the taxes. The penalty was imposed only for XXXXX.

However, the penalties have been waived, and the only amount remaining to be paid is the interest. Interest is a charge imposed for the use of money for a period of time, and the Petitioner clearly had the use of some of the money of the state of Utah for a period of time.

DECISION AND ORDER

Based upon the information presented at the conference, and the records of the Tax Commission, the Commission finds sufficient cause has not been shown to waive the interest assessed for the years of XXXXX or XXXXX.

This decision does not limit a party's right to a formal hearing. However, this Decision and Order will become the Final Decision and Order of the Commission unless any party to this case files a written request within thirty (30) days of the date of this decision to proceed to a Formal Hearing. Such a request shall be mailed to the address listed below and must include the Petitioner's name, address, and appeal number:

Utah State Tax Commission

Appeals Division

210 North 1950 West

Salt Lake City, Utah 84134

Failure to request a Formal Hearing will preclude any further administrative action or appeal rights in this matter.

DATED this 17th day of August, 1994.

BY ORDER OF THE UTAH STATE TAX COMMISSION.

W. Val Oveson Roger O. Tew

Chairman Commissioner

Joe B. Pacheco Alice Shearer

Commissioner Commissioner

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