94-1347

Income Tax

Singed 2/23/95

 

BEFORE THE UTAH STATE TAX COMMISSION

____________________________________

XXXXX, )

:

Petitioner, : ORDER

:

v. : Appeal No. 94-1347

:

COLLECTION DIVISION OF THE : Account No. XXXXX

UTAH STATE TAX COMMISSION, :

:

Respondent. : Tax Type: Income Tax

_____________________________________

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. Gail Reich, Administrative Law Judge, heard the matter for and on behalf of the Commission. Present and representing Petitioner by telephone was XXXXX. Present and representing Respondent was XXXXX.

This matter involves penalty and interest for income tax years XXXXX. There are two failure to pay and two failure to file penalties totaling $$$$$ with interest of approximately $$$$$. In regard to the underlying cause for the failure to file and failure to pay, Respondent referred to being XXXXX. Respondent indicated at the hearings that the grounds Petitioner was asserting for failure to file and failure to pay did not constitute reasonable cause within the criteria of the Commission. Respondent suggested that the petitioner pursue an offer in compromise. This case has been set aside for a period to allow the parties to engage in an offer in compromise. However as of this date, no indication has been provided to the Appeal Unit that this matter has bee resolved. Therefore, because this matter is in the Appeal Unit, it is incumbent upon the Commission to render a decision.

APPLICABLE LAW

The Tax Commission is granted the authority to waive, reduce, or compromise penalties and interest upon a showing of reasonable cause, Utah Code Annotated59-1-401(8).

DECISION AND ORDER

After thorough review of the entire record and the arguments presented at the Settlement Conference, the Commission has determined that Petitioner has not established reasonable cause to justify waiver in this instance.

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 penalties and interest assessed for the XXXXX period.

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 23rd day of February, 1995.

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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