94-2250

Income

Signed 4/25/95

BEFORE THE UTAH STATE TAX COMMISSION

____________________________________

XXXXX

:

Petitioner, ) INFORMAL DECISION

:

v. )

:

COLLECTION DIVISION OF THE ) Appeal No. 94-2250

UTAH STATE TAX COMMISSION, :

) Account No. XXXXX

:

Respondent. ) Tax Type: Income Tax

_____________________________________

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. An Informal Hearing was held on XXXXX. Jane Phan, Administrative Law Judge, heard the matter for and on behalf of the Commission. Present and representing Petitioner by telephone conference call was XXXXX. Present and representing Respondent was XXXXX.

Based upon the evidence in the file and presented at the Informal Hearing, the Commission makes its:

FINDINGS

Penalties in the amount of $$$$$ and interest in of approximately $$$$$ were assessed against Petitioner relating to income tax for XXXXX. Petitioner had requested a waiver of the penalties and interest from the Collection Division Waiver Unit which was denied. Petitioner now appeal this denial. The underlying amount of the Petitioner's tax liability for XXXXX was $$$$$.

At the hearing Petitioner stated that he had filed and paid timely to the State of Utah his XXXXX income tax return. Five years later Petitioner received notice from the Tax Commission stating that the Tax Commission had not received Petitioner's XXXXX filing or payment. During this intervening period, Petitioner had moved to Wyoming but had worked summers in Utah and filed Utah returns. Petitioner immediately sent in a copy of his XXXXX return, which he said was dated and signed in XXXXX, and paid the $$$$$ again. Because of the length of time involved Petitioner did not have bank statements or check registers for XXXXX. Petitioner stated that the Tax Commission lost the copy he sent of his XXXXX return and asked Petitioner to send another, which Petitioner did. Petitioner stated that he has paid the tax twice and filed the XXXXX income tax return three times because of errors on the part of Tax Commission employees.

Respondent stated that he would like to pull the Tax Commission's copy of the XXXXX return filed by Petitioner. Respondent stated if the copy of the return on file with the Tax Commission was dated at the time stated by Petitioner he would recommend waiving the penalty. After looking at the copy of the return on file with the Tax Commission, Respondent recommended waiving the penalty.

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 Ann. '59-1-401(10).)

DECISION AND ORDER

The Tax Commission finds sufficient cause does exist to waive the penalty of $$$$$ and the interest relating to income tax for XXXXX.

DATED this 25 day of April, 1995.

BY ORDER OF THE UTAH STATE TAX COMMISSION.

W. Val Oveson Roger O. Tew

Chairman Commissioner

Joe B. Pacheco Alice Shearer

Commissioner Commissioner

NOTICE: You have twenty (20) days after the date of a final order to file a Request for Reconsideration with the Commission. If you do not file a Request for Reconsideration with the Commission, you have thirty (30) days after the date of a final order to file a.) a Petition for Judicial Review in the Supreme Court, or b.) a Petition for Judicial Review by trial de novo in district court. (Utah Administrative Rule R861-1A-5(P) and Utah Code Ann. 63-46b-15.)

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