96-2086

Income Tax

Signed 10/9/96

BEFORE THE UTAH STATE TAX COMMISSION

____________________________________

XXXXX, )

:

Petitioners, : INFORMAL DECISION

:

v. :

:

AUDITING DIVISION OF THE : Appeal No. 96-2086

UTAH STATE TAX COMMISSION, : Account Nos. XXXXX

: 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. Jane Phan, Administrative Law Judge, presided over the matter for and on behalf of the Commission. On XXXXX, Petitioner filed a request that the decision be based on the record and pleadings without a hearing.

Based upon the evidence in the file, the Commission makes its:

FINDINGS

Petitioners are appealing only a portion of the assessment of interest relating to Petitioners' income tax for the 19YY tax year. The underlying individual income tax assessment is not at issue. Petitioners thought that the interest should be only $$$$$, based on a rate of %%%%% per annum. The interest assessed by Respondent was $$$$$. Petitioner states in the Petition for Redetermination that based on his calculations he was being charged interest at a rate of over %%%%% per annum.

In the Answer to Petition for Redetermination filed by the Respondent, Respondent explains that a portion of the interest was due to an error on Petitioner's original return and that the interest had, in fact, been correctly calculated.

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

Based on the foregoing it appears that the interest was correctly calculated. The Tax Commission finds sufficient cause does not exist to waive or reduce the assessment of interest relating to Petitioners' 19YY income tax. It is so ordered.

DATED this 9th day of October, 1996.

BY ORDER OF THE UTAH STATE TAX COMMISSION.

W. Val Oveson Richard B. McKeown

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 Petition for Judicial Review by trial de novo in district court. (Utah Administrative Rule R861-1A-5(P) and Utah Code Ann. §63-46b-13 et. seq.)

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