96-2359
Income Tax
Signed 3/24/97
BEFORE THE UTAH STATE TAX
COMMISSION
____________________________________
PETITIONER, :
:
Petitioners, : ORDER
:
v. : Appeal No. 96-2359
:
AUDITING
DIVISION OF THE : Audit Periods: 1990, 1991, 1992
UTAH STATE TAX COMMISSION, :
STATE OF UTAH, : Account Nos. #####
Respondent. : #####
_____________________________________
STATEMENT OF CASE
This
matter came before the Utah State Tax Commission for an Initial Hearing
pursuant to the provisions of Utah Code Ann. §59-1-502.5, on March 13,
1997. Gail S. Reich, Administrative Law
Judge, heard the matter for and on behalf of the Commission. Present by telephone and representing
Petitioner was PETITIONERS REP., CPA.
Present and representing Respondent were Dan Engh and Frank Hales.
Petitioner
has filed an appeal for the 1990, 1991 and 1992 income tax years. However, a Motion to Dismiss has been filed
for the 1990 and 1991 years. A
statutory notice of deficiency was issued in 1995 for both of those years. Petitioner failed to file an appeal within
the required 30 days of the statutory notice of deficiency. In fact the Petition was filed over a year
later. Based on the untimeliness of the
appeal for the 1990 and 1991 tax years, the Commission is granting the Motion
and dismissing those two years from this appeal. The remaining year is 1992, with the Amended Statutory Notice
having been issued on October 15, 1996.
The appeal filed October 24, 1996 constitutes timely filing for the 1992
year. For 1992, additional tax of $$$$$
was assessed. A 10% penalty of $$$$$
was imposed and interest has accrued in the amount of approximately $$$$$. No grounds have been shown which would
justify waiver of the penalty or interest and the records show that the tax was
properly imposed.
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
upon the information presented at the hearing, and the records of the Tax
Commission, the Commission finds sufficient cause has not been shown to waive
the penalty or interest assessed for the 1992 income tax year.
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 24 day of MARCH, 1997.
BY ORDER OF THE UTAH STATE TAX COMMISSION.
W. Val
Oveson Richard
B. McKeown
Chairman Commissioner
Joe B.
Pacheco Alice
Shearer
Commissioner