2006 Utah Code - 59-10-539 — Additions to tax and civil penalties.

     59-10-539.   Additions to tax and civil penalties.
     (1) In case of failure to file an income tax return and pay the tax required under this chapter on or before the date prescribed therefor (determined with regard to any extension of time for filing), unless it is shown that such failure is due to reasonable cause and not due to willful neglect, there shall be added to the amount required to be shown as tax on such return a penalty as provided in Section 59-1-401. For the purposes of this subsection, the amount of tax required to be shown on the return shall be reduced by the amount of any part of the tax which is paid on or before the date prescribed for payment of the tax and by the amount of any credit against the tax which may be claimed upon the return.
     (2) If any part of any deficiency in tax imposed by this chapter, as defined by Section 59-10-523, is due to negligence or intentional disregard of rules, but without intent to defraud, a penalty shall be assessed, collected, and paid as provided in Section 59-1-401 in the same manner as if it were an underpayment.
     (3) If any part of a deficiency in tax imposed by this chapter, as defined by Section 59-10-523, is due to fraud, there shall be added to the tax a penalty as provided in Section 59-1-401. This amount shall be in lieu of any other addition to tax imposed by Subsection (1) or (2).
     (4) If any employer, without intent to evade or defeat any tax imposed by this chapter or the payment thereof, fails to make a return and pay a tax withheld by him at the time required under Section 59-10-402, such employer shall be liable for such tax and shall pay it together with interest at the rate and in the manner prescribed in Section 59-1-402. The addition to tax provided in Subsection (1) and such interest may not be charged to or collected from the employee by the employer. The commission has the same rights and powers for the collection of such tax, interest, and addition to tax against such employer as are prescribed by this chapter for the collection of tax against an individual taxpayer.
     (5) Any person required to collect, truthfully account for, and pay over the tax imposed by this chapter who willfully fails to collect such tax or truthfully account for and pay over such tax or willfully attempts in any manner to evade or default the tax or the payment thereof, shall, in addition to other penalties provided by law, be liable to a penalty as provided in Section 59-1-401. No addition to tax under Subsection (1) or (2) may be imposed for any offense to which this subsection applies.
     (6) In case of each failure to file a statement of a payment to another person, required under authority of Section 59-10-406 (relating to information at source, including the duplicate statement of tax withheld on wages), on the date prescribed therefor (determined with regard to any extension of time for filing), unless it is shown that such failure is due to reasonable cause and not to willful neglect, there shall, upon notice and demand by the commission and in the same manner as tax, be paid by the person so failing to file the statement, a penalty as provided in Section 59-1-401.
     (7) If any person who is required by rules prescribed by the commission under this chapter: (a) to include his identifying number in any return statement or other document, (b) to furnish his identifying number to another person, or (c) to include any return, statement, or other document made with respect to another person the identifying number of such other person, fails to comply with such requirement at the time prescribed by such rules, such person shall pay a penalty as provided in Section 59-1-401, unless it is shown that such failure is due to reasonable cause. For failure to include his own identification number in any return, statement, or other

document required to be filed by him, such penalty may not be imposed unless such person fails to supply his identification number to the commission within 30 days after demand therefor.
     (8) In addition to the penalties added by this section, there shall be added to the tax due interest payable at the rate and in the manner prescribed in Section 59-1-402 for underpayments.
     (9) The additions to tax, penalties, and interest provided by this section shall be paid upon notice and demand and shall be assessed, collected, and paid in the same manner as taxes. Any reference in this chapter to income tax or tax imposed by this chapter, is deemed also to refer to the additions to tax, penalties, and interest provided by this section.
     (10) For purposes of Subsections (2) and (3), the amount shown as the tax by the taxpayer upon his return shall be taken into account in determining the amount of the deficiency only if such return was filed on or before the last day prescribed for the filing of such return, determined with regard to any extension of time for such filing.

Amended by Chapter 1, 1993 Special Session 2