Payroll

The Utah State Tax Commission has amended Utah Admin. R. §R861-1A-42 (Waiver of Penalty and Interest for Reasonable Cause Pursuant to Utah Code Ann. §59-1-401) effective December 13, 2022. Added to the circumstances that may constitute reasonable cause for a waiver of penalty is electronic submission of the return and payment that is not timely delivered to the tax commission through no fault of the taxpayer, where the electronic transmission error is clearly documented. Alternatively, where the taxpayer cannot document an electronic transmission error, the penalties may be waived if the taxpayer has an excellent history of compliance, proves that sufficient funds were in the bank as of the date of payment, and presents documentation showing that the return and payment was electronically submitted timely.