Utah State Tax Commission

State discontinues mailing income tax forms

2012-01-24T07:23:00.000-08:00

The Utah State Tax Commission will no longer print and mail individual booklets and forms for individual income tax returns.
Because so many taxpayers choose electronic filing, taxpayers will not be receiving print booklets and forms in the mail. Last year, 77 percent filed state income taxes online.
All forms and publications are available online at incometax.utah.gov.
The Tax Commission encourages people to file and pay taxes through our free online service at taxexpress.utah.gov.
Electronic filing is the fastest way to receive refunds and ensure accurate tax returns. Payments up to 130 days may also be scheduled.
In order to file state individual income tax returns, you will need the following:
- Copy of your federal tax return
- All applicable W-2, 1099, K-1 and TC-675R forms with Utah withholding information
- Tax deduction and credit documents
For those using Taxpayer Access Point (TAP) for the first time, you will need your Social Security number or individual taxpayer identification number (ITIN) and federal adjusted gross income from the previous year's return.
Users will create a user name and password to use each time you log in. Tutorials are available online.
In addition to taxexpress.utah.gov, taxpayers may also file state income taxes through a tax preparer or using commercial filing software.

Volunteers needed to assist families with tax preparation

2011-12-14T13:42:00.000-08:00

Volunteers are being sought to assist low and moderate income families in Utah to receive free tax help and possibly cash in the form of an earned income tax credit.

Under the “Earn It. Keep it. Save it.” moniker, a coalition of community organizations reaches out to eligible families and provides information about the federal earned income tax credit.

“It is estimated that between $60 million and $80 million is unclaimed each year in Utah,” said Charlie Roberts, spokesman for the state tax commission and member of the statewide coalition.

The coalition is under the leadership of United Way of Salt Lake and Community Action partnership of Utah.

Volunteers are needed as tax preparers, financial resource specialists, interpreters, schedulers and greeters at the Volunteer Income Tax Assistance sites.

Those interested may register online at http://www.utahtaxhelp.org/ or by calling 2-1-1.

IRS closes counter at Tax Commission

2011-12-09T06:44:00.000-08:00

As of Thursday, December 8, the IRS counter co-located at the Utah State Tax Commission will be closed and is no longer in service. The office is located at 210 N. 1950 West, Salt Lake City. IRS customers may visit the office at 50 South 200 East, Social Hall Ave. Salt Lake City."We have appreciated the partnership of the IRS people in our building, and we will miss them," said Barry Conover, executive director of the Tax Commission.

Utah’s Free Online Tax Account Management System Gets a Face Lift

2011-12-07T11:06:00.000-08:00

Taxpayer Access Point (TAP), Utah’s online tax account management system, helps taxpayers save time and money. Although the system has been successful, taxpayers have asked for changes and improvements through the years. In response, TAP is getting a new look and enhanced functionality on Dec. 12.
What’s Different?
The improved system will still have the same security, but you can now access it on more browsers (you no longer need Microsoft Silverlight installed). You will also receive reminders, correspondence and other account information through TAP’s notification system.

In addition, you can now access the following tax types:

· Miscellaneous Sales Taxes, Fees and Charges including Lube Oil, Multi‐Channel Audio/Visual, and Sexually Explicit Business (TC‐62W and TC‐62WW)
· Municipal Telecommunication Tax (TC‐62Z)
· E‐911 Emergency Services Tax (TC‐62Y)
· Insurance Premium (TC‐49)
· Self Insurer’s (TC‐420)
· Brine Shrimp (payments only)

If you have already registered with TAP, you can still use your current login information to:

· File and amend returns
· Make and schedule future payments
· Check refund status
· See account balances
· Request payment plans and waivers of penalty and interest

Tax preparers and payroll companies can continue to manage their client accounts through TAP (with proper registration).

How do I Get an Account?
If you haven’t signed up for TAP yet, go to taxexpress.utah.gov to start. The service is free and is still the fastest way to get your income tax refund!

Salt Lake dentist sentenced for state tax evasion

2011-10-04T06:53:00.000-07:00

A Salt Lake County dentist will have to pay about $165,000 or face prison time for failing to file tax returns and taking efforts to evade paying state income taxes.
Benjamin Lee Gilstrap, 59, was found guilty of one second-degree count of racketeering and two third-degree felony counts of tax evasion and attempted tax evasion.
Gilstrap resides in South Jordan and operates a dental office in Sandy. He attempted to avoid paying taxes by co-mingling his business and personal expenses.
Gistrap also failed to file tax returns during a five-year period in which he had earned nearly $1.5 million.

"Failing to pay taxes brings consequences because it is a failure to basic obligations of citizenship," says Attorney General Mark Shurtleff. "It is particularly disheartening because this defendant rebuffed all efforts for resolution which resulted in even greater costs to taxpayers."
On Sept. 19, Third District Court Judge William Barrett suspended Gilstrap's sentence of up to five years in priosn, but ordered him to provide full documentation for restitution, spend 50 days of home confinement with electronic monitoring, serve 350 hours of community service and serve six years of probation.
"Tax evasion is a serious crime that the Tax Commission continues to vigorously investigate," says Charlie Roberts, Utah State Tax Commission spokesman. "When those who receive public benefits attempt to skirt the law by not paying their fair share of taxes, it places an undue burden on the rest of Utah's taxpayers."
Gilstrap was investigated by the Tax Commission and prosecuted by the Attorney General's Office.

Back to 5 x 8 work week

2011-09-01T12:13:00.000-07:00

On Tuesday, Sept. 6, the Tax Commission - along with all other state government agencies - will return to the traditional 5-day work week.
As always, customer service will be king at the Tax Commission and our divisions, including the Division of Motor Vehicles.
Our office hours will be a straight-forward 8 a.m. to 5 p.m. Monday through Friday.
The four 10-hour work days were implemented in August of 2008 by then-Gov. Jon Huntsman.

Utah CPAs honor former Tax Commission head

2011-08-23T12:23:00.000-07:00

The Utah Association of CPAs recently honored 14 certified public accountants, including Rodney Marrelli, the former executive director of the Utah State Tax Commission.

Rod, who passed away in 2010, was awarded the Jeannie Patton Lifetime Service Award.

The article was published today in the Salt Lake Tribune online edition.

At the time of his death, Rod had been a member of the UACPA for 35 years.

See earlier Tax Commission posts for details of Rod's lifetime of service in the public and private sectors.

Utah County businessman on the hook

2011-08-16T14:43:00.000-07:00

A Utah County busnessman must pay nearly a quarter of a million dollars to the State Tax Commission if he is to avoid time behind prison bars.

Stephen Zimmerman, 58, was sentenced in 3rd District Court after pleading guilty to two third-degree felonies.

Judge Randall Skancy sentenced Zimmerman to serve up to five years in prison. That sentence will be suspended if he pays $241,000 to the State and completes other terms of his probation.

As owner of Professional Global Marketing Data Services, Zimmerman kept payroll taxes owed by his familiy and employees between 2005 and 2009. He then submitted false W-2 forms to the Tax Commission claiming the taxes had been paid to the State.

This is straight-forward theft of payroll taxes. As an employer he collected the taxes owed to the State, pocketed them, and then falsified tax records.Attorney General Mark Shurtleff said, "Plain and simple this is theft against every taxpayer in Utah. My hat goes off to the prosecutors and investigators who work so vigilantly to stop tax fraud."

The Tax Commission's Criminal Investigation Unit vigorously investigates these type of cases and the A.G.'s office prosecutes the criminals.

Senate Committee recommends Commissioner Dixon

2011-06-06T16:03:00.001-07:00

The Utah Senate Revenue and Taxation Confirmation Committee unanimously recommended Commissioner D'Arcy Dixon Pignanelli to a second 4-year term to the Utah State Tax Commission.
Senators Curtis Bramble, Howard Stephenson, Benjamin McAdams and Wayne Niederhauser voted to send Commissioner Dixon Pignanelli's name to the full State Senate for confirmation.
Commissioner Dixon Pignanelli was originally appointed to fill the unexpired term of Palmer DePaulis in March 2006. She was appointed to her first 4-year term in 2007.
She was praised by the Senate committee for her independence in applying the rule of law on her tax decisions.
Commission Chair Bruce Johnson complimented his fellow commissioner for her independence and also for her determination to implement the redaction program on the Tax Commission website.
To provide general guidance for taxpayers, under Commissioner Dixon Pignanelli's direction, the Tax Commission redacts confidential information from orders involving statutory interpretation, substantive case law and new or complex issues and posts them on the website.
Senator Bramble noted that the committee had received several letters of recommendation from business and taxpayer groups advocating Commissioner Dixon Pignanelli's reappointment to the Commission. Commissioner Dixon Pignanelli previously served as the director of Administrative Services and has a career in serving in both the public and private sectors.

Tax Commission files criminal charges against Provo business owners

2011-06-06T08:55:00.000-07:00

Utah State Tax Commission filed felony tax evasion-related charges against owners of a Utah County printing and graphics business last week.
Mark and Suzanne Burdge, Provo, have been charged with racketeering, communications fraud, unlawful dealing by a fiduciary, all second degree felonies and failure to file proper tax returns, a third degree felony.
Charges were filed in 3rd District Court, Salt Lake, against the couple doing business as MCB Printing and Excel Graphics.
Our investigation determined that while operating these businesses, the Burdges employed a number of employees for whom they withheld payroll taxes, said Charlie Roberts, spokesman for the State Tax Commission.
At least since 2006, they intentionally refused to remit more than $300,000 of these trust funds to the State Tax Commission and additional collected taxes to the Internal Revenue Service.
Mark Burdge, 54, intentionally filed false W2 information with his own personal tax returns, claiming payroll tax credit that he knew had not been remitted.
Court appearances are pending. This case will be prosecuted by the Utah Attorney General's Office and was investigated by the Criminal Investigation Unit of the State Tax Commission.

Renew vehicle registraion w/mobile phone

2011-06-01T13:19:00.000-07:00

It was just launched in March, but people already are taking advantage of a smart phone app to renew vehicle registrations.

Residents are now able to renew vehicle registration at any time using their iPad, Blackberry, or Andorid.

The Utah DMV is continually looking for ways to make the vehicle renewal process more convenient for our citizens.

With registrations renewals, there is really no need to come to our office. You can do it by snail-mail, online with your computer or mobile phone or at one of our On-The-Spot business locations.

In addition to your name and zip code, you simply enter the license plate number and last eight digits of the Vehicle Identification Number (VIN) to begin the step-by-step process.

"Online vehicle registration has been extremely successful in Utah," says Barry Conover, executive director of the State Tax Commission.

"We recognize that citizens are busy and are increasingly utilizing mobile technology to conduct business transactions at their convenience," he adds.

Being part of the mobile innovation and expansion will also help the DMV realize more efficiences.

These actions save our citizens time and money while reducing DMV operation costs.

2011-05-24T10:10:00.000-07:00

It has taken seven months, an intense round of interviews, consent from the Governor and confirmation by the State Senate, but today Barry Conover is officially the executive director of the Utah State Tax Commission.

"We all know Barry and we all like Barry," Commission Chair R. Bruce Johnson told a comittee of State Senators. "But we did not hire Barry because we know him and like him."

"We hired him because after an extensive search, he was found to be the best person to lead the Tax Commission," the Commission Chair explained to the Senators who unanimously recommended him for Senate confirmation.

Mr. Conover, a 38-year veteran of the Tax Commission, replaces Rodney Marrelli who passed away Oct. 30, 2010.

He expressed his support to the division directors, managers and supervisors leading the 652 full-time Tax Commission employees. The new executive director also expressed appreciation to his wife, Kathleen, the Commissioners, Governor, and State Senate for his support.

In expressing his support to the employees, he noted that Tax Commission employees impact the lives of Utah citizens more than any other state agency.

National group honors Rod Marrelli posthumously

2011-04-25T10:03:00.000-07:00

A national tax policy group honored former Tax Commission executive director Rod Marrelli posthumosly with a special leadership aware.
The FTA Executive Committee honored Mr. Marrelli, last week. He served as the chief administrator of the agency, managing its day-to-day operations, from 1994 until his death last October.
"We are pleased to hear of this honor give to Rod," said Barry Conover, interim USTC executive director. "It is another recognition of this great man's commitment and accomplishment.
Mr. Marrelli was a member of the FTA Board of Trustees and was an active participant with the Multistate Tax Commission.
He also served as president of the Western States Association of Tax Administrators and was involved in the Northwest Regional Sales Tax Project, the forerunner for the Streamlined Sales Tax project.

Take advantage of TAP

2011-04-21T07:21:00.000-07:00

The Utah State Tax Commission has several different systems for filing and paying taxes online. To make the process easier, we are consolidating many of those various services into one system, called Taxpayer Access Point, or TAP.

As part of this consolidation, beginning June 27, 2011, TAP will replace the current WebExpress system to file, pay, and manage the following taxes:

· Cigarette and Tobacco – mandatory electronic filing
· Corporate – view and pay only
· Fuels – view and pay only
· Municipal Energy - mandatory electronic filing
· Other Miscellaneous Taxes – pay only
· Withholding – file, pay, and upload

If you currently use WebExpress, please register in TAP by visiting https://tap.tax.utah.gov/TaxExpress/TAP.htm on or after June 27. Registering early will help prevent filing and payment delays. You will need your FEIN and 14-character account number (12345678-003-ABC).

As always, you can get to any of our online systems at taxexpress.utah.gov. This would be a good site to bookmark.

Interim executive director appointed

2010-11-16T16:17:00.000-08:00

Utah State Tax Commissioners appointed Barry C. Conover interim executive director of the agency Tuesday.

Mr. Conover, 63, has served as deputy executive director for 23 years. He fills the position left vacant at the death of Rodney G. Marrelli. The appointment is for up to three months.

“I appreciate the confidence of the Commissioners and look forward to this opportunity,” Mr. Conover said.

Mr. Conover holds a bachelor’s of science degree in Sociology from Brigham Young University and has served in a variety of leadership positions with Tax Commission since 1973. He has been lauded for his success the past five years as the project leader of the modernization of the Commission’s major tax systems.

"We appreciate Barry's service, devotion and assistance to Rod Marrelli and to the Tax Commission during the last few years,” said Commission Chair R. Bruce Johnson. “We are confident that Barry will uphold the high ideals Rod personified."

Our friend and leader passes away

2010-11-02T12:05:00.000-07:00

Tax Commission employees lost a great friend and colleague Saturday with the passing of Rodney G. Marrelli, our executive director.

The citizens of Utah lost a dedicated public servant whose integrity was beyond reproach and a leader who kept the best interest of the taxpayer at the forefront of every decision he made.

Rod served diligently for nearly 17 nears in a position that requires a sharp intellect, broad vision, skillfull communication and strong management.

The strides Utah made under his leadership in the areas of modernizing the State's computer tax systems and online options are recognized nationally.

Within a few days of Rod's death, our Commission Chair Bruce Johnson received condolenses from state tax leaders throughout the United States.

Rod will be remembered by the 750 employees at the Tax Commission for his strong leadership, broad vision, clear communication and witty sense of humor.

Rod was appointed by Gov. Michael O. Leavitt in 1994 when the Internet was in its infancy, personal computers a luxury and "brick" cell phones were coveted.

In the Salt Lake Tribune, Gov. Leavitt said, "Rod's policy legacy will be his emphasis of compliance over enfrocement, his protection of "Main Street" retailers and fairness through sales tax simplification and his more than decade-long effort to modernize the state's outdated computer systems."

I admired Rod's diligence in keeping his nose to grind while battling cancer and all its ugly components without ever mumbling a negative word. Even during the final months of his life, Rod placed his public trust above his personal comfort.

"Do it right the first time" was more than a goal on an employee poster, it was a creed emblazoned in Rod's daily work ethic.

We will miss you, Rod.

Peace, love and all that Jazz,
Charlie

Beer bucks and such

2010-10-28T16:05:00.000-07:00

The Tax Commission makes its annual distribution in December from the alcoholic beverage enforcement and treatment account.
This is a 'restricted' account that generated $5.6 million last year from the sale of beer within the friendly confines of the Beehive State.
The Legislature specifies the monies must be used for promoting the harmful effects of over consumption, reduction in underage drinking, and related areas.
The law allows funds to be use for confinement and treatment where alcohol is a contributing factor in the crime.
The dollars are distributed to cities, towns and counties is determined by these four factors:
1) Local population
2) Convictions for alcohol-related offenses
3) Liquor and beer licenses and outlets, and
4) County population
The data comes from a variety of federal and state sources and the Tax Commission computes the math for distribution to the local governments.

In other taxing matters . . .

South Salt City's combined sales tax rate will change to 7.05 percent on Jan. 1. The City imposed the city option sales tx at a rate of .20 percent.
Sevier County will increase its transient room tax rate for 3.0 to 4.25 percent.
Filmore has imposed the 1 percent municipalilty transient room tax option. On New Years Day the transient room tax rate for our first territorial capital city will be 4 percent.

Peace, love and all that Jazz,

Charlie

Other states have quirky tax laws too

2010-10-21T07:49:00.000-07:00

Last week a Utah tax grabbed local headlines - not because of its impact, but because of its quirkiness.

The topic of interest was sexually explicit businesses, also known as S.E.B.'s, which sounds better in a public setting than S.O.B.'s (sexually oriented businesses).

Here's the Reader's Digest version: In 2004, the Legislature passed a 10 percent tax on admission and sales of merchandise, food, drink and services for sexually explicit businesses. The Tax Commission determined that escort services did not qualify as S.E.B.s because of the broad language in the law. The Utah Supreme Court upheld the Tax Commission decision and then the U.S. Supreme Court decided against hearing the Utah case.

Currently, the law impacts only one Utah business.

Here's a sampling that financial expert Casey Bond posted in a gobankingrates.com column of strange taxes and deductions scatttered throughout the U.S. of A.

- Electrolysis treatments, tattoos and body piercings are taxed an additional 10 percent sales tax in Arkansas.

- Pet owners in Durham County, North Carolina must list pets as personal property and pay taxes on them. If Fluffy is fixed it's 10 bucks; otherwise $75 to tax collector.

- Clothing retailers in Minnesota pay a 6.5 percent tax for goods comprised of three times more fur than the next most valuable materal used to make it.

- Alabama charges 10 cent tax on any pack of cards that contains 54 or fewer in the deck. The seller must pay another buck and an annual license tax of $3.

- In addition to all the other costs for civil and criminal litigation, Tennessee charges a tax of $25 per court case.

- Alaska whaling boat captains can write off 10 Grand for anything they spend on boat repar and other whaling expenses.

I'm just a little disappointed that Utah's brine shrimp tax missed the list.

Peace, love and all that Jazz. Charlie

Tax workers 'Clear the Air'

2010-08-04T13:59:00.000-07:00

Your friendly public servants here at the Tax Commission will be basking in Clear the Air glory come Saturday morning.
We, like 351 other agencies and companies, participated in the statewide Clear the Air campaign. Clear the Air is the only issue - other than Mother’s Day and apple pie - that Gov. Herbert, Mayor Corroon and Mayor Becker agree.
But when Mayor Becker issued the Clear the Air Challenge earlier this summer, all three were in the same ship. They encouraged their employees and people across the Beehive State to join the fun.
Throughout July a competition was held to reduce vehicle emissions by choosing walking, biking, taking public transportation, riding in a car pool and stringing errand trips together.
Nearly 90 Tax Commission employees participated in the event and recorded trips saved. Here’s our final tally:
Miles saved - 48,762 (That’s twice around the earth)
Trips saved - 3,393 (A weekly trip to the grocery store for 65 years)
Pounds of emissions eliminated - 81,720 (The weight of 9 average African elephants)
Dollars saved - $27,354 (Should cover this year’s Christmas bonus)
Gallons of gas saved - 2,212 (At 3 bucks a gallon, who’s complaining?)
At the Farmer’s Market on Saturday we will receive the team award for “Best Integration of TravelWise Strategies.” I’m unsure what the exactly means, but it sounds impressive. Hopefully we have done our small part to improve air quality, reduce traffic congestion and conserve energy in Utah.
Peace, love and all that Jazz, Charlie

You may quote these guys

2010-04-13T15:25:00.000-07:00

Here are some of my favorite tax quotes to cheer you up as you approach the April 15 deadline.

The fine art of taxation consists in so plucking the goose as to get the most feathers with the least hissing. ~Jean Baptist Colbert, Louis XIV finance minister

Taxation with representation ain't so hot either. ~Gerald Barzan

I'm proud to pay taxes in the United States; the only thing is, I could be just as proud for half the money. ~Arthur Godfrey

The United States has a system of taxation by confession. ~Hugo Black

Why does a slight tax increase cost you two hundred dollars and a substantial tax cut save you thirty cents? ~Peg Bracken

Be wary of strong drink. It can make you shoot at tax collectors... and miss. ~Robert Heinlein

If the Lord loveth a cheerful giver, how he must hate the taxpayer! ~John Andrew Holmes

People who complain about taxes can be divided into two classes: men and women. ~Author Unknown

It's income tax time again, Americans: time to gather up those receipts, get out those tax forms, sharpen up that pencil, and stab yourself in the aorta. ~Dave Barry

Philosophy teaches a man that he can't take it with him; taxes teach him he can't leave it behind either. ~Mignon McLaughlin, The Second Neurotic's Notebook, 1966

The government’s view of the economy could be summed up in a few short phrases: If it moves, tax it. If it keeps moving, regulate it. And if it stops moving, subsidize it. ~Ronald Reagan

I shall never use profanity except in discussing house rent and taxes. ~Mark Twain

Our tax code is so long it makes War and Peace seem breezy. ~Steven LaTourette

Next to being shot at and missed, nothing is really quite as satisfying as an income tax refund. ~F.J. Raymond

The income tax created more criminals than any other single act of government. ~Barry Goldwater

What is the difference between a taxidermist and a tax collector? The taxidermist takes only your skin. ~Mark Twain, Notebook, 1902

Peace, love and all that Jazz. Charlie

Just the car facts, Ma'am. Just the facts.

2010-03-18T13:11:00.000-07:00

Few realize that two separate police agencies are nestled under the roof of the Utah State Tax Commission: the Motor Vehicle Enforcement Division and the Criminal Investigation Unit.

These police officers are P.O.S.T. certified, carry badges and pack weapons.

Today, we'll take a quick look at the Motor Vehicle Enforcement Division. MVED officers protect citizens from motor vehicle commerce fraud by regulating the car sales industry.

As far as I know the used and new car sales business is the only Utah industry that has its very own police force. And who says you can't trust a car salesman?

In the news media MVED officers have been misidentified as DMV police, state investigators and my personal favorite . . . "state motor fleet officers."

These officers chase down stolen vehicles and the myriad of associated crimes. They are settled in for Easter weekend at the Little Sahara Sand Dunes in Juab County. They focus on citing those with unregistered ATVs and trailers--and there is a good chance they cross a handful of stolen vehicles.

MVED issues licenses to sales people and dealerships. In Utah, there are 4,805 licensed car sales people and 2,675 registered dealerships.

Police throughout the state recognize MVED officers as experts in auto theft and other vehicle-related crimes, i.e., odometer fraud, chop shops, title fraud and vehicle theft rings.

Last year, they recovered nearly 600 stolen vehicles valued at $5.2 million. They also filed 595 criminal counts, impounded 375 vehicles, issued 2,926 registrations and other citations and received 3,268 formal complaints.

Like Dragnet's Joe Friday, for the most part our MVED officers are looking for "Just the facts, ma'am. Just the facts."

Peace, love and all that Jazz, Charlie

Tax Commission pushes electronic filing

2010-02-16T08:26:00.000-08:00

Taxpayers who file state income tax returns online will receive their refunds much quicker than those who send in paper returns.

If you file electronically, you can plan on receiving your refund in a matter of weeks. Those who file by paper may wait several months to receive their refund. Electronic returns are processed faster because of the need for less manual intervention.

About 414,000 people in Utah filed their state income taxes by paper last year. We hope a significant number of those will file electronically this year so they can receive their refunds sooner.

Because of budget reductions fewer temporary workers are being hired by the Tax Commission. This is the main reason for the delay in paper filers receiving their refunds later.

The downturn in the economy forces us to hire fewer temporary workers this tax season. Their focus will be in processing online income tax refunds.

There are three electronic options available to Utah taxpayers:
1) Filing a joint electronic return with the federal income tax
2) Purchasing a commercial tax preparation software package or
3) Filing for free on the web at taxexpress.utah.gov.

In 2009, 65.3 percent filed state income tax returns electronically of the more than 1.2 million returns.

Each year we see a steady increase in the percentage of taxpayers filing electronically. This year we hope to see a major jump.

This annual report has a little spark

2010-02-11T08:31:00.000-08:00

Few topics draw elongated yawns faster than "annual report." Although "revised policy" and "staff meeting" are worthy runner-ups.

While you may not keep the Utah State Tax Commission FY2009 annual report by your bedside, there is a boatload of information tucked away in the publication's 65 pages. This is especially true if you are . . .

an elected official
a tax policy wonk
a snoopy reporter
a number crunching public employee or
'Joe Bag of Donuts' wondering what in the world happens to all your state and local taxes

The report's bottom line reflects national and local economies. The total net revenues collected by the Tax Commission fell 10.5 percent in the past year, a total of $800 million.

And what does that mean to Mr. and Ms. Average Utah? Fewer police officers, more kids in crowded class rooms, snow plows coming later than last year, larger potholes and longer wait times for basic public services.

If you peer closely you can see that Tax Commission employees are working harder and smarter with fewer resources. Here are a handful of examples:

The tax appeals staff has processed more than twice as many appeals this year than two years ago with the same size staff.
Our 24 certified Motor Vehicle Enforcement police officers recovered 597 vehicles last year. That's nearly a dozen vehicles each week.
The average wait time for customers in DMV lines is less than 7 minutes. Just five years ago it was nearly twice that long.
You probably received your state income tax refund back last year in fewer than 15 days after you clicked the send button.
The number of people registering their vehicles at one of our "On the Spot" jumped dramatically to nearly 400,000 last year.

There is also plenty of other information including a ready reference summary of major legislative changes, what income groups are paying the bulk of state taxes and how much sales tax revenue every dot on the map from Randolph to Blanding received.

For your reading your pleasure, you can find the Tax Commission annual report at http://tax.utah.gov/research/reports/fy09report.pdf. Cuddle up with it and enjoy.

Peace, love and all that jazz,
Charlie

Long lines? That's the other guys, NOT DMV

2010-02-09T12:50:00.000-08:00

For the past several weeks, Utahns have been reading headlines and hearing news reports that DMV lines are getting longer and longer and longer.

Well, as the Hertz ads say, "Not exactly."

The long lines are at Driver License Division NOT the DMV.

Now that may sound like a technical bureaucratic response coming from a chubby state government worker. That's true, but there is more to the story.

The DMV (Division of Motor Vehicles) is a division of the Tax Commission in the business of registering motor vehicles. The Driver License Division is under the umbrella of Public Safety, which is also the home of our Highway Patrol officers.

Please remember

License plates = DMV

Driver licenses = Public Safety

I spent 11+ years of my life attempting to grab the attention of newspaper readers by writing short, crisp, accurate headlines. Thanks to Seinfield and three generations of jocularity "DMV" not only grabs readers' and listeners' attention, but fits better in headlines and rolls off reporters' tongues smoother than "Utah Driver License Division."

However when the media refers to the Driver License Division as the DMV it adds to the confusion. It contributes to the very problem the media addresses by sending people to the wrong office.

As a shallow attempt of compassion, my heart goes out to the people at Driver License Division - especially those clerks on the front lines who deal with frustrated citizens. It is extremely challenging to go back 10-plus years in time where citizens can no longer renew their driver license online or by mail.

But that's a different blog, for a different time, from by a different state agency.

Peace, love and all that jazz,
Charlie

So that's where all those school districts evolved

2010-02-08T13:28:00.000-08:00

Few public officials have reason to sweat more during the Legislative session than Larry Shumway. By his nature, Dr. Shumway reflects a cool, calm and collected human being.

However, as superintendent of Utah's public school system, during 45-days from late January to mid-March tiny beads of sweat can form above his brow."Little budget tweaks" can have drastic impacts on Dr. Shumways' employees and more importantly on the people he serves: our school children.

As guest speaker at an American Society of Public Administrators chapter meeting last week, Superintendent Shumway addressed the unique education challenges we face in Utah. We strive to improve education excellence among a growing school children population with dwindling revenue resources.

It is similar to improving your family's lifestyle while adopting more children and having your hours reduced at work. It's difficult to make the math work.

At one point Dr. Shumway stepped away from the heart of the discussion and provided a historical perspective of the creation of Utah's 40 school districts. This proved intriguing to me because in my highway travels I often wonder why does rural Summit County have three times as many districts as heavily populated Davis County. And how in the world did itsy, bitsy Eureka (total population of 766 women, men and children) get its very own district?

He noted that three factors contributed to the present day district boundaries. It dates back to 1910 when the state consolidated hundreds of districts that were scattered throughout the state.

County boundaries - This includes Morgan, Tooele, Box Elder, Washington and others.
Cities of the first-class - There are handful of "cities of the first-class" today; however, 248 Utah mayors argue that they all live in first-class cities. But in 1910, Logan, Murray, Provo as well as mining boom towns Park City and Eureka were all cities of the first-class. As a result we have the Tintic School District which educates children from Eureka and a few eastern Juab County communities.
LDS Stake boundaries - Not that Utah lawmakers have ever stepped over the church-state line in our 114-year history, but the predominant religion did influence decision makers a century ago. School districts such as Alpine, Granite, Jordan, North Sanpete, South Sanpete were organized along the LDS stake boundary lines .

I'm unsure what all this has to do with price of taxes in China Meadows. But I thought you might be interested in Dr. Shumway's insight.

Peace, love and all that jazz,

Charlie

Provo businessman charged with felony tax evasion

2009-10-14T14:47:00.000-07:00

October 14, 2009

The Utah State Tax Commission filed six felony charges against a Provo businessman who operates Harris Hearing Aids.

Robert E. Harris, 76, was charged Oct. 13 with six felony counts including tax evasion, a second degree felony and failure to file a tax return, third degree felony. He will make his first appearance in 3rd District Court on Oct. 21.

A Tax Commission criminal investigation determined that Harris received approximately $5 million in income between 2003 and 2007, but has refused to file income tax returns and pay income taxes at least since 1996.

As a result, Harris owes the State of Utah approximately $700,000 including taxes, criminal penalty, and interest.

“It is unfortunate when there are individuals who refuse to pay their fair share and cause honest taxpayers to become over-burdened,” said Charlie Roberts, spokesman for the Tax Commission. “All income tax monies go directly to benefit students in Utah public schools, colleges and universities.”

The investigation was conducted by the Criminal Investigation Unit of the Tax Commission and will be prosecuted by the Attorney General’s office.

State Tax Commission arrests tax fraud suspect

2009-10-13T08:03:00.000-07:00

August 6, 2009

Former Springville resident charged
With State felony tax fraud counts

A former Springville resident was booked Wednesday, Aug. 5 in the Utah County Jail on several felony tax fraud and theft counts.

The Utah State Tax Commission charged Glen L. Mihlfeith, age 64, with communications fraud, theft by deception, and identity fraud, all second and third degree felonies.

Mihlfeith received more than $12,500 in fraudulent state income tax refunds between 2003 and 2007, said Charlie Roberts, spokesman for the Tax Commission.

“He submitted several fraudulent tax returns using the identity of another person, as well as his own,” Roberts said. “He also attempted to obtain additional fraudulent refunds of over $43,000.”

Although the victim of the identity theft did not sustain loss of tax refunds, those fraudulent refunds obtained by Mihlfeith were from income taxes paid by other taxpayers.

Mihlfeith was arrested in Idaho Falls, Idaho, on Aug. 1, and subsequently extradited to Utah.

The investigation was conducted by the Criminal Investigation Unit of the Tax Commission and will be prosecuted by the Utah County Attorney’s office.

All state income taxes are used to educate Utah’s children, and the Tax Commission vigorously pursues theft and fraud cases.