First Substitute S.B. 92

Senator Curtis S. Bramble proposes the following substitute bill:

1 AMENDMENTS TO REVENUE AND TAXATION
2 TITLE
3 2010 GENERAL SESSION
4 STATE OF UTAH
5 Chief Sponsor: Curtis S. Bramble
6 House Sponsor: ____________
7
8 LONG TITLE
9 General Description:
10 This bill amends the Revenue and Taxation title to address penalties, the payment of
11 taxes, and estimated tax payments under the Individual Income Tax Act.
12 Highlighted Provisions:
13 This bill:
14 . modifies penalties related to a tax under Title 59, Chapter 7, Corporate Franchise
15 and Income Taxes, or Title 59, Chapter 10, Individual Income Tax Act;
16 . provides that a person is not required to recalculate a tax for purposes of making an
17 installment payment under certain circumstances;
18 . addresses the amount of income tax required to be paid to avoid a penalty if a
19 person makes estimated tax payments and receives an extension of time to file a
20 return;
21 . enacts estimated tax payment requirements under Title 59, Chapter 10, Individual
22 Income Tax Act, including:
23 . defining terms;
24 . establishing a required annual payment;
25 . establishing procedures and requirements for making an estimated tax payment;

26 . providing a penalty for failure to pay or underpaying an estimated tax payment;
27 . authorizing the State Tax Commission to waive, reduce, or compromise the
28 penalty for failure to pay or underpaying an estimated tax payment;
29 . granting rulemaking authority to the State Tax Commission under certain
30 circumstances; and
31 . requiring the State Tax Commission to summarize the estimated tax payment
32 provisions in a conspicuous place on the State Tax Commission's website; and
33 . making technical and conforming changes.
34 Monies Appropriated in this Bill:
35 None
36 Other Special Clauses:
37 This bill provides an effective date.
38 Utah Code Sections Affected:
39 AMENDS:
40 59-1-401, as last amended by Laws of Utah 2009, Chapters 31, 203, 212, and 336
41 59-1-1408, as enacted by Laws of Utah 2009, Chapter 212
42 59-5-107, as last amended by Laws of Utah 2003, Chapter 274
43 59-5-207, as last amended by Laws of Utah 1995, Chapter 228
44 59-7-504, as last amended by Laws of Utah 1995, Chapter 311
45 59-7-507, as last amended by Laws of Utah 2007, Chapter 269
46 59-9-104, as last amended by Laws of Utah 1995, Chapter 205
47 59-10-516, as last amended by Laws of Utah 2007, Chapter 269
48 ENACTS:
49 59-10-1501, Utah Code Annotated 1953
50 59-10-1502, Utah Code Annotated 1953
51 59-10-1503, Utah Code Annotated 1953
52 59-10-1504, Utah Code Annotated 1953
53 59-10-1505, Utah Code Annotated 1953
54 59-10-1506, Utah Code Annotated 1953
55
56 Be it enacted by the Legislature of the state of Utah:

57 Section 1. Section 59-1-401 is amended to read:
58 59-1-401. Definitions -- Offenses and penalties -- Rulemaking authority -- Statute
59 of limitations -- Commission authority to waive, reduce, or compromise penalty or
60 interest.
61 (1) As used in this section:
62 (a) "Activated tax, fee, or charge" means a tax, fee, or charge with respect to which the
63 commission:
64 (i) has implemented the commission's GenTax system; and
65 (ii) at least 30 days before implementing the commission's GenTax system as described
66 in Subsection (1)(a)(i), has provided notice in a conspicuous place on the commission's website
67 stating:
68 (A) the date the commission will implement the GenTax system with respect to the tax,
69 fee, or charge; and
70 (B) that, at the time the commission implements the GenTax system with respect to the
71 tax, fee, or charge:
72 (I) a person that files a return after the due date as described in Subsection (2)[(b)](a) is
73 subject to the penalty described in Subsection (2)(c)(ii); and
74 (II) a person that fails to pay the tax, fee, or charge as described in Subsection (3)(a) is
75 subject to the penalty described in Subsection (3)(b)(ii).
76 (b) "Activation date for a tax, fee, or charge" means with respect to a tax, fee, or
77 charge, the later of:
78 (i) the date on which the commission implements the commission's GenTax system
79 with respect to the tax, fee, or charge; or
80 (ii) 30 days after the date the commission provides the notice described in Subsection
81 (1)(a)(ii) with respect to the tax, fee, or charge.
82 (c) "Tax, fee, or charge" means:
83 (i) a tax, fee, or charge the commission administers under:
84 (A) this title;
85 (B) Title 10, Chapter 1, Part 3, Municipal Energy Sales and Use Tax Act;
86 (C) Title 10, Chapter 1, Part 4, Municipal Telecommunications License Tax Act;
87 (D) Section 19-6-410.5 ;

88 (E) Section 19-6-714 ;
89 (F) Section 19-6-805 ;
90 (G) Section 40-6-14 ;
91 (H) Section 69-2-5 ;
92 (I) Section 69-2-5.5 ; or
93 (J) Section 69-2-5.6 ; or
94 (ii) another amount that by statute is subject to a penalty imposed under this section.
95 (d) "Unactivated tax, fee, or charge" means a tax, fee, or charge except for an activated
96 tax, fee, or charge.
97 (2) (a) The due date for filing a return is:
98 (i) if the person filing the return is not allowed by law an extension of time for filing
99 the return, the day on which the return is due as provided by law; or
100 (ii) if the person filing the return is allowed by law an extension of time for filing the
101 return, the earlier of:
102 (A) the date the person files the return; or
103 (B) the last day of that extension of time as allowed by law.
104 (b) A penalty in the amount described in Subsection (2)(c) is imposed if:
105 (i) a person files a return after the due date described in Subsection (2)(a)[.]; or
106 (ii) (A) a person fails to file a return; and
107 (B) the commission estimates a tax, fee, or charge due in accordance with Section
108 59-1-1406 .
109 (c) For purposes of Subsection (2)(b), the penalty is an amount equal to the greater of:
110 (i) if the return described in Subsection (2)(b) is filed with respect to an unactivated
111 tax, fee, or charge:
112 (A) $20; or
113 (B) 10% of the unpaid unactivated tax, fee, or charge due on the return; or
114 (ii) if the return described in Subsection (2)(b) is filed with respect to an activated tax,
115 fee, or charge, beginning on the activation date for the tax, fee, or charge:
116 (A) $20; or
117 (B) (I) 2% of the unpaid activated tax, fee, or charge due on the return if the return is
118 filed no later than five days after the due date described in Subsection (2)(a);

119 (II) 5% of the unpaid activated tax, fee, or charge due on the return if the return is filed
120 more than five days after the due date but no later than 15 days after the due date described in
121 Subsection (2)(a); or
122 (III) 10% of the unpaid activated tax, fee, or charge due on the return if the return is
123 filed more than 15 days after the due date described in Subsection (2)(a).
124 (d) This Subsection (2) does not apply to:
125 (i) an amended return; or
126 (ii) a return with no tax due.
127 (3) (a) A person is subject to a penalty for failure to pay a tax, fee, or charge if:
128 (i) the person files a return on or before the due date for filing a return described in
129 Subsection (2)(a), but fails to pay the tax, fee, or charge due on the return on or before that due
130 date;
131 (ii) the person:
132 (A) is subject to a penalty under Subsection (2)(b); and
133 (B) fails to pay the tax, fee, or charge due on a return within a 90-day period after the
134 due date for filing a return described in Subsection (2)(a);
135 (iii) (A) the person is subject to a penalty under Subsection (2)(b); and
136 (B) the commission estimates an amount of tax due for that person in accordance with
137 Subsection 59-1-1406 (2);
138 (iv) the person:
139 (A) is mailed a notice of deficiency; and
140 (B) within a 30-day period after the day on which the notice of deficiency described in
141 Subsection (3)(a)(iv)(A) is mailed:
142 (I) does not file a petition for redetermination or a request for agency action; and
143 (II) fails to pay the tax, fee, or charge due on a return;
144 (v) (A) the commission:
145 (I) issues an order constituting final agency action resulting from a timely filed petition
146 for redetermination or a timely filed request for agency action; or
147 (II) is considered to have denied a request for reconsideration under Subsection
148 63G-4-302 (3)(b) resulting from a timely filed petition for redetermination or a timely filed
149 request for agency action; and

150 (B) the person fails to pay the tax, fee, or charge due on a return within a 30-day period
151 after the date the commission:
152 (I) issues the order constituting final agency action described in Subsection
153 (3)(a)(v)(A)(I); or
154 (II) is considered to have denied the request for reconsideration described in
155 Subsection (3)(a)(v)(A)(II); or
156 (vi) the person fails to pay the tax, fee, or charge within a 30-day period after the date
157 of a final judicial decision resulting from a timely filed petition for judicial review.
158 (b) For purposes of Subsection (3)(a), the penalty is an amount equal to the greater of:
159 (i) if the failure to pay a tax, fee, or charge as described in Subsection (3)(a) is with
160 respect to an unactivated tax, fee, or charge:
161 (A) $20; or
162 (B) 10% of the unpaid unactivated tax, fee, or charge due on the return; [or]
163 (ii) if the failure to pay a tax, fee, or charge as described in Subsection (3)(a) is with
164 respect to an activated tax, fee, or charge except for a tax imposed under Chapter 7, Corporate
165 Franchise and Income Taxes, or Chapter 10, Individual Income Tax Act, beginning on the
166 activation date:
167 (A) $20; or
168 (B) (I) 2% of the unpaid activated tax, fee, or charge due on the return if the activated
169 tax, fee, or charge due on the return is paid no later than five days after the due date for filing a
170 return described in Subsection (2)(a);
171 (II) 5% of the unpaid activated tax, fee, or charge due on the return if the activated tax,
172 fee, or charge due on the return is paid more than five days after the due date for filing a return
173 described in Subsection (2)(a) but no later than 15 days after that due date; or
174 (III) 10% of the unpaid activated tax, fee, or charge due on the return if the activated
175 tax, fee, or charge due on the return is paid more than 15 days after the due date for filing a
176 return described in Subsection (2)(a)[.]; or
177 (iii) if the failure to pay a tax, fee, or charge as described in Subsection (3)(a) is with
178 respect to a tax imposed under Chapter 7, Corporate Franchise and Income Taxes, or Chapter
179 10, Individual Income Tax Act:
180 (A) $20 if the tax due on the return is paid in full after the original due date for filing

181 the return under Section 59-7-505 or 59-10-514 , without extensions; or
182 (B) the lesser of:
183 (I) 25% of the unpaid tax due on the return; or
184 (II) 0.5% of the unpaid tax per month for the number of months, as determined in
185 accordance with Subsection (3)(c), that the unpaid tax due on the return is not paid in full.
186 (c) For purposes of determining the penalty under Subsection (3)(b)(iii)(B)(II), the
187 number of months shall be calculated by:
188 (i) determining the number of months the unpaid tax due on the return is not paid in
189 full, beginning with the original due date for filing the return under Section 59-7-505 or
190 59-10-514 , without extensions, and ending on the date the unpaid tax is paid in full; and
191 (ii) including any fraction of a month as a full month.
192 (4) (a) [Beginning January 1, 1995, in] In the case of any underpayment of estimated
193 tax or quarterly installments required by [Sections] Section 59-5-107 , 59-5-207 , 59-7-504 ,
194 [and] 59-9-104 , or 59-10-1503 , there shall be added a penalty in an amount determined by
195 applying the interest rate provided under [Section] Subsection 59-1-402 (2) plus [four] three
196 percentage points to the amount of the underpayment for the period of the underpayment.
197 (b) (i) For purposes of Subsection (4)(a), the amount of the underpayment shall be the
198 excess of the required installment over the amount, if any, of the installment paid on or before
199 the due date for the installment.
200 (ii) The period of the underpayment shall run from the due date for the installment to
201 whichever of the following dates is the earlier:
202 (A) the original due date of the tax return, without extensions, for the taxable year; or
203 (B) with respect to any portion of the underpayment, the date on which that portion is
204 paid.
205 (iii) For purposes of this Subsection (4), a payment of estimated tax shall be credited
206 against unpaid required installments in the order in which the installments are required to be
207 paid.
208 [(5) (a) Notwithstanding Subsection (2) and except as provided in Subsection (6), a
209 person allowed by law an extension of time for filing a corporate franchise or income tax return
210 under Chapter 7, Corporate Franchise and Income Taxes, or an individual income tax return
211 under Chapter 10, Individual Income Tax Act, is subject to a penalty in the amount described in

212 Subsection (5)(b) if, on or before the day on which the return is due as provided by law, not
213 including the extension of time, the person fails to pay:]
214 [(i) for a person filing a corporate franchise or income tax return under Chapter 7,
215 Corporate Franchise and Income Taxes, the payment required by Subsection 59-7-507 (1)(b);
216 or]
217 [(ii) for a person filing an individual income tax return under Chapter 10, Individual
218 Income Tax Act, the payment required by Subsection 59-10-516 (2).]
219 [(b) For purposes of Subsection (5)(a), the penalty per month during the period of the
220 extension of time for filing the return is an amount equal to 2% of the tax due on the return,
221 unpaid as of the day on which the return is due as provided by law.]
222 [(6) If a person does not file a return within an extension of time allowed by Section
223 59-7-505 or 59-10-516 , the person:]
224 [(a) is not subject to a penalty in the amount described in Subsection (5)(b); and]
225 [(b) is subject to a penalty in an amount equal to the sum of:]
226 [(i) a late file penalty in an amount equal to the greater of:]
227 [(A) $20; or]
228 [(B) 10% of the tax due on the return, unpaid as of the day on which the return is due
229 as provided by law, not including the extension of time; and]
230 [(ii) a late pay penalty in an amount equal to the greater of:]
231 [(A) $20; or]
232 [(B) 10% of the unpaid tax due on the return, unpaid as of the day on which the return
233 is due as provided by law, not including the extension of time.]
234 [(7)] (5) (a) Additional penalties for an underpayment of a tax, fee, or charge are as
235 provided in this Subsection [(7)] (5)(a).
236 (i) Except as provided in Subsection [(7)] (5)(c), if any portion of an underpayment of
237 a tax, fee, or charge is due to negligence, the penalty is 10% of the portion of the underpayment
238 that is due to negligence.
239 (ii) Except as provided in Subsection [(7)] (5)(d), if any portion of an underpayment of
240 a tax, fee, or charge is due to intentional disregard of law or rule, the penalty is 15% of the
241 entire underpayment.
242 (iii) If any portion of an underpayment is due to an intent to evade a tax, fee, or charge,

243 the penalty is the greater of $500 per period or 50% of the entire underpayment.
244 (iv) If any portion of an underpayment is due to fraud with intent to evade a tax, fee, or
245 charge, the penalty is the greater of $500 per period or 100% of the entire underpayment.
246 (b) If the commission determines that a person is liable for a penalty imposed under
247 Subsection [(7)] (5)(a)(ii), (iii), or (iv), the commission shall notify the person of the proposed
248 penalty.
249 (i) The notice of proposed penalty shall:
250 (A) set forth the basis of the assessment; and
251 (B) be mailed by certified mail, postage prepaid, to the person's last-known address.
252 (ii) Upon receipt of the notice of proposed penalty, the person against whom the
253 penalty is proposed may:
254 (A) pay the amount of the proposed penalty at the place and time stated in the notice;
255 or
256 (B) proceed in accordance with the review procedures of Subsection [(7)] (5)(b)(iii).
257 (iii) A person against whom a penalty is proposed in accordance with this Subsection
258 [(7)] (5) may contest the proposed penalty by filing a petition for an adjudicative proceeding
259 with the commission.
260 (iv) (A) If the commission determines that a person is liable for a penalty under this
261 Subsection [(7)] (5), the commission shall assess the penalty and give notice and demand for
262 payment.
263 (B) The commission shall mail the notice and demand for payment described in
264 Subsection [(7)] (5)(b)(iv)(A):
265 (I) to the person's last-known address; and
266 (II) in accordance with Section 59-1-1404 .
267 (c) A seller that voluntarily collects a tax under Subsection 59-12-107 (1)(b) is not
268 subject to the penalty under Subsection [(7)] (5)(a)(i) if on or after July 1, 2001:
269 (i) a court of competent jurisdiction issues a final unappealable judgment or order
270 determining that:
271 (A) the seller meets one or more of the criteria described in Subsection
272 59-12-107 (1)(a); and
273 (B) the commission or a county, city, or town may require the seller to collect a tax

274 under Subsections 59-12-103 (2)(a) through (d); or
275 (ii) the commission issues a final unappealable administrative order determining that:
276 (A) the seller meets one or more of the criteria described in Subsection
277 59-12-107 (1)(a); and
278 (B) the commission or a county, city, or town may require the seller to collect a tax
279 under Subsections 59-12-103 (2)(a) through (d).
280 (d) A seller that voluntarily collects a tax under Subsection 59-12-107 (1)(b) is not
281 subject to the penalty under Subsection [(7)] (5)(a)(ii) if:
282 (i) (A) a court of competent jurisdiction issues a final unappealable judgment or order
283 determining that:
284 (I) the seller meets one or more of the criteria described in Subsection 59-12-107 (1)(a);
285 and
286 (II) the commission or a county, city, or town may require the seller to collect a tax
287 under Subsections 59-12-103 (2)(a) through (d); or
288 (B) the commission issues a final unappealable administrative order determining that:
289 (I) the seller meets one or more of the criteria described in Subsection 59-12-107 (1)(a);
290 and
291 (II) the commission or a county, city, or town may require the seller to collect a tax
292 under Subsections 59-12-103 (2)(a) through (d); and
293 (ii) the seller's intentional disregard of law or rule is warranted by existing law or by a
294 nonfrivolous argument for the extension, modification, or reversal of existing law or the
295 establishment of new law.
296 [(8)] (6) The penalty for failure to file an information return, information report, or a
297 complete supporting schedule is $50 for each information return, information report, or
298 supporting schedule up to a maximum of $1,000.
299 [(9)] (7) If a person, in furtherance of a frivolous position, has a prima facie intent to
300 delay or impede administration of a law relating to a tax, fee, or charge and files a purported
301 return that fails to contain information from which the correctness of reported tax, fee, or
302 charge liability can be determined or that clearly indicates that the tax, fee, or charge liability
303 shown is substantially incorrect, the penalty is $500.
304 [(10)] (8) (a) A seller that fails to remit a tax, fee, or charge monthly as required by

305 Subsection 59-12-108 (1)(a):
306 (i) is subject to a penalty described in Subsection (2); and
307 (ii) may not retain the percentage of sales and use taxes that would otherwise be
308 allowable under Subsection 59-12-108 (2).
309 (b) A seller that fails to remit a tax, fee, or charge by electronic funds transfer as
310 required by Subsection 59-12-108 (1)(a)(ii)(B):
311 (i) is subject to a penalty described in Subsection (2); and
312 (ii) may not retain the percentage of sales and use taxes that would otherwise be
313 allowable under Subsection 59-12-108 (2).
314 [(11)] (9) (a) A person is subject to the penalty provided in Subsection [(11)] (9)(c) if
315 that person:
316 (i) commits an act described in Subsection [(11)] (9)(b) with respect to one or more of
317 the following documents:
318 (A) a return;
319 (B) an affidavit;
320 (C) a claim; or
321 (D) a document similar to Subsections [(11)] (9)(a)(i)(A) through (C);
322 (ii) knows or has reason to believe that the document described in Subsection [(11)]
323 (9)(a)(i) will be used in connection with any material matter administered by the commission;
324 and
325 (iii) knows that the document described in Subsection [(11)] (9)(a)(i), if used in
326 connection with any material matter administered by the commission, would result in an
327 understatement of another person's liability for a tax, fee, or charge.
328 (b) The following acts apply to Subsection [(11)] (9)(a)(i):
329 (i) preparing any portion of a document described in Subsection [(11)] (9)(a)(i);
330 (ii) presenting any portion of a document described in Subsection [(11)] (9)(a)(i);
331 (iii) procuring any portion of a document described in Subsection [(11)] (9)(a)(i);
332 (iv) advising in the preparation or presentation of any portion of a document described
333 in Subsection [(11)] (9)(a)(i);
334 (v) aiding in the preparation or presentation of any portion of a document described in
335 Subsection [(11)] (9)(a)(i);

336 (vi) assisting in the preparation or presentation of any portion of a document described
337 in Subsection [(11)] (9)(a)(i); or
338 (vii) counseling in the preparation or presentation of any portion of a document
339 described in Subsection [(11)] (9)(a)(i).
340 (c) For purposes of Subsection [(11)] (9)(a), the penalty:
341 (i) shall be imposed by the commission;
342 (ii) is $500 for each document described in Subsection [(11)] (9)(a)(i) with respect to
343 which the person described in Subsection [(11)] (9)(a) meets the requirements of Subsection
344 [(11)] (9)(a); and
345 (iii) is in addition to any other penalty provided by law.
346 (d) The commission may seek a court order to enjoin a person from engaging in
347 conduct that is subject to a penalty under this Subsection [(11)] (9).
348 (e) In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, the
349 commission may make rules prescribing the documents that are similar to Subsections [(11)]
350 (9)(a)(i)(A) through (C).
351 [(12)] (10) (a) As provided in Section 76-8-1101 , criminal offenses and penalties are as
352 provided in Subsections [(12)] (10)(b) through (e).
353 (b) (i) A person who is required by this title or any laws the commission administers or
354 regulates to register with or obtain a license or permit from the commission, who operates
355 without having registered or secured a license or permit, or who operates when the registration,
356 license, or permit is expired or not current, is guilty of a class B misdemeanor.
357 (ii) Notwithstanding Section 76-3-301 , for purposes of Subsection [(12)] (10)(b)(i), the
358 penalty may not:
359 (A) be less than $500; or
360 (B) exceed $1,000.
361 (c) (i) A person who, with intent to evade a tax, fee, or charge or requirement of this
362 title or any lawful requirement of the commission, fails to make, render, sign, or verify a return
363 or to supply information within the time required by law, or who makes, renders, signs, or
364 verifies a false or fraudulent return or statement, or who supplies false or fraudulent
365 information, is guilty of a third degree felony.
366 (ii) Notwithstanding Section 76-3-301 , for purposes of Subsection [(12)] (10)(c)(i), the

367 penalty may not:
368 (A) be less than $1,000; or
369 (B) exceed $5,000.
370 (d) (i) A person who intentionally or willfully attempts to evade or defeat a tax, fee, or
371 charge or the payment of a tax, fee, or charge is, in addition to other penalties provided by law,
372 guilty of a second degree felony.
373 (ii) Notwithstanding Section 76-3-301 , for purposes of Subsection [(12)] (10)(d)(i), the
374 penalty may not:
375 (A) be less than $1,500; or
376 (B) exceed $25,000.
377 (e) (i) A person is guilty of a second degree felony if that person commits an act:
378 (A) described in Subsection [(12)] (10)(e)(ii) with respect to one or more of the
379 following documents:
380 (I) a return;
381 (II) an affidavit;
382 (III) a claim; or
383 (IV) a document similar to Subsections [(12)] (10)(e)(i)(A)(I) through (III); and
384 (B) subject to Subsection [(12)] (10)(e)(iii), with knowledge that the document
385 described in Subsection [(12)] (10)(e)(i)(A):
386 (I) is false or fraudulent as to any material matter; and
387 (II) could be used in connection with any material matter administered by the
388 commission.
389 (ii) The following acts apply to Subsection [(12)] (10)(e)(i):
390 (A) preparing any portion of a document described in Subsection [(12)] (10)(e)(i)(A);
391 (B) presenting any portion of a document described in Subsection [(12)] (10)(e)(i)(A);
392 (C) procuring any portion of a document described in Subsection [(12)] (10)(e)(i)(A);
393 (D) advising in the preparation or presentation of any portion of a document described
394 in Subsection [(12)] (10)(e)(i)(A);
395 (E) aiding in the preparation or presentation of any portion of a document described in
396 Subsection [(12)] (10)(e)(i)(A);
397 (F) assisting in the preparation or presentation of any portion of a document described

398 in Subsection [(12)] (10)(e)(i)(A); or
399 (G) counseling in the preparation or presentation of any portion of a document
400 described in Subsection [(12)] (10)(e)(i)(A).
401 (iii) This Subsection [(12)] (10)(e) applies:
402 (A) regardless of whether the person for which the document described in Subsection
403 [(12)] (10)(e)(i)(A) is prepared or presented:
404 (I) knew of the falsity of the document described in Subsection [(12)] (10)(e)(i)(A); or
405 (II) consented to the falsity of the document described in Subsection [(12)]
406 (10)(e)(i)(A); and
407 (B) in addition to any other penalty provided by law.
408 (iv) Notwithstanding Section 76-3-301 , for purposes of this Subsection [(12)] (10)(e),
409 the penalty may not:
410 (A) be less than $1,500; or
411 (B) exceed $25,000.
412 (v) The commission may seek a court order to enjoin a person from engaging in
413 conduct that is subject to a penalty under this Subsection [(12)] (10)(e).
414 (vi) In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act,
415 the commission may make rules prescribing the documents that are similar to Subsections
416 [(12)] (10)(e)(i)(A)(I) through (III).
417 (f) The statute of limitations for prosecution for a violation of this Subsection [(12)]
418 (10) is the later of six years:
419 (i) from the date the tax should have been remitted; or
420 (ii) after the day on which the person commits the criminal offense.
421 [(13)] (11) Upon making a record of its actions, and upon reasonable cause shown, the
422 commission may waive, reduce, or compromise any of the penalties or interest imposed under
423 this part.
424 Section 2. Section 59-1-1408 is amended to read:
425 59-1-1408. Assessments.
426 (1) Except as provided in Subsections (2) through (4), an assessment is made on the
427 date a liability is posted to the records of the commission.
428 (2) Except as provided in Subsection (4), for purposes of a liability for which the

429 commission mails a notice of deficiency to a person in accordance with Section 59-1-1405 , an
430 assessment is made:
431 (a) if a person has not filed a petition for redetermination of a deficiency under Section
432 59-1-501 , on the date:
433 (i) (A) 30 days after the day on which the commission mails the notice of deficiency to
434 the person; or
435 (B) 90 days after the day on which the commission mails the notice of deficiency to the
436 person if the notice is addressed to a person outside the United States or the District of
437 Columbia; or
438 (ii) the person in writing:
439 (A) agrees with the commission on the existence and amount of the liability; and
440 (B) consents to the assessment of the liability; or
441 (b) if a person files a petition for redetermination of a deficiency under Section
442 59-1-501 , on the date the liability resulting from a final commission decision is posted to the
443 records of the commission.
444 (3) Except as provided in Subsection (4), for purposes of a notice of proposed penalty
445 under Section 59-1-302 or Subsection 59-1-401 [(7)] (6), an assessment is made:
446 (a) if a person has not filed a petition for redetermination of a deficiency under Section
447 59-1-501 , on the date:
448 (i) (A) 30 days after the day on which the commission mails the notice of proposed
449 penalty to the person; or
450 (B) 90 days after the day on which the commission mails the notice of proposed
451 penalty to the person if the notice is addressed to a person outside the United States or the
452 District of Columbia; or
453 (ii) the person in writing:
454 (A) agrees with the commission on the existence and amount of the liability; and
455 (B) consents to the assessment of the liability; or
456 (b) if a person files a petition for redetermination of a deficiency under Section
457 59-1-501 , on the date the liability resulting from a final commission decision is posted to the
458 records of the commission.
459 (4) In the case of interest under Section 59-1-402 that accrues to a tax, fee, or charge,

460 an assessment is considered to have been made on the date the tax, fee, or charge is assessed.
461 (5) The commission may at any time within the time period prescribed for assessment
462 under Section 59-1-1410 , increase or decrease an assessment if the commission ascertains that
463 the assessment is imperfect or incomplete in a material respect.
464 Section 3. Section 59-5-107 is amended to read:
465 59-5-107. Date tax due -- Extensions -- Installment payments -- Taxpayer not
466 required to recalculate taxes assessed under certain circumstances -- Penalty on
467 delinquencies -- Audit.
468 (1) Except as provided in Subsections (2) and (3), the tax imposed by this part is due
469 and payable on or before June 1 of the year next succeeding the calendar year when the oil or
470 gas is:
471 (a) (i) produced;
472 (ii) saved; and
473 (iii) sold; or
474 (b) transported from the field where produced.
475 (2) (a) Notwithstanding Subsection (1), the commission may, for good cause shown
476 upon a written application by the taxpayer, extend the time of payment of the whole or any part
477 of the tax for a period not to exceed six months.
478 (b) If the commission allows an extension under Subsection (2)(a), interest at the rate
479 and in the manner prescribed in Section 59-1-402 shall be charged and added to the amount of
480 the tax allowed the extension.
481 (3) (a) A taxpayer subject to this part whose total tax obligation for the current calendar
482 year will be $3,000 or more shall pay the taxes assessed under this part in quarterly
483 installments as provided in Subsections (3)(b) and (4).
484 (b) For purposes of Subsection (3)(a), each quarterly installment shall be based on the
485 estimated gross value received by the taxpayer during the quarter preceding the date on which
486 the installment is due.
487 (4) For purposes of Subsection (3), the quarterly installments are due as follows:
488 (a) for the quarter beginning on January 1 and ending on March 31, on or before June
489 1;
490 (b) for the quarter beginning on April 1 and ending on June 30, on or before September

491 1;
492 (c) for the quarter beginning on July 1 and ending on September 30, on or before
493 December 1; and
494 (d) for the quarter beginning on October 1 and ending on December 31, on or before
495 March 1 of the next year.
496 (5) If a taxpayer files an amended return under this part after the original due date for
497 filing the return, not including extensions, the taxpayer is not required to recalculate the
498 taxpayer's taxes assessed under this part for purposes of calculating quarterly installments due
499 under this section.
500 [(5)] (6) (a) Subject to Subsection [(5)] (6)(b) and except as provided in Subsection
501 [(6)] (7), if the tax imposed by Section 59-5-102 is not paid when due or is underpaid, the
502 taxpayer is subject to the penalty provided under Section 59-1-401 .
503 (b) For purposes of Subsection [(5)] (6)(a), an underpayment exists if less than 80% of
504 the tax due for a quarter is paid.
505 [(6)] (7) Notwithstanding Subsection [(5)] (6)(a), the penalty for failure to pay a tax
506 due or for underpayment of a tax may not be assessed if the taxpayer's total quarterly tax
507 installment payments equal 25% or more of the tax reported and paid by the taxpayer for the
508 preceding calendar year.
509 [(7)] (8) The commission may not add interest to any quarterly installment subject to a
510 penalty under this section.
511 [(8)] (9) The commission may conduct audits to determine whether any tax is owed
512 under this part.
513 Section 4. Section 59-5-207 is amended to read:
514 59-5-207. Date tax due -- Extensions -- Installment payments -- Taxpayer not
515 required to recalculate taxes assessed under certain circumstances -- Penalty on
516 delinquencies -- Audit.
517 (1) The tax imposed by this chapter is due and payable on or before June 1 of the year
518 next succeeding the calendar year when the mineral is produced and sold or delivered.
519 (2) The commission may, for good cause shown upon a written application by the
520 taxpayer, extend the time of payment of the whole or any part of the tax for a period not to
521 exceed six months. If an extension is granted, interest at the rate and in the manner prescribed

522 in Section 59-1-402 shall be charged and added to the amount of the deferred payment of the
523 tax.
524 (3) Every taxpayer subject to this chapter whose total tax obligation for the preceding
525 calendar year was $3,000 or more shall pay the taxes assessed under this chapter in quarterly
526 installments. Each installment shall be based on the estimated gross value received by the
527 taxpayer during the quarter preceding the date on which the installment is due.
528 (4) The quarterly installments are due as follows:
529 (a) for January 1 through March 31, on or before June 1;
530 (b) for April 1 through June 30, on or before September 1;
531 (c) for July 1 through September 30, on or before December 1; and
532 (d) for October 1 through December 31, on or before March 1 of the next year.
533 (5) If a taxpayer files an amended return under this part after the original due date for
534 filing the return, not including extensions, the taxpayer is not required to recalculate the
535 taxpayer's taxes assessed under this part for purposes of calculating quarterly installments due
536 under this section.
537 [(5)] (6) (a) If the taxpayer fails to report and pay any tax when due, the taxpayer is
538 subject to the penalties provided under Section 59-1-401 , unless otherwise provided in
539 Subsection [(6)] (7).
540 (b) An underpayment exists if less than 80% of the tax due for a quarter is paid.
541 [(6)] (7) The penalty for failure to pay the tax due or underpayment of tax may not be
542 assessed if the taxpayer's quarterly tax installment payment equals 25% of the tax reported and
543 paid by the taxpayer for the preceding taxable year.
544 [(7)] (8) There shall be no interest added to any estimated tax payments subject to a
545 penalty under this section.
546 [(8)] (9) The commission may conduct audits to determine whether any tax is owed
547 under this section.
548 Section 5. Section 59-7-504 is amended to read:
549 59-7-504. Estimated tax payments -- Taxpayer not required to recalculate tax
550 liability under certain circumstances -- Penalty -- Waiver.
551 (1) Except as otherwise provided in this section, each corporation subject to taxation
552 under this chapter having a tax liability of $3,000 or more in the current tax year, or which had

553 a tax liability of $3,000 or more in the previous tax year, shall make payments of estimated tax
554 at the same time and using any method provided under Section 6655, Internal Revenue Code.
555 (2) The following are modifications or exceptions to the provisions of Section 6655,
556 Internal Revenue Code:
557 (a) for the first year a corporation is required to file a return in Utah, that corporation is
558 not subject to Subsection (1) if it makes a payment on or before the due date of the return,
559 without extensions, equal to or greater than the minimum tax required under Section 59-7-104
560 or 59-7-201 ;
561 (b) the applicable percentage of the required annual payment, as defined in Section
562 6655, Internal Revenue Code, for annualized income installments, adjusted seasonal
563 installments, and those estimated tax payments based on the current year tax liability shall be:
564 Installment Percentage
565 1st 22.5
566 2nd 45.0
567 3rd 67.5
568 4th 90.0
569 (c) large corporations shall be treated as any other corporation for purposes of this
570 section; and
571 (d) if a taxpayer elects a different annualization period than the one used for federal
572 purposes, the taxpayer shall make an election with the Tax Commission at the same time as
573 provided under Section 6655, Internal Revenue Code.
574 (3) If a corporation files an amended return under this chapter after the original due
575 date for filing the return, not including extensions, the corporation is not required to recalculate
576 the corporation's tax liability under this chapter for purposes of calculating payments of
577 estimated tax due under this section.
578 [(3)] (4) A penalty shall be added as provided in Section 59-1-401 for any quarterly
579 estimated tax payment which is not made in accordance with this section.
580 [(4)] (5) There shall be no interest added to any estimated tax payments subject to a
581 penalty under this section.
582 Section 6. Section 59-7-507 is amended to read:
583 59-7-507. Payment of tax.

584 (1) (a) If quarterly estimated payments are not made as provided in Section 59-7-504 ,
585 the amount of tax imposed by this chapter shall be paid no later than the original due date of
586 the return.
587 (b) If an extension of time is necessary for filing a return, as provided in Subsection
588 59-7-505 (3) or Section 59-7-803 , payment must be made no later than the original due date of
589 the return in an amount equal to the [lesser of: (i) The] greater of:
590 [(A)] (i) 90% of the total tax [reported on the return] liability for the current taxable
591 year; or
592 [(B)] (ii) 100% of the minimum tax described in Section 59-7-104 [; or].
593 [(ii) 100% of the total tax liability for the taxable year immediately preceding the
594 current taxable year.]
595 (c) If payment is not made as provided in Subsection (1)(b), the commission shall add
596 [an extension] a penalty as provided in [Section] Subsection 59-1-401 (3)(b)(iii), until the tax is
597 paid [during the period of extension] in full.
598 (2) (a) At the request of the taxpayer, the commission may extend the time for payment
599 of the amount determined as the tax by the taxpayer, or any part of that amount, for a period not
600 to exceed six months from the date prescribed for the payment of the tax.
601 (b) For purposes of Subsection (2)(a), the amount in respect of which the extension is
602 granted shall be paid on or before the date of the expiration of the period of the extension.
603 Section 7. Section 59-9-104 is amended to read:
604 59-9-104. Installment payments -- Person not required to recalculate tax
605 obligation under certain circumstances -- Penalty.
606 (1) A person whose total tax obligation under this chapter for the preceding taxable
607 year was $10,000 or more shall pay the taxes levied under this chapter in quarterly installments.
608 Each installment shall be based on the estimated insurance premiums received, or for the taxes
609 imposed under Section 59-9-103 , upon the estimated total administrative and claims expense
610 incurred during the calendar quarter preceding the date on which that quarterly installment is
611 due. The installments are due on or before April 30, July 31, October 31, and March 31. To
612 the extent installment payments result in an overpayment of the tax obligation under this
613 chapter, the overpayment shall be promptly refunded.
614 (2) If a person files an amended return under this chapter after the original due date for

615 filing the return, not including extensions, the person is not required to recalculate the person's
616 tax obligation under this chapter for purposes of calculating payments of quarterly installments
617 due under this section.
618 [(2)] (3) If an installment is not paid or is underpaid, except as provided in Subsection
619 [(3)] (4), there shall be added a penalty at the rate and in the manner prescribed in Section
620 59-1-401 . The amount of the underpayment is the excess of 80% of the installment shown to
621 be due by an audit of the taxpayer's records over the amount, if any, of the installment paid on
622 or before the last date prescribed for the payment. The taxpayer shall pay the cost of the audit,
623 if any.
624 [(3)] (4) No penalty, interest, or audit charge may be assessed under Subsection [(2)]
625 (3) if the taxpayer pays, for any installment required by this section, at least 27% of the annual
626 tax reported on its annual statement for the preceding taxable year.
627 [(4)] (5) There shall be no interest added to any estimated tax payments subject to a
628 penalty under this section.
629 Section 8. Section 59-10-516 is amended to read:
630 59-10-516. Filing extension -- Payment of tax -- Penalty -- Foreign residency.
631 (1) (a) The commission shall allow a taxpayer an extension of time for filing returns.
632 (b) The extension under Subsection (1)(a) may not exceed six months.
633 (2) (a) Except as provided in Subsection (2)(b), the commission may not impose on a
634 taxpayer during the extension period prescribed under Subsection (1) a penalty under [Section]
635 Subsection 59-1-401 (3)(b)(iii) if the taxpayer pays[,] 90% of the total tax liability for the
636 current taxable year on or before the 15th day of the fourth month following the close of the
637 taxpayer's taxable year[, the lesser of:].
638 [(i) 90% of the total tax reported on the return for the current taxable year; or]
639 [(ii) 100% of the total tax liability for the taxable year immediately preceding the
640 current taxable year.]
641 (b) If a taxpayer fails to meet the requirements of Subsection (2)(a), the commission
642 may apply to the total balance due a penalty as provided in Section 59-1-401 .
643 (3) If any federal income tax return filing is lawfully delayed pending a determination
644 of qualification for federal tax exemption due to residency outside of the United States, a
645 taxpayer shall file a return within 30 days after that determination is made.

646 Section 9. Section 59-10-1501 is enacted to read:
647 Part 15. Estimated Tax Payments Act
648 59-10-1501. Title.
649 This part is known as the "Estimated Tax Payments Act."
650 Section 10. Section 59-10-1502 is enacted to read:
651 59-10-1502. Definitions.
652 As used in this part:
653 (1) "Adjusted state tax liability after withholding" means the difference between:
654 (a) the difference between:
655 (i) the product of:
656 (A) an applicable taxpayer's state taxable income for a taxable year; and
657 (B) the tax rate imposed on the applicable taxpayer's state taxable income under this
658 chapter; and
659 (ii) the sum of:
660 (A) the nonrefundable tax credits and refundable tax credits that the taxpayer claims as
661 allowed for that taxable year on the applicable taxpayer's return filed under this chapter for the
662 taxable year except for a credit described in Subsection (1)(b); and
663 (B) any adjustments the commission makes in accordance with Subsection
664 59-10-1505 (2); and
665 (b) a credit the applicable taxpayer claims on a return as allowed for amounts paid or
666 withheld under:
667 (i) Chapter 6, Mineral Production Tax Withholding, for the taxable year; or
668 (ii) this chapter for the taxable year.
669 (2) "Adjusted state tax liability before withholding" means the difference between:
670 (a) the product of:
671 (i) an applicable taxpayer's state taxable income for a taxable year; and
672 (ii) the tax rate imposed on the applicable taxpayer's state taxable income under this
673 chapter; and
674 (b) the sum of:
675 (i) the nonrefundable tax credits and refundable tax credits that the taxpayer claims as
676 allowed for that taxable year on the applicable taxpayer's return filed under this chapter for the

677 taxable year except for a credit described in Subsection (1)(b); and
678 (ii) any adjustments the commission makes in accordance with Subsection
679 59-10-1505 (2).
680 (3) "Applicable taxpayer" means a calendar year taxpayer or a fiscal year taxpayer.
681 (4) "Calendar year taxpayer" means the following that has a taxable year that begins on
682 January 1 and is for a 12-month period:
683 (a) an individual;
684 (b) an estate; or
685 (c) a trust.
686 (5) "Electronic" is as defined in Section 59-10-514.1 .
687 (6) "Farmer" is as defined in Section 6654, Internal Revenue Code.
688 (7) "Fiscal year taxpayer" means the following that has a taxable year that begins on a
689 day other than January 1 and is for a 12-month period:
690 (a) an individual;
691 (b) an estate; or
692 (c) a trust.
693 (8) "Fisherman" is as defined in Section 6654, Internal Revenue Code.
694 (9) "Required annual payment" means:
695 (a) for an applicable taxpayer except for a farmer or fisherman, an amount equal to the
696 lesser of:
697 (i) 90% of the applicable taxpayer's adjusted state tax liability before withholding for
698 the current taxable year; or
699 (ii) 100% of the applicable taxpayer's adjusted state tax liability before withholding for
700 the previous taxable year, if that taxable year was for a 12-month period and the taxpayer filed
701 a return under this chapter for the taxable year; and
702 (b) for a farmer or fisherman, an amount as defined by the commission in accordance
703 with Section 59-10-1505 .
704 (10) "Required annual payment after withholding" means the difference between:
705 (a) an applicable taxpayer's required annual payment; and
706 (b) a credit the applicable taxpayer claims on a return as allowed for amounts paid or
707 withheld under:

708 (i) Chapter 6, Mineral Production Tax Withholding, for the taxable year; or
709 (ii) this chapter for the taxable year.
710 Section 11. Section 59-10-1503 is enacted to read:
711 59-10-1503. Required annual payment -- Estimated tax payments.
712 (1) For a taxable year beginning on or after January 1, 2011, an applicable taxpayer
713 required to file a return under this chapter for the taxable year shall pay to the commission the
714 required annual payment if on the last day of the applicable taxpayer's taxable year the
715 applicable taxpayer's adjusted state tax liability after withholding for the taxable year will be
716 $1,000 or more, regardless of the applicable taxpayer's filing status.
717 (2) The applicable taxpayer shall make the required annual payment described in
718 Subsection (1) by:
719 (a) deduction and withholding under:
720 (i) Chapter 6, Mineral Production Tax Withholding; or
721 (ii) this chapter;
722 (b) the applicable taxpayer making one or more estimated tax payments to the
723 commission as provided in this part; or
724 (c) a combination of Subsections (2)(a) and (b).
725 (3) (a) If an applicable taxpayer makes an estimated tax payment to the commission,
726 the estimated tax payment shall be made in accordance with this Subsection (3) and Subsection
727 (4).
728 (b) Subject to Subsection (3)(f), if, on or before the last day of the third month of the
729 taxable year, the applicable taxpayer's adjusted state tax liability after withholding will be
730 $1,000 or more on the last day of the applicable taxpayer's taxable year, the applicable taxpayer
731 shall pay:
732 (i) 25% of the required annual payment after withholding on or before the 15th day of
733 the fourth month of the taxable year;
734 (ii) 25% of the required annual payment after withholding on or before the 15th day of
735 the sixth month of the taxable year;
736 (iii) 25% of the required annual payment after withholding on or before the 15th day of
737 the ninth month of the taxable year; and
738 (iv) 25% of the required annual payment after withholding on or before the 15th day of

739 the first month of the year after the taxable year.
740 (c) Subject to Subsection (3)(f), if, on or after the first day of the fourth month of the
741 taxable year but on or before the last day of the fifth month of the taxable year, an applicable
742 taxpayer's adjusted state tax liability after withholding will be $1,000 or more on the last day of
743 the applicable taxpayer's taxable year, the applicable taxpayer shall pay:
744 (i) 50% of the required annual payment after withholding on or before the 15th day of
745 the sixth month of the taxable year;
746 (ii) 25% of the required annual payment after withholding on or before the 15th day of
747 the ninth month of the taxable year; and
748 (iii) 25% of the required annual payment after withholding on or before the 15th day of
749 the first month of the year after the taxable year.
750 (d) Subject to Subsection (3)(f), if, on or after the first day of the sixth month but on or
751 before the last day of the eighth month of the taxable year, an applicable taxpayer's adjusted
752 state tax liability after withholding will be $1,000 or more on the last day of the applicable
753 taxpayer's taxable year, the applicable taxpayer shall pay:
754 (i) 75% of the required annual payment after withholding on or before the 15th day of
755 the ninth month of the taxable year; and
756 (ii) 25% of the required annual payment after withholding on or before the 15th day of
757 the first month of the year after the taxable year.
758 (e) Subject to Subsection (3)(f), if, on or after the first day of the ninth month of the
759 taxable year, an applicable taxpayer's adjusted state tax liability after withholding will be
760 $1,000 or more on the last day of the applicable taxpayer's taxable year, the applicable taxpayer
761 shall pay 100% of the required annual payment after withholding on or before the 15th day of
762 the first month of the year after the taxable year.
763 (f) (i) Except as provided in Subsection (3)(f)(ii), if, after making an estimated tax
764 payment, an applicable taxpayer's adjusted state tax liability after withholding changes, the
765 applicable taxpayer shall proportionally increase or decrease the applicable taxpayer's
766 remaining estimated tax payments for the taxable year so that the balance of the required
767 annual payment after withholding is made in equal installments.
768 (ii) If a taxpayer files an amended return for a taxable year after the original due date
769 for filing the return, not including extensions, the applicable taxpayer is not required to:

770 (A) recalculate the applicable taxpayer's adjusted state tax liability for the taxable year
771 for purposes of this part; or
772 (B) proportionally increase or decrease the applicable taxpayer's estimated tax
773 payments for the taxable year under Subsection (3)(f)(i).
774 (4) (a) An applicable taxpayer that makes an estimated tax payment under this section
775 shall make the estimated tax payment by electronic means.
776 (b) Notwithstanding Subsection (4)(a), the commission may waive the requirement of
777 Subsection (4)(a) if the applicable taxpayer demonstrates to the commission that the
778 requirement of Subsection (4)(a) would cause an undue hardship.
779 Section 12. Section 59-10-1504 is enacted to read:
780 59-10-1504. Penalties -- Commission authority to waive, reduce, or compromise
781 penalty.
782 (1) Subject to Subsection 59-10-1505 (1)(c) and except as provided in Subsection (2),
783 an applicable taxpayer shall pay a penalty as provided in Section 59-1-401 if the applicable
784 taxpayer fails to pay or underpays an estimated tax payment in accordance with this part.
785 (2) Subject to Subsection 59-10-1505 (1)(c), in accordance with the procedures and
786 requirements of Section 59-1-401 , the commission may waive, reduce, or compromise the
787 penalty described in Subsection (1).
788 Section 13. Section 59-10-1505 is enacted to read:
789 59-10-1505. Rulemaking authority -- Taxpayer with a taxable year of less than 12
790 months -- Farmer or fisherman -- Nonresident alien -- Exceptions to penalty --
791 Calculation of adjusted state tax liability.
792 (1) In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, the
793 commission shall make rules:
794 (a) providing for estimated tax payments for a taxpayer with a taxable year of less than
795 12 months;
796 (b) establishing the required annual payment and providing for estimated tax payments:
797 (i) for a:
798 (A) farmer or fisherman; or
799 (B) nonresident alien described in Section 6654(j), Internal Revenue Code; and
800 (ii) consistent with Section 6654, Internal Revenue Code; and

801 (c) providing for the following exceptions to the penalty described in Section
802 59-10-1504 :
803 (i) an exception consistent with Section 6654(e)(2), Internal Revenue Code, for an
804 applicable taxpayer that filed a return under this chapter for the prior taxable year;
805 (ii) an exception consistent with Section 6654(e)(3), Internal Revenue Code;
806 (iii) an exception for an applicable taxpayer's failure to pay the final estimated tax
807 payment for a taxable year consistent with Section 6654(h), Internal Revenue Code; and
808 (iv) an exception consistent with Section 6658(a), Internal Revenue Code.
809 (2) (a) In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act,
810 the commission may make rules:
811 (i) except as provided in Subsection (2)(b), allowing for an adjustment to the
812 calculation of adjusted state tax liability after withholding and adjusted state tax liability before
813 withholding for purposes of this part, by adding or subtracting an amount that is added or
814 subtracted on a return filed under this chapter; and
815 (ii) defining the circumstances that constitute an undue hardship to make an estimated
816 tax payment by electronic means described in Section 59-10-1503 .
817 (b) The commission may not make a rule under Subsection (2)(a)(i) that adjusts the
818 calculation of adjusted state tax liability after withholding or adjusted state tax liability before
819 withholding to include:
820 (i) a nonrefundable tax credit or refundable tax credit that is added or subtracted on a
821 return filed under this chapter;
822 (ii) a contribution made in accordance with Part 13, Individual Income Tax
823 Contribution Act; or
824 (iii) an amount of use tax liability under Chapter 12, Sales and Use Tax Act, reported
825 on a return filed under this chapter.
826 Section 14. Section 59-10-1506 is enacted to read:
827 59-10-1506. Commission to summarize requirements of this part on the
828 commission's website.
829 On or before December 1, 2010, the commission shall provide a summary of the
830 requirements of this part in a conspicuous place on the commission's website.
831 Section 15. Effective date.

832 (1) Sections 59-10-1505 and 59-10-1506 take effect on May 11, 2010.
833
834 (2) The following sections take effect for a taxable year beginning on or after January
835 1, 2011:
836 (a) Section 59-1-401 ;
837 (b) Section 59-1-1408 ;
838 (c) Section 59-5-107 ;
839 (d) Section 59-5-207 ;
840 (e) Section 59-7-504 ;
841 (f) Section 59-7-507 ;
842 (g) Section 59-9-104 ;
843 (h) Section 59-10-516 ;
844 (i) Section 59-10-1501 ;
845 (j) Section 59-10-1502 ;
846 (k) Section 59-10-1503 ; and
847 (l) Section 59-10-1504 .