Filing extension -- Payment of tax -- Penalty -- Foreign residency

# (1)

# (a)

The commission shall allow a taxpayer an extension of time for filing a return.

# (b)

Except as provided in Subsection (1)(c):

(i) for a return filed by a taxpayer except for a partnership, the extension described in Subsection (1)(a) may be up to six months; and

(ii) for a return filed by a partnership, the extension described in Subsection (1)(a) may be up to five months.

# (c)

For a taxable year beginning on or after January 1, 2019, but beginning on or before December 31, 2019, a taxpayer may receive an extension described in Subsection (1)(a) for the time period that ends on the last day of the extension to file the taxpayer's federal income tax return.

# (2)

The commission may not impose a penalty under Section 59-1-401 during the extension period described in Subsection (1) on:

# (a)

a pass-through entity, if the pass-through entity, on or before the return due date described in Section 59-10-514, pays or withholds the tax on behalf of a pass-through entity taxpayer; or

# (b)

a taxpayer other than a taxpayer described in Subsection (2)(a), if the taxpayer pays, on or before the return due date described in Section 59-10-514, an amount equal to the lesser of:

(i)
90% of the total tax reported on the return for the current taxable year; or

(ii)
100% of the total tax liability for the taxable year immediately preceding the current taxable year.

# (3)

If a taxpayer fails to meet the requirements of Subsection (2), the commission may apply to the total balance due a penalty as provided in Section 59-1-401.

# (4)

If a federal income tax return filing is lawfully delayed pending a determination of qualification for a federal tax exemption due to residency outside of the United States, a taxpayer shall file a return within 30 days after that determination is made.