02-1860

Sales Tax Revocation

Signed 1/28/03

BEFORE THE UTAH STATE TAX COMMISSION

____________________________________

TAXPAYER SERVICES DIVISION ) ORDER OF REVOCATION

OF THE UTAH STATE TAX )

COMMISSION, ) Appeal No. 02-1860

)

Petitioner, ) Account No. #####

)

v. )

) Tax Type: Revocation

RESPONDENT, ) Tax Period(s): 2002

)

Respondent. ) Judge: Davis

_____________________________________

Presiding:

G. Blaine Davis, Administrative Law Judge

Appearances:

For Petitioner: Mr. Tim Bodily, Assistant Attorney General

Mr. Stan Allen, from the Taxpayer Services Division

Ms. Angela Simmons, from the Taxpayer Services Division

For Respondent: No one appeared

STATEMENT OF THE CASE

This matter came before the Utah State Tax Commission for an Initial Hearing pursuant to the provisions of Utah Code Ann. §59-1-502.5 on January 22, 2003. Although duly notified of the date, time and location of the hearing, Respondent failed to appear.

This matter is before the Utah State Tax Commission due to the Request for a Revocation of Sales Tax License, filed by Petitioner on December 18, 2002. Petitioner requests revocation of sales tax license number ##### pursuant to Utah Code Ann. '59-12-106(1) on the grounds that Respondent has failed to comply with the laws of the Utah Sales Tax Act.

Respondent has not filed a sales tax return or paid amounts due after the third quarter of 2000. Therefore, the Division has made estimates of the amount of sales tax due, and estimates the current balance, including penalties and interest, is $$$$$. Respondent is still open for business. In addition, the owner of Respondent has not filed a personal income tax return for several years, although revocation of any sales tax license is not based thereon. The above amount does not include periods from and after June 2002.

Respondent did not attend the Initial Hearing in this matter, so the Commission does not have any explanation from Respondent concerning the delinquency.

APPLICABLE LAW

The Commission shall, on a reasonable notice and after a hearing, revoke the license of any person violating any provisions of the Sales Tax Act, and no license may be issued to such person until the taxpayer has complied with the requirements of the Sales Tax Act. Any person required by the Sales Tax Act to collect sales or use tax within this state without having secured a license to do so, is guilty of a criminal violation as provided in Section 59-1-401. (Utah Code Ann. '59-12-106(1).)

DECISION AND ORDER

This account is substantially delinquent and has been for many years in violation of the provisions of the Sales Tax Act. There are more than sufficient grounds to require revocation of the sales tax license. In addition, the Commission issues an Order of Default against Respondent for failing to appear at the Initial Hearing.

Based upon the foregoing, the Utah State Tax Commission hereby revokes sales tax license number ##### for failure to comply with the provisions of the Sales Tax Act.

This decision does not limit a party's right to a Formal Hearing. However, this Decision and Order will become the Final Decision and Order of the Commission unless any party to this case files a written request within thirty (30) days of the date of this decision to proceed to a Formal Hearing. Such a request shall be mailed to the address listed below and must include the Petitioner's name, address, and appeal number:

Utah State Tax Commission

Appeals Division

210 North 1950 West

Salt Lake City, Utah 84134

Failure to request a Formal Hearing will preclude any further appeal rights in this matter.

DATED this 28^th day of January , 2003.

____________________________________

G. Blaine Davis

Administrative Law Judge

BY ORDER OF THE UTAH STATE TAX COMMISSION.

The Commission has reviewed this case and the undersigned concur in this decision.

DATED this 28^th day of January , 2003.

Pam Hendrickson R. Bruce Johnson

Commission Chair Commissioner

Palmer DePaulis Marc B. Johnson

Commissioner Commissioner

02-1860

Sales Tax Revocation

Signed 4/28/03

BEFORE THE UTAH STATE TAX COMMISSION

____________________________________

TAXPAYER SERVICES DIVISION ) FINDINGS OF FACT,

OF THE UTAH STATE TAX ) CONCLUSIONS OF LAW,

COMMISSION, ) AND FINAL DECISION

)

Petitioner, )

)

v. ) Appeal No. 02-1860

) Account No. #####

RESPONDENT, )

) Tax Type: Sales Tax

)

) Judge: Davis

Respondent. )

_____________________________________

Presiding:

G. Blaine Davis, Administrative Law Judge

Appearances:

For Petitioner: Mr. Tim Bodily, Assistant Attorney General

Ms. Angela K. Simmons, Tax Compliance Agent

For Respondent: RESPONDENT REP

STATEMENT OF THE CASE

This matter came before the Utah State Tax Commission for a Formal Hearing on April 9, 2003. Based upon the evidence and testimony presented at the hearing, the Tax Commission hereby makes its:

FINDINGS OF FACT

1. This matter is before the Utah State Tax Commission due to the request for the revocation of sales tax license filed by Petitioner on January 22, 2003. Petitioner requests revocation of sales tax license no. ##### pursuant to Utah Code Annotated §59-12-106(1) on the grounds Respondent has failed to comply with the laws of the Utah Sales Tax Act.

2. Respondent has been delinquent in the filing of its sales tax returns from and after the first quarter of 2000. Respondent did file its sales tax for the third quarter of 2000, but did not make the payments for the amount of sales tax. With that one exception, Respondent has not filed any sales tax returns since the first quarter of 2000. Respondent is still open for business and operating the business.

3. Petitioner has contacted Respondent several times and has requested the filing of the sales tax returns and payments on the account, but the Respondent continues to fail to file the returns or make payments thereon. Petitioner did file a garnishment on some assets of the business, but received very few funds.

4. As of the date of the hearing, it is estimated that Respondent owes an amount of $$$$$, although most of those amounts are based upon estimates because of the non-filing of returns.

5. Respondent represented that the non-filing and non payment were because of several health problems and because of a need to move his office building. However, the move of his office occurred in July 2001, and his major health problems occurred more than several years ago.

Respondent represented that he will attempt to pay his current taxes on time, but he did not make any specific payments and did not present any plan which would be feasible or which might allow him to successfully complete paying the current balance. Further, Respondent has not made any serious attempts to get the sales tax returns filed.

6. It is also noted that Respondent has not filed an income tax return since 1994, but that is not being used as a basis for revocation of his sales tax license.

APPLICABLE LAW

“…The Commission shall, on a reasonable notice and after a hearing, revoke the license of any person violating any provisions of this chapter and no license may be issued to such person until the taxpayer has complied with the requirements of this chapter…” Utah Code Ann. §59-12-106(1).

“…Any person required by the Sales Tax Act to collect sales or use tax within this state without having a secured a license to do so, is guilty of a criminal violation as provided in Section 59-1-401. (Utah Code Ann. §59-12-106(1).)

DECISION AND ORDER

Based upon the foregoing, the Tax Commission finds that this account is substantially delinquent and has been for years in violation of the provisions of the Sales Tax Act. Therefore, the Commission hereby revokes sales tax license #####. It is so ordered.

DATED this 28^th day of April , 2003.

____________________________________

G. Blaine Davis, Administrative Law Judge

BY ORDER OF THE UTAH STATE TAX COMMISSION:

The Commission has reviewed this case and the undersigned concur in this decision.

DATED this 28^th day of April , 2003.

Pam Hendrickson R. Bruce Johnson

Commission Chair Commissioner