THE STATE TAX COMMISSION OF
UTAH
_____________________________________
XXXXX., )
:
Petitioner, ) FINDINGS OF FACT,
: CONCLUSIONS
OF LAW
v. ) AND FINAL DECISION
:
)
COLLECTION
DIVISION OF THE : Appeal No. 85 0138
STATE TAX
COMMISSION OF UTAH, ) Acct. No. XXXXX
:
Respondent. )
_____________________________________
STATEMENT OF CASE
Petitioner
appealed to the Utah State Tax Commission from an informal decision dated
XXXXX, which decision denied Petitioner's request for waiver of penalty on withholding
tax account No. XXXXX for the fourth quarter of XXXXX. A formal hearing was scheduled for XXXXX in
the offices of the Utah State Tax Commission.
Petitioner did not appear for that hearing but filed additional
information in a letter dated XXXXX.
Therefore the Tax Commission decides this matter based on the materials
in the file.
FINDINGS
l.
The Utah State Withholding Tax liability for the fourth quarter of XXXXX
amounted to $$$$$.
2.
On XXXXX, the Petitioner issued check #XXXXX in the amount of $$$$$ to the Utah
State Tax Commission. This check was
payment for Petitioner's fourth quarter of XXXXX payroll tax deductions.
3.
Check #XXXXX was mailed from the Petitioner's office in XXXXX, Pennsylvania, on
XXXXX.
4.
The check was returned to Petitioner on XXXXX, because of insufficient postage.
5.
Petitioner remailed the check to the Utah State Tax Commission on XXXXX.
6.
On XXXXX, Petitioner received a notice and demand for payment of tax from Utah
State Tax Commission, which assessed a penalty of $$$$$ and interest of $$$$$
because the withholding tax for the fourth quarter of XXXXX was not timely
filed and paid.
7.
Petitioner paid the interest due of $$$$$ on XXXXX and requested a waiver of
the penalty. On XXXXX the Utah State
Tax Commission in an informal decision denied Petitioner's request for
waiver. Petitioner then appealed to
formal hearing.
CONCLUSIONS OF LAW
Respondent
properly assessed a 5% per month penalty pursuant to Utah Code Ann. Section
59-14A-89(a) (1953).
Petitioner
was negligent in failing to put sufficient postage on the mail containing the
return and the check. However, the Tax
Commission, in its discretion, hereby waives the penalty because of
Petitioner's prompt action in remailing the check on the same day that the
check was returned to Petitioner for insufficient postage.
FINAL DECISION
It
is the Decision and Order of the Utah State Tax Commission that the penalty on
withholding tax account No. XXXXX for the fourth quarter of XXXXX be waived.
The
Collection Division of the Utah State Tax Commission is hereby ordered to
adjust its records in accordance with this decision.
DATED
this 1 day of October, 1987.
BY ORDER OF THE STATE TAX COMMISSION OF UTAH.
ABSENT
R. H. Hansen Roger
O. Tew
Chairman Commissioner
Joe B.
Pacheco G.
Blaine Davis
Commissioner Commissioner