BEFORE THE STATE TAX COMMISSION
OF UTAH
_____________________________________
XXXXX
:
Petitioner, )
:
v. ) INFORMAL DECISION
:
)
COLLECTION
DIVISION OF THE : Appeal No. 86 0004
STATE TAX
COMMISSION OF UTAH ) Acct. No. XXXXX
:
Respondent. )
____________________________________
STATEMENT OF CASE
This
is an appeal to the Utah State Tax Commission from a decision of the Collection
Division of the Utah State Tax Commission (Respondent) to assess a penalty and
interest on Account No. XXXXX for the fiscal year ending XXXXX. XXXXX (Petitioner) asserts that the
franchise tax return was timely mailed on XXXXX. Respondent asserts that Petitioner filed late without an extension,
and Respondent assessed a penalty of $$$$$ and interest of $$$$$ for a total of
$$$$$.
An
Informal Hearing was held on XXXXX, in the offices of the Utah State Tax
Commission. XXXXX, Hearing Officer,
heard the matter for the Tax Commission.
XXXXX represented the Petitioner.
Respondent was not represented other than through its pleadings.
FINDINGS
1. Given the small amount of the tax in
question ($$$$$) the $$$$$ penalty assessed by Respondent amounts to a penalty
in excess of 100%. This is an
inequitable penalty since no fraud has ever been alleged.
2. Check No. XXXXX was prepared by Petitioner
on XXXXX in the amount of $$$$$, the tax liability of Account XXXXX for the
fiscal year ending XXXXX. Check No.
XXXXX was not deposited until XXXXX.
Check Numbers XXXXX and XXXXX were also prepared by Petitioner on
XXXXX. The latter two checks along with
returns for Account No. XXXXX and XXXXX were timely filed with Respondent.
3. Petitioner has met his burden of proof to
show that the franchise tax return on Account No. XXXXX was timely filed for
the fiscal year ending XXXXX.
DECISION AND ORDER
Based
on the foregoing facts and evidence presented at the Hearing, it is the
decision of the Commission that the penalty and interest be waived.
Respondent
is hereby ordered to adjust its accounts to reflect this decision.
DATED
this 28 day of May of 1986.
BY ORDER OF THE STATE TAX COMMISSION OF UTAH.
Mark K.
Buchi R.
H. Hansen
Chairman Commissioner
Roger O. Tew Joe
B. Pacheco
Commissioner Commissioner