BEFORE THE STATE TAX
COMMISSION OF UTAH
_____________________________________
XXXXX,
)
Petitioner, :
)
v. : INFORMAL DECISION
)
:
COLLECTION
DIVISION OF THE ) Appeal No. 86 0062
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 penalty and interest
on Corporate Franchise Account No. XXXXX for the fiscal year XXXXX. An Informal Hearing was held on August 15,
XXXXX, in the offices of the Utah State Tax Commission. XXXXX, Hearing Officer, heard the matter for
the Commission. XXXXX represented the
Petitioner.
Petitioner
had employed the firm of XXXXX, Certified Public Accountants, to prepare its
franchise tax return based on an audit.
All work papers were in the offices of XXXXX. They were preparing the final draft of the return which was due
on February 15, XXXXX, when on February 5, XXXXX, a fire destroyed the offices
of XXXXX, and all papers within. The
firm of XXXXX had to start over with a new audit, prepare new work papers,
etc., before it could file Petitioner's return on April 22, XXXXX.
Respondent
assessed a penalty of $$$$$ and interest of $$$$$ for a total of $$$$$. The interest has been properly assessed
since Petitioner had the use of the money from the time the return was due
until the time the Tax
Commission actually received payment. However, the Tax Commission waives the
penalty on account No. XXXXX, since the circumstances were beyond the
Petitioner's control and since the fire occurred so close to the date that the
return was due that Petitioner could not have reasonably employed another firm
to prepare its return.
DECISION AND ORDER
It
is the Decision and Order of the Utah State Tax Commission that penalty be
waived on account No. XXXXX for the fiscal year XXXXX, but that the interest be
assessed on this account.
The
Collection Division of the Utah State Tax Commission is ordered to adjust its
records in accordance with this Decision.
DATED
this 7 day of October of 1986.
BY ORDER OF THE STATE TAX COMMISSION OF UTAH.
R. H. Hansen Roger
O. Tew
Chairman Commissioner
ABSENT
Joe B.
Pacheco G.
Blaine Davis
Commissioner Commissioner
* Since the hearing on this case,
Chairman Mark K. Buchi has resigned and R. H. Hansen has been appointed as the
Chairman for the Commission. G. Blaine
Davis has been appointed as a Commissioner and has been duly advised of the
facts and circumstances regarding this case and is qualified to sign this
decision.