86-0204 - Sales and Use

BEFORE THE STATE TAX COMMISSION OF UTAH

_____________________________________

XXXXX

:

Petitioner, )

:

v. ) INFORMAL DECISION

:

)

COLLECTION DIVISION OF THE : Appeal No. 86 0204

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 sales and use tax account No. XXXXX for the second quarter of XXXXX. An Informal Hearing was held on XXXXX, in the offices of the Utah State Tax Commission. XXXXX, Tax Appeals Supervisor, heard the matter for the Commission. XXXXX represented the Petitioner.

The tax due for the second quarter of XXXXX was $$$$$ and was due on July 30, XXXXX. Respondent's records indicate that the tax was paid on August 2, XXXXX, three days late. Respondent assessed a 10% penalty of $$$$$ and interest of $$$$$ as of August 6, XXXXX.

Petitioner stated that the check and envelope were prepared but the secretary misplaced it. The Petitioner discovered the envelope after the deadline had passed and hand delivered it to the Tax Commission. Petitioner requests a waiver of penalty and interest.

FINDINGS

Respondent properly assessed a 10% penalty pursuant to Utah Code Ann. § 59-15-8(1953). However, in consideration of the fact that Petitioner was only three days late and that Petitioner, otherwise, has a good filing history, the Tax Commission, in its discretion, reduces the penalty to $$$$$.

Interest was properly assessed on this account since the Tax Commission was denied the use of the money for the period in which the return was late.

DECISION AND ORDER

It is the Decision and Order of the Utah State Tax Commission that penalty on sales and use tax account No. $$$$$ for the second quarter of XXXXX be reduced to $$$$$.

The assessment of interest on this account is hereby affirmed.

The Collection Division of the Utah State Tax Commission is hereby ordered to adjust its records in accordance with this decision.

DATED this 9 day of December, 1986.

BY ORDER OF THE STATE TAX COMMISSION OF UTAH.

R. H. Hansen Roger O. Tew

Chairman Commissioner

Joe B. Pacheco G. Blaine Davis

Commissioner Commissioner