86-1681 - Sales

 

BEFORE THE STATE TAX COMMISSION OF UTAH

_____________________________________

XXXXX,

Petitioner, :

v. : INFORMAL DECISION

:

AUDITING DIVISION OF THE : Appeal No. 86 1681

STATE TAX COMMISSION OF UTAH, :

Respondent. :

_____________________________________

STATEMENT OF CASE

This matter came before the Utah State Tax Commission for an Informal Hearing on XXXXX. James E. Harward, Hearing Officer, heard the matter for the Tax Commission. XXXXX was present. XXXXX, XXXXX, and XXXXX appeared representing the Auditing Division of the Utah State Tax Commission. Petitioner argued that on XXXXX, he purchased an XXXXX Van from XXXXX, XXXXX, Utah; licensed and registered the vehicle in Oregon; was a traveling salesman for XXXXX who travels throughout Utah, Nevada, Idaho, Wyoming, Oregon; has a driver's license issued to him from Oregon; with a residence in the state of Utah where his family resides; has no Utah driver's license since XXXXX or XXXXX; and that the van was used for display of carpets samples and is presently for sale. The automobile does have duel registration in both Utah and in Oregon. The Respondent presented evidence of the department of public safety has a driver's license issued to the Petitioner for the state of Utah. Petitioner filed Utah residence long form tax return. Further, Petitioner travels and has approximately 30 or 50 accounts in Utah, and spends 20% of his travel time in Utah and 80% outside of the state of Utah. The Petitioner is now working for XXXXX since XXXXX.

Apparently no signed out-of-state affidavit exists or can be located. For that reason the Respondent has simply assessed the 10% penalty for negligence without seeking a fraud penalty.

DECISION AND ORDER

Based upon the foregoing, it is the Decision and Order of the Utah State Tax Commission that the Petitioner was a resident of the state of Utah. Therefore, the purchase of the XXXXX Van was subject to sales tax without exemption. The actions of the Auditing Division were proper in assessing sales tax and the 10% penalty in this matter. Therefore, the Petition of the Petitioner is denied.

DATED this 6 day of May, 1987.

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