86-1703 - Sales

 

BEFORE THE STATE TAX COMMISSION OF UTAH

_____________________________________

UTAH STATE TAX COMMISSION,

COLLECTION DIVISION, :

:

Petitioner, :

:

v. : INFORMAL DECISION

:

XXXXX, : Appeal No. 86 1703

: Sales Tax No. XXXXX

Respondent. :

_____________________________________

STATEMENT OF CASE

This matter came before the Utah State Tax Commission for an informal hearing on the XXXXX day of XXXXX. James E Harward, Hearing Officer, heard the matter for and in behalf of the Tax Commission. XXXXX appeared representing the petitioner. XXXXX appeared representing the respondent. The Petitioner presented evidence that several attempts were made to resolve the account prior to the request for the revocation of the license. Several promises were made and payment arrangements entered into which were not kept. In addition, current returns were not being filed and paid. The original hearing schedule on XXXXX was continued pending a re-payment arrangement. That re-payment arrangement was not kept. There is presently pending a balance due of approximately $$$$$ for the fourth quarter, XXXXX. The respondent acknowledged that the fourth quarter is late and not paid, and the first quarter is due by the first of the month. The respondent indicated that approximately $$$$$ has been paid just recently with a balance of approximately $$$$$ plus the two unfiled quarters. Every attempt is being made by the petitioner to collect and pay the sales tax.

DECISION AND ORDER

After reviewing the evidence presented in the written documentation submitted the Commission makes the following determinations:

(1) Taxpayer was issued a sales tax license No. XXXXX.

(2) Taxpayer was responsible for the collection of sales taxes on the sale of his goods and services and was required to remit taxes to the Utah State Tax Commission.

(3) Taxpayer did not properly remit the full amount of sales tax collected each quarter and in many instances filed late or did not file quarterly returns.

Utah State Tax Commission is vested with the authority to revoke the license of "any person violating any provisions of this [Sales Tax] Act . . . .". Utah Code Ann. §59-15-3 (1953. as amended). Therefore it is hereby decided:

(1) That taxpayers sales tax license No. XXXXX is hereby revoked for failure to comply with the provisions of the Utah State Sales Tax Act.

(2) Taxpayer is ordered to close the doors of his business and deliver its sales tax license to the Utah State Tax Commission. Failure to comply with this order may result in criminal prosecution being taken against the taxpayer.

(3) The revocation of taxpayers sales tax license is effective immediately, unless the taxpayer requests in writing, within three working days from the receipt of this decision, that the commissioner stay the execution of this order for thirty days provided the taxpayer is able to prove that the following conditions have been met: (a) A bond has been posted in the amount of the tax penalty and interest that is currently delinquent and due. The bond must be in the form of cashiers checks, certificate of deposit, surety bond, or cash;

(b) An account has been opened at a local financial institution by the end of the first banking day following the receipt of this decision. The account must name the taxpayers company and the Utah State Tax Commission as co-owners. In addition, the taxpayer must make weekly deposits into the account in the amount of the current accruing tax liability.

DATED this 20 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