BEFORE THE STATE TAX
COMMISSION OF UTAH
_____________________________________
XXXXX
Petitioner, : INFORMAL DECISION
v. :
COLLECTION
DIVISION OF THE : Appeal No. 87-0050
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 XXXXX. An Informal Hearing was held on XXXXX, in
the offices of the Utah State Tax Commission.
David J. Angerhofer, Hearing Officer, heard the matter for the
Commission. XXXXX represented the
Petitioner. Petitioner stated that
there was no intent to evade taxes but that the company had financial
difficulties.
Petitioner
has paid the interest but asserted that there would be no useful purpose in
assessing the penalty. Petitioner stated
that the liability was due to returned checks which he tried to respond
to. Petitioner noted that he deposits
the tax in a separate account now and that he has had a prior good record.
FINDINGS
Regardless
of the financial situation in which a vendor finds himself in, there should
never be any difficulty in paying sales tax.
He is "deemed to be a person charged with receipt, safe keeping,
and transfer of public money." Utah Code Ann. 59-15-5(1) (1953) (new
Section 59-12-107(1)(b)). Failure to
properly collect, hold and remit sales tax subjects the vendor to penalties and
interest pursuant to Utah Code Ann. 59-15-8 (1953) (new Section 59-12-110).
Petitioner had the burden of proof to establish that Respondent assessed the
penalty and interest in error.
Petitioner failed to meet this burden of proof. Respondent properly
assessed the penalty and interest when Petitioner failed to timely remit the
taxes due and owing.
DECISION AND ORDER
It
is the Decision and Order of the Utah State Tax Commission that Petitioner's
request for waiver of penalty and interest be denied. The assessment of penalty and interest by the Collection Division
of the Utah State Tax Commission is hereby affirmed.
DATED
this 1 day of September, 1987.
BY ORDER OF THE STATE TAX COMMISSION OF UTAH.
R. H. Hansen Roger
O. Tew
Chairman Commissioner