BEFORE THE STATE TAX
COMMISSION OF UTAH
_____________________________________
UTAH STATE TAX COMMISSION :
COLLECTION
DIVISION, : INFORMAL DECISION
Petitioner, : SALES TAX LICENSE REVOCATION
v. : Appeal No. 87-0437
XXXXX ) Sales Tax No. XXXXX
Respondent. :
_____________________________________
STATEMENT OF CASE
An
Informal Hearing was held on XXXXX.
James E. Harward, Hearing Officer, heard the matter for the Utah State
Tax Commission. XXXXX represented the
Petitioner. XXXXX, Attorney,
represented Respondent. XXXXX also
appeared on Respondent's behalf. XXXXX
testified that Respondent owes $$$$$ for the liability periods XXXXX. XXXXX also said that Respondent has not
filed or paid its first quarter, XXXXX, reports and taxes. She said that the money collected as sales
tax is being used for other purposes and that Respondent did not have any
financial statements. Although
bookkeeping records had been brought in, no loan money is available to
Respondent, and Respondent is in a difficult financial situation. Petitioner therefore, recommended revocation
of Respondent's sales tax license.
Respondent indicated that financial statements would be provided and
that sales tax had been collected but not paid to the Tax Commission because it
was swallowed up in last year's collapse.
The sales tax money collected was used to operate the business and if
Respondent's sales tax license were revoked it would not be in the best
interest of Respondent or the State.
After reviewing the evidence presented and the written documentation
submitted, the Commission makes the following determinations:
1.
Respondent was issued a sales tax license, No. XXXXX, in care of XXXXX, doing business
as XXXXX, of which XXXXX was the principal.
Respondent was a corporation at the time.
2.
Respondent was responsible for the collection of sales taxes on the sale of its
goods and services and was required to remit these taxes to the Utah State Tax
Commission. Utah Code Ann. 59-15-5
(Supp. 1986).
3.
Respondent did not properly remit the full amount of sales tax collected each
quarter.
4.
The Utah State Tax Commission is vested with the authority to revoke the
license of "any person violating any provision of this [Sales Tax] Act. .
." Utah Code Ann. 59-15-3 (Supp.
1986).
DECISION AND ORDER
Based
on the foregoing, it is the Decision and Order of the Utah State Tax
Commission:
1.
That Respondent's sales tax license, No. XXXXX, is hereby revoked for failure
to comply with the provisions of the Utah Sales Tax Act, Utah Code Ann.
59-15-5.
2.
That Respondent is ordered to close the doors of XXXXX in care of XXXXX, and
XXXXX, and to 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 Respondent.
3.
The revocation of Respondent's sales tax license is effective immediately,
unless Respondent requests in writing, within three working days from receipt
of this decision, that the Commission stay the execution of this order for
thirty (30) days, provided the Respondent 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 a cashier's check, certificate of deposit, surety bond,
or cash; and
b.
An account has been opened in a local financial institution by the end of the
first banking day following receipt of this decision. The account must name the Respondent's company and the Utah State
Tax Commission as co-owners. In
addition, the Respondent must make weekly deposits into the account in the
amount of the current accruing sales tax liability.
DATED
this 19 day of June, 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