87-0581 - Sales

 

BEFORE THE STATE TAX COMMISSION OF UTAH

_____________________________________

COLLECTION DIVISION OF THE :

UTAH STATE TAX COMMISSION : INFORMAL DECISION

v. : SALES TAX LICENSE

XXXXX )

XXXXX ) REVOCATION

: Appeal No. 87-0581

: Sales Tax License No. XXXXX

_____________________________________

STATEMENT OF CASE

This is a decision from an Informal Hearing regarding the sales tax license revocation of XXXXX (Respondent) requested by the Collection Division of the Utah State Tax Commission (Petitioner). The sales tax license revocation 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. XXXXX, Attorney at Law, and XXXXX represented the Respondent. Petitioner presented evidence that the liability period in question is from XXXXX. Petitioner stated that during this period only three quarters were paid timely and further noted that the XXXXX has not been filed. Respondent stated that the Tax Commission failed to follow up on a legal obligation when a lien was filed in XXXXX. Respondent proposed a payment of $$$$$ per month, the money to come from a business which he is setting up on the side to sell insurance. Petitioner noted that he had met with the Respondent in XXXXX to work things out, but that two years later the liability has doubled.

FINDINGS

1. Respondent was issued a sales tax license No. XXXXX.

2. Respondent was responsible for the collection of sales taxes on the sale of his goods and services and was required to remit these taxes to the State Tax Commission. Utah Code Ann.59-12-107 (1953).

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 a license of "any person violating any provisions of this chapter [Sales and Use Tax Act] . . . ." Utah Code Ann.59-12-106 (1953).

DECISION AND ORDER

Therefore it is hereby decided:

1. That Respondent's sales tax license No. XXXXX is hereby revoked for failure to comply with the provisions of the Utah Sales and Use Tax Act, Utah Code Ann.59-12-107 (1953).

2. That Respondent is ordered to close the doors of XXXXX to business 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 the Respondent requests in writing, within three working days from receipt of this decision, that the Commission stay the execution of this order for thirty 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 1 day of October, 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