87-0582 - Sales

 

BEFORE THE STATE TAX COMMISSION OF UTAH

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UTAH STATE TAX COMMISSION :

COLLECTION DIVISION, : INFORMAL DECISION

Petitioner, : SALES TAX REVOCATION

v. : Appeal No. 87-0582

XXXXX ) Sales Tax No. XXXXX

Respondent. :

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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 appeared representing the Respondent. XXXXX, Tax Compliance Agent, appeared representing the Petitioner. Petitioner presented evidence that showed that a total liability is outstanding in the sum of $$$$$ for the first quarter of XXXXX through the third quarter of XXXXX. The account was assigned to the compliance agent in XXXXX. Attempts have been made to enter into a repayment agreement which is satisfactory to the Tax Commission as well as to the taxpayer. No satisfactory agreement was made. The taxpayer has not been making payments since XXXXX. The Respondent recognized that there is some arrears and candidly stated that they were not in a position to contest the amount owed. Questions were raised as to credits given for the second quarter of XXXXX, and the second quarter of XXXXX. The compliance agent indicated that those credits and adjustments have, in fact, been made to the account.

DECISION AND ORDER

It is the Decision and Order of the Utah State Tax Commission that license No. XXXXX is hereby revoked. The Commission arrives at this conclusion after reviewing the facts and evidence presented at the hearing. Primarily the Commission is concerned with the extended period of delinquencies and the large balance due. The $$$$$ that the taxpayer is in arrears is money which belongs to the State of Utah which for whatever reason the taxpayer has used for its own personal use. The Tax Commission does not take such a violation of the Utah Code lightly, nor does it feel that under the circumstances the taxpayer should be allowed to remain in business based on a poor past history of filing and paying, and on his current financial position of insolvency. It is hereby the order of the Utah State Tax Commission that based upon the evidence presented at the hearing that License No. XXXXX is hereby revoked for failure to comply with the laws of the State of Utah for the collection and payment of sales tax. 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 23 day of July, 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

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