BEFORE THE STATE TAX
COMMISSION OF UTAH
_____________________________________
XXXXX
Petitioner, :
v. : INFORMAL DECISION
COLLECTION
DIVISION OF THE : Appeal No. 87-1113
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 withholding tax account No. XXXXX for the 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 Tax
Commission. XXXXX represented the
Petitioner. Petitioner stated that for
the XXXXX, the check was timely filed with the Tax Commission but the return
was mailed to the XXXXX. The Tax
Commission did not deposit the check but waited until the return was received
before making the deposit on XXXXX.
Petitioner stated that she was told by an employee of the Tax Commission
that it is Tax Commission policy to cash the check immediately even if there is
a problem with the return. Penalty was
reduced to $$$$$, but Petitioner requests a waiver of the entire amount. Respondent's records confirm that the check
was timely filed with the Tax Commission but that the report was sent to the
XXXXX in error. The Tax Commission held
the check until the report was received.
FINDINGS
Respondent
properly assessed a penalty in this matter pursuant to Utah Code Ann.
§59-1-401(1) (1953). This is a 10%
penalty but has been reduced to $$$$$.
The Tax Commission finds no justification to reduce the penalty
further. Interest was assessed in
error. The Tax Commission timely
received the check in the amount of taxes due for the XXXXX and was not denied
the use of the money because of any action on Petitioner's part. Rather, it was a Tax Commission decision to
hold the check instead of cashing it.
DECISION AND ORDER
It
is the Decision and Order of the Utah State Tax Commission that the penalty on
withholding tax account No. XXXXX for the XXXXX shall remain at $$$$$. Interest shall be reduced to $$$$$. The Collection Division of the Utah State
Tax Commission is hereby ordered to adjust its records in accordance with this
decision.
DATED
this 11 day of December, 1987.
BY ORDER OF THE STATE TAX COMMISSION OF UTAH.
R. H. Hansen Roger
O. Tew
Chairman