BEFORE THE STATE TAX
COMMISSION OF UTAH
_____________________________________
XXXXX
Petitioner, : INFORMAL DECISION
v. :
AUDIT DIVISION
OF THE : Appeal No. 87-1160
STATE TAX
COMMISSION OF UTAH, ) Account No. XXXXX
Respondent. :
_____________________________________
STATEMENT OF CASE
This
is an appeal to the Utah State Tax Commission from an assessment of sales tax
on two XXXXX, one XXXXX, and one 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, XXXXX
represented the Respondent. Petitioner
stated that other vehicles were traded in on the two XXXXX and the XXXXX and
that there are no sales taxes due on these vehicles. Petitioner stated that the XXXXX was an out-of-state sale and
that an affidavit has been produced to that effect. Petitioner initially stated that the Respondent made erroneous
assumptions as to where the sales were made in determining the difference
between XXXXX and XXXXX local tax rates, but stated at the hearing that this
was a non-issue. Respondent stated that
the two XXXXX were purchased from the XXXXX to be sold to XXXXX. The vehicles which had previously been
traded in to the Petitioner did not qualify as trade-ins pursuant to Tax
Commission Rule R865-72S. Because these
vehicles had been turned in inventory two to four months prior to the purchase
of the Lincolns, they did not qualify as trade-ins.
FINDINGS
Two
individuals turned in to the Petitioner, a XXXXX. These vehicles were turn in inventory two or three months prior
to those individuals, purchasing two XXXXX from Petitioner. The evidence submitted by the Petitioner to
support its contention that the vehicles turned into inventory were actually
trade-ins on the XXXXX was not dated, incomplete and did not contain sufficient
information to support the contentions of the Petitioners. Therefore, the Tax Commission finds that
Petitioners failed to meet the burden of proof to establish that an actual
exchange of tangible personal property occurred on any purchase of the
automobiles in question.
DECISION AND ORDER
Based
on the foregoing, it is the Decision and Order of the Utah State Tax Commission
that the audit assessment prepared by the Auditing Division is affirmed.
DATED
this 4 day of October, 1988.
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