BEFORE THE STATE TAX
COMMISSION OF UTAH
_____________________________________
XXXXX
Petitioner, :
v. : INFORMAL DECISION
AUDITING
DIVISION OF THE : Appeal No. 87-1888
UTAH STATE TAX COMMISSION, : Account
No. XXXXX
Respondent. :
_____________________________________
STATEMENT OF CASE
This
is an appeal to the Utah State Tax Commission from a decision of the Auditing
Division of the Utah State Tax Commission (Respondent) to deny a request for
refund of sales tax for the periods of XXXXX.
An informal hearing was held on XXXXX in the offices of the Utah State
Tax Commission. Jerry E. Larrabee, Tax
Appeals Supervisor, heard the matter for the Tax Commission. XXXXX represented the Petitioner.
Petitioner
stated that he leased equipment through XXXXX during the periods in
question. Petitioner then re-leased the
equipment to restaurants. Petitioner
was charged sales tax on the leases from XXXXX. Petitioner also charged its customers sales tax on the same
equipment. Petitioner stated that XXXXX
told him that they had to collect the sales tax. XXXXX later took over XXXXX and said that Petitioner did not have
to pay sales tax to XXXXX. Petitioner stated that he had double paid the tax
while leasing from XXXXX and requested the amount back that has been double
paid.
FINDINGS
Petitioner
did not need to pay sales tax to XXXXX since he was leasing the equipment to
his customers and collecting sales tax from them. Utah Code Ann. §59-12-110(2) (1953) permits a credit or refund on
a tax which has been paid more than once or which has been erroneously
collected only if the taxpayer timely files the claim within three years from
the date of overpayment.
Petitioner
filed claims for credit for the periods XXXXX for account Nos. XXXXX and filed
a claim for credit for XXXXX for account No. XXXXX. All claims were filed on XXXXX.
A credit is only permissible for those periods whose statutory due dates
are within the three year period immediately preceding XXXXX. XXXXX is the first quarter whose due date
lies within the statute of limitations.
DECISION AND ORDER
Based
on the foregoing, it is the Decision and Order of the Utah State Tax Commission
that Petitioner's request for a credit of sales tax on account Nos. XXXXX be
granted commencing with XXXXX. No
credit is possible for quarters prior to XXXXX.
The
Auditing Division of the Utah State Tax Commission is hereby ordered to adjust
its records in accordance with this decision.
DATED
this 12 day of May, 1988.
BY ORDER OF THE STATE TAX COMMISSION OF UTAH.
ABSENT
R. H. Hansen Roger
O. Tew
Chairman Commissioner
Joe B.
Pacheco G.
Blaine Davis
Commissioner Commissioner