BEFORE THE STATE TAX COMMISSION OF UTAH
COLLECTION DIVISION OF THE :
UTAH STATE TAX COMMISSION, : INFORMAL DECISION
Petitioner : SALES TAX REVOCATION
XXXXX ) Appeal No. 87-3124
Respondent. : Sales Tax No. XXXXX
STATEMENT OF CASE
This is a decision from a sales tax license revocation hearing for XXXXX, sales tax license No. 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 presented evidence that the liability periods in question are the fourth quarter of XXXXX, and the first three quarters of XXXXX. Petitioner noted that promises to pay had been broken. Petitioner recommended revocation of license on the basis of the delinquency, the inability to retire the balance owing, and the inability to remain current with regards to accruing liability.
Respondent admitted that the business was not a viable business and offered no evidence that would indicate that the liability could be paid off or that the business would not incur additional liability in the future.
Respondent was issued sales tax license No. XXXXX on XXXXX. Respondent was responsible for the collection of sales taxes on the sale of goods and services and was required to remit these taxes to the State Tax Commission. Utah Code Ann. §59-12-107 (1953). Respondent did not properly remit the full amount of sales tax collected each quarter. The Utah State Tax Commission is vested with the authority to revoke the 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
Based on the foregoing, it is the Decision and Order of the Utah Tax Commission that:
1. 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. 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 Respondent. The revocation of Respondent's sales tax license is effective immediately unless the Respondent requests in writing, within three (3) 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 27 day of January, 1988.
BY ORDER OF THE STATE TAX COMMISSION OF UTAH.
R. H. Hansen Roger O. Tew
Joe B. Pacheco G. Blaine Davis