BEFORE THE STATE TAX
COMMISSION OF UTAH
_____________________________________
XXXXX
Petitioner, :
v. : INFORMAL DECISION
:
COLLECTION
DIVISION OF THE : Appeal No. 88-0603
STATE TAX
COMMISSION OF UTAH, ) Acct. No. XXXXX
Respondent. :
_____________________________________
STATEMENT OF CASE
Pursuant
to Utah Code Ann. § 63-466-51 (l)(b) no hearing was held. A review of Petitioner's file served as the
evidentiary basis for this decision.
Petitioner,
XXXXX, applied for and received a sales tax license for use in his part-time
business. Because of an incorrect
address, XXXXX did not receive his tax forms; subsequently, he failed to file
his first sales tax return and was assessed a late filing fee of $$$$$. Petitioner has since abandoned his part-time
business and canceled his sales tax license.
Because Petitioner neither completed any work nor collected any tax
through his business, he now requests a waiver of that penalty.
FINDINGS
Utah
Code59-12-107 (8) states that sales tax reports are due the last day of the
month following each calendar quarter.
The penalty for failure to file a no tax due return within this time
frame, as stipulated in Utah Code59-1-401 (l)(b), is $$$$$. The Petitioner's failure to file was in
direct violation of the Utah Tax Code and the assessment of the $$$$$ penalty
was valid.
However,
Utah Code Ann. §9-1-401(7) authorizes the Commission to waive such penalties
upon a showing of reasonable cause.
Because this was Petitioner's first filing experience, no tax was due,
and Petitioner had not yet received his return forms, Petitioner has shown
reasonable cause.
DECISION AND ORDER
Based
on the foregoing facts, it is the Decision and Order of the Utah State Tax
Commission that the request of a waiver of penalty be granted.
DATED
this 26 day of August, 1988.
BY ORDER OF THE STATE TAX COMMISSION OF UTAH.
R. H. Hansen Roger
O. Tew