BEFORE THE STATE TAX
COMMISSION OF UTAH
_____________________________________
XXXXX
Petitioner, :
v. : INFORMAL DECISION
:
COLLECTION
DIVISION OF THE : Appeal No. 88-0648
UTAH STATE TAX COMMISSION, : Acct.
No. XXXXX
Respondent. :
_____________________________________
STATEMENT OF CASE
Pursuant
to Utah Code Ann. § 63-466-5(1)(b), no hearing was held. Petitioner's file
served as the evidentiary basis for this decision.
Petitioner
was in the start up phase of business during the second quarter of XXXXX, and
opened its doors for business on XXXXX. Petitioner failed to file a timely
sales tax return for the second quarter of XXXXX and was assessed a late filing
and payment penalty and interest.
XXXXX,
Manager and representative for Petitioner asserts that she was informed by the
Commission that because of the short amount of time left in the reporting
period, the second quarter report and receipts could be filed with the third
quarter report. Petitioner did file the
second quarter report and receipts with a timely third quarter report. Petitioner now requests a waiver of the late
filing and payment penalties assessed.
FINDINGS
Utah
Code Ann. §59-12-107 stipulates that sales tax receipts and reports are due
quarterly and that failure to file such reports opens the vendor to liability
for penalties and interest. Utah Code
Ann. §59-1-401(1)(b) provides that a penalty of $$$$$ shall be assessed for
failure to file a timely return.
Another penalty of $$$$$ is assessed for failure to pay the tax within
ninety days of the due date. Thus, the
assessment of the penalties were valid. However, considering (1) that
Petitioner was a new business and the period in question was the first period
which Petitioner was required to file, and (2) that Petitioner apparently
received erroneous information, the Tax Commission finds reasonable cause to
waive the penalty.
DECISION AND ORDER
Based
on the foregoing facts, it is the decision of the Commission that all penalties
be waived. However, Petitioner is still
liable for all interest charged.
DATED
this 26 day of August, 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