BEFORE THE STATE TAX COMMISSION OF UTAH
v. : INFORMAL DECISION
COLLECTION DIVISION OF THE : Appeal No. 88-0658
UTAH STATE TAX COMMISSION, : Acct. No. XXXXX
STATEMENT OF CASE
This is an appeal to the Utah State Tax Commission for reconsideration of a Commission decision denying a request for waiver of penalty assessments on Petitioner's second quarter XXXXX sales tax return. Pursuant to Utah Code Ann. §63-46b-5(1)(b), no hearing was held. A review of Petitioner's file served as the evidentiary basis for this decision.
Petitioner failed to file a timely second quarter XXXXX sales tax return. Petitioner opened for business XXXXX but asserts that a return form for the second quarter was never received. Petitioner was also unsure when the return was due.
Utah Code Ann. §59-12-107(8) stipulates that a vendor shall, on or before the last day of the month following each calendar quarter period, file with the Commission a return for the preceding quarterly period. Failure to do so opens the vendor to liability for penalties. Utah Code Ann. §59-1-401-(l)(b) stipulates that a penalty of the greater of $$$$$ or 10 percent of the tax due shall be assessed for failure to file a tax due or no tax due return. Petitioner's failure to file a timely return opened her to liability for this penalty. However, Section 59-1-401(8) authorizes the Commission to waive any penalties, and the Commission will do so upon a showing of reasonable cause. Because this was Petitioner's first time to file and the Petitioner was inexperienced in these tax matters, it would be inequitable to deny a request for waiver of penalty.
DECISION AND ORDER
Based on the foregoing fact, it is the decision and order of the Commission that the request for a waiver of penalty be granted.
DATED this 27 day of September, 1988.
BY ORDER OF THE STATE TAX COMMISSION OF UTAH.
FOR THE COMMISSION
G. Blaine Davis