BEFORE THE STATE TAX
COMMISSION OF UTAH
_____________________________________
COLLECTION
DIVISION OF THE :
UTAH STATE TAX COMMISSION, : FINDINGS
OF FACTS,
: CONCLUSIONS
OF LAW
Petitioner, : AND FINAL DECISION
v. :
XXXXX ) Appeal No. 88-0728
: Acct. No.
XXXXX
Respondent. :
_____________________________________
STATEMENT OF CASE
This
matter came before the Utah State Tax Commission pursuant to the Rules of
Administrative Procedure and the Administrative Procedure's Act for formal proceeding
on XXXXX. James E. Harward, Presiding
Officer, heard the matter for the Tax Commission. XXXXX appeared representing the Respondent. XXXXX appeared representing the
Petitioner. At the outset of the
hearing, the Presiding Officer took evidence and arguments as it relates to a
pending Chapter 11 Bankruptcy case in which the Respondent is involved.
Based
upon the evidence and arguments presented at the hearing and the recommendation
of the Presiding Officer, the Tax Commission makes its:
FINDINGS OF FACT
1. Respondent was issued sales tax license No.
XXXXX.
2. At the time of filing the bankruptcy the
Respondent has approximately $$$$$ in delinquent sales tax due and owing.
3. From the period post petition to the
present, there is approximately $$$$$ of sales tax due and owing.
4. Petitioner's attempt on numerous occasions
to reconcile the account entered into a payment agreement to attempt to have
the account repaid. Those collection attempts and reconciliation attempts have
not been successful.
CONCLUSIONS OF LAW
1. It is unlawful for any person required by
this chapter to collect sales and use tax, to engage in business within the
state without first having obtained a license to do so. Utah Code Ann. §59-12-106(1).
2. After obtaining the license, the Tax
Commission may revoke the license of any person violating any provisions of the
chapter relating to the collection and reporting of sales tax. Utah Code Ann. §59-12-106(1).
Filing
of a bankruptcy petition operates as a stay against the commencement or any
continuation of any administrative process against a debtor. 11 U.S.C. Section
362.
3. The stay becomes dissolved when at the
earliest of the case is closed, the case is dismissed or the individual
receives a discharge. 11 U.S.C. Section
362 C2.
4. A discharge is granted when the plan under
chapter 11 is confirmed. 11 U.S.C. Section 1141 DlA.
5. The Petitioner's plan has been confirmed,
therefore, the stay is no longer in effect and the Tax Commission is not
hindered by the stay of 11 U.S.C. Section 362 in its pending proceedings.
DECISION AND ORDER
The
Tax Commission, after reviewing the evidence and arguments of the Petitioner
and research and recommendations of the presiding Officer conclude that there has,
in fact, been a violation of the Utah Code as it relates to the collection,
reporting and repayment of sales tax and therefore revokes license No. XXXXX
for failure to comply with the laws of the State of Utah.
DATED
this 5 day of October, 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
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