BEFORE THE STATE TAX
COMMISSION OF UTAH
_____________________________________
XXXXX
Petitioner, :
v. : INFORMAL DECISION
:
COLLECTION
DIVISION OF THE : Appeal No. 88 0743
UTAH STATE TAX COMMISSION, : Acct.
No. XXXXX
Respondent. :
_____________________________________
STATEMENT OF CASE
This
is an appeal to the Utah State Tax Commission for reconsideration of a
Commission decision denying a request for a waiver of the penalty assessment of
Petitioner's second quarter XXXXX withholding 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 withholding tax return and was
assessed a $$$$$ late filing penalty.
Petitioner's failure to file a timely return was due to an oversight on
the part of XXXXX, Office Manager and Representative for the Petition. Petitioner asserts that immediate action
taken to correct the situation coupled with the excellent filing record of the
Petitioner is sufficient to warrant a waiver of the penalty assessment.
FINDINGS
Utah
Code Ann. §59-10-406(1) provides that each employer shall file with the
Commission a withholding tax return on a quarterly basis. The return is due on or before the last day
of the month following the calendar quarter. Petitioner's failure to file the
report as required opens the employer to liability for late filing and late
payment penalties.
Utah
Code Ann. § 59-l-401(1)(b) provides that a penalty of the greater of $$$$$ or
10 percent of the tax due shall be assessed for failure to file a timely tax
due or no tax due return. Utah Code
Ann. § 59-l-401(7) authorizes the Commission to waive such penalties upon a
showing of reasonable cause. However, negligence or carelessness on the part of
the Petitioner cannot be considered to be reasonable cause.
DECISION AND ORDER
Based
on the foregoing facts, it is the decision of the Commission that the request
for waiver of penalties be denied.
DATED
this 27 day of September, 1988.
BY ORDER OF THE STATE TAX COMMISSION OF UTAH.
FOR THE COMMISSION
G. Blaine
Davis
Commissioner