88-1269 - Sales Tax

 

BEFORE THE STATE TAX COMMISSION OF UTAH

_____________________________________

XXXXX

Petitioner, :

: FINDINGS OF FACT,

v. : CONCLUSIONS OF LAW

: AND FINAL DECISION

AUDIT DIVISION OF THE :

STATE TAX COMMISSION OF UTAH, ) Appeal No. 88-1269

Respondent. :

_____________________________________

STATEMENT OF CASE

This matter came before the Utah State Tax Commission for a Prehearing Conference on XXXXX. James E. Harward, Presiding Officer, heard the matter for and on behalf of the Tax Commission. XXXXX was present. XXXXX was present representing the Respondent. During the course of the Prehearing Conference, the matter was converted to a hearing. The witnesses were sworn, evidence was taken. The Tax Commission, after reviewing the evidence and arguments, and recommendations of the Presiding Officer, makes its:

FINDINGS OF FACT

1. On the XXXXX, the Petitioner purchased a XXXXX from XXXXX.

2. Petitioner was a part-time student living in XXXXX, Utah and working for XXXXX.

3. Petitioner contends that he did not fill out the non-resident affidavit, that it was filled out after he signed the affidavit. In addition, Petitioner contends that he did not read the affidavit and simply signed where told to by the salesman.

4. The Respondent pointed out that it was clear that on the credit application there was contradictory information and that this information would lead the dealer to understand that the non-resident affidavit was inaccurate or incorrect.

CONCLUSIONS OF LAW

1. Anyone who is a student in the state of Utah is required to pay sales tax, even though his permanent place of residency may be in another state.

2. Anyone who has employment in the state of Utah is required to pay sales tax.

DECISION AND ORDER

The Tax Commission finds that the Petitioner was required to pay sales tax on the purchase of the automobile in question. The ultimate question is whether or not the 100 percent fraud penalty is applicable to the case at hand. The Tax Commission, after reviewing the facts and considering the willingness of the Petitioner to take care of the problem, reduces the penalty to 10 percent negligence penalty. In the future, the Petitioner is cautioned to take the opportunity to read all documents and know and understand everything that he is putting his signature to.

DATED this 11 day of January, 1989.

BY ORDER OF THE STATE TAX COMMISSION OF UTAH.

R. H. Hansen Roger O. Tew

Chairman Commissioner

ABSENT

Joe B. Pacheco G. Blaine Davis

Commissioner Commissioner