BEFORE THE UTAH STATE TAX
COMMISSION
_____________________________________
XXXXX )
dba/XXXXX :
Petitioner ) FINDINGS OF FACT,
: CONCLUSIONS
OF LAW,
) AND FINAL
DECISION
v. :
COLLECTION
DIVISION OF THE )
STATE TAX
COMMISSION OF UTAH : Appeal No. 89-0063
) 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 Procedures Act for formal
adjudicative proceedings on the 28th day of XXXXX. XXXXX was the hearing officer presiding at the hearing. Petitioner was represented by one of its
owners, Mr. XXXXX. No one representing
the Respondent was present at the hearing.
Based
upon the recommendation of the Presiding Officer and the facts and evidence
presented at the hearing, the Tax Commission makes its
FINDINGS OF FACT
1. The tax in question is sales tax.
2. The period in question is XXXXX to XXXXX.
3. During this period the Petitioner hired
additional employees to help with an increasing work load. Petitioner subsequently discovered that some
of these employees were stealing large amounts of money from the Petitioner.
4. Petitioner testified during the hearing that
the amounts stolen were in the thousands of dollars and were sufficient to
render it virtually impossible for the Petitioner to pay many of their
obligations, one of which was the tax in question.
5. Because of these circumstances which were
beyond the Petitioner's control the Petitioner asserts that they were unable to
pay the taxes concerned, and therefore requested a waiver of penalty and
interest.
CONCLUSIONS OF LAW
1. Utah Code Ann. §59-1-401 (1987 Rep., 1989
Supp.) provides that penalties shall be assessed for failure to file a tax due
return within the time prescribed by law or for failure to pay a tax due within
the time prescribed by law.
2. Utah Code Ann. §59-1-402 (1987 Supp.)
provides that interest at the rate of 12% annually shall be charged for late
payment of taxes due.
3. Utah Code Ann. §59-1-401(8) (1987 Rep., 1989
Supp.) provides that the Tax Commission may, upon reasonable cause shown, waive
or reduce any penalties or interest imposed under the above statutes.
DECISION AND ORDER
The
Tax Commission finds that the Petitioner has shown reasonable cause for waiver
of the penalty assessed in this case due to the fact that circumstances which
created the inability of the Petitioner to pay his taxes were beyond the
Petitioner's control. All penalty
amounts are, therefore, hereby waived.
However, interest in the amount of $$$$$, or the most current amount up
to the date of this order as shall be determined by the Collection Division of
the Utah State Tax Commission, shall be yet due and payable by the
Petitioner. It is so ordered.
DATED
this 5th day of October, 1989.
BY ORDER OF THE UTAH STATE TAX COMMISSION.
ABSENT
R. H. Hansen Roger
O. Tew
Chairman Commissioner
Joe B.
Pacheco G.
Blaine Davis
Commissioner Commissioner