89-0187-Sales

BEFORE THE UTAH STATE TAX COMMISSION

_____________________________________

XXXXX )

:

Petitioner, ) FINDINGS OF FACT,

: CONCLUSIONS OF LAW

v. ) AND FINAL DECISION

:

) Appeal No. 89-0187

COLLECTION DIVISION OF THE :

UTAH STATE TAX COMMISSION )

: Acct No. XXXXX

Respondent. )

_____________________________________

STATEMENT OF CASE

This matter came before the Utah State Tax Commission for a formal hearing on XXXXX. Paul F. Iwasaki, Presiding Officer, heard the matter for and in behalf of the Commission. Present and representing the Petitioner was XXXXX.

After reviewing the evidence and testimony presented at the hearing, the Tax Commission hereby makes its:

FINDINGS OF FACT

1. The tax in question is sales tax.

2. The period in question is the second quarter XXXXX.

3. Petitioner testified that she became aware of the sales tax due for the second quarter of XXXXX in late July of XXXXX. At that time she discovered that the corporate officer responsible for paying the taxes had not done so and had misappropriated a significant amount of the corporate funds.

4. The return was filed timely. However, due to the lack of funds, only a partial payment of the $$$$$ due was remitted.

5. Petitioner immediately contacted the Commission by letter explaining the situation and continued to make payments on the account.

6. A penalty of $$$$$ was assessed on the quarterly return.

7. Petitioner has paid off the entire amount of taxes, penalties, and interest incurred for the second quarter XXXXX.

CONCLUSIONS OF LAW

The Tax Commission is granted authority to waive, reduce, or abate penalty and interest upon the showing of reasonable cause. (Utah Code Ann. §59-1-401(8).)

DECISION AND ORDER

Based on the foregoing, the Tax Commission hereby finds sufficient cause exists to reduce the penalty for the second quarter XXXXX to an amount of $$$$$. The Petitioner's request to waive the interest associated with that quarter is denied.

DATED this 14th day of March, 1990.

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