BEFORE THE UTAH STATE TAX
COMMISSION
_____________________________________
XXXXX )
XXXXX :
)
Petitioner, : FINDINGS OF FACT,
) CONCLUSIONS
OF LAW
v. : AND FINAL DECISION
)
: Appeal No.
89-0304
COLLECTION
DIVISION OF THE )
UTAH STATE TAX
COMMISSION :
) Account
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 were
XXXXX and XXXXX.
Based
upon the evidence and testimony presented at the hearing, the Tax Commission
hereby makes its:
FINDINGS OF FACT
1. The tax in question is withholding tax.
2. The period in question is the first quarter
of 1982 and all four quarters of XXXXX.
3. The Petitioner paid withholding taxes on a
monthly basis.
4. For reasons unknown to the Petitioner, the
Petitioner's bookkeeper failed to file a withholding return or pay the taxes
for the third month of each of the quarters in question.
5. Petitioner was given notice from the
Commission that the withholding returns in question had not been filed. Due to problems the Petitioner had with its
account for prior quarters, the Petitioner was not able to reconcile the exact
amounts due until approximately May XXXXX when he was contacted by a collection
agent.
6. Petitioner testified that it was represented
to him by the collection agent that if he were to pay the entire amount of
taxes due at once the penalties and interest would be waived.
7. Petitioner paid the entire amount of
withholding taxes due on XXXXX.
8. As a result of the failure to timely file
and pay the withholding taxes due for the quarters in question, the Petitioner
was assessed a penalty in the amount of $$$$$, as well as interest applied at
the statutory rate.
CONCLUSIONS OF LAW
The
Tax Commission is granted the authority to waive, reduce, or compromise
penalties and interest upon a showing of reasonable cause. (Utah Code Ann.
§59-1-401(8).)
DECISION AND ORDER
In
the present case, the basis for the Petitioner's request for the waiver of
penalties and interest was his testimony that it had been represented to him
that if he were to pay the entire amount of taxes due, the penalties and
interest would be waived as provided for by "first contact program."
The
Commission knows of no such "program" and notes that only the
Commissioners have the authority to waive or reduce penalties and interest.
Based
upon the foregoing, the Tax Commission finds that sufficient cause has not been
shown which would justify a waiver of penalties or interest associated with the
withholding taxes for the first quarter of XXXXX and the four quarters of
XXXXX. It is so ordered.
DATED
this 3rd day of May, 1990.
BY ORDER OF THE UTAH STATE TAX COMMISSION.
R. H. Hansen Roger
O. Tew
Chairman Commissioner
Joe B.
Pacheco G.
Blaine Davis
Commissioner Commissioner