89-0528 - Cigarette Stamps

BEFORE THE UTAH STATE TAX COMMISSION

_____________________________________

XXXXX,                                                                     )

            Petitioner,                                                         )           FINDINGS OF FACT,

                                                                                    )           CONCLUSIONS OF LAW

v.                                                                                 )           AND FINAL DECISION

                                                                                    )           Appeal No. 89-0528

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 the XXXXX.  Paul F. Iwasaki, Presiding Officer, heard the matter for and in behalf of the Tax Commission.  Present, and representing the Petitioner were XXXXX and XXXXX.

            After reviewing the evidence and arguments of the parties, the Tax Commission hereby makes its

FINDINGS OF FACT

            1.  The tax in question is cigarette stamps.

            2.  The period in question is XXXXX.

            3.  Eight packages of Winston Cigarettes were being held for sale by the XXXXX without having had the appropriate stamps affixed to them.

            4.  The Petitioner argued that the cigarettes in question were purchased by him for resale from Price Savers and that he assumed the appropriate stamps were affixed to them.

            5.  A penalty in the amount of $$$$$ was assessed to the Petitioner.

            6.  The Commission reduced the amount of the penalty to $$$$$.

CONCLUSIONS OF LAW

            The Tax Commission is granted the authority to waive, reduce, or compromise penalties or interest upon making a record of its decision and the showing of reasonable cause. (Section 59-1-401(8) Utah Code Ann. as amended, 1953.)

FINAL DECISION

            The Utah State Tax Commission hereby finds that insufficient cause has been shown which would justify further reduction of the penalty in question. Therefore, the Petitioner's request to waive the penalty associated with the failure of having the proper cigarette stamps affixed to the cigarettes is denied.

            DATED this 3rd day of August, 1989.

BY ORDER OF THE UTAH STATE TAX COMMISSION.

FOR THE COMMISSION

G. Blaine Davis

Commissioner