89-1068 - Sales

 

BEFORE THE UTAH STATE TAX COMMISSION

_____________________________________

XXXXX

Petitioner :

: FINDINGS OF FACT,

v. : CONCLUSIONS OF LAW, AND

: FINAL DECISION

: Appeal No. 89-1068

COLLECTION DIVISION OF THE :

STATE TAX COMMISSION OF UTAH )

: 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 on behalf of the Tax Commission. Present and representing the Petitioner were XXXXX and XXXXX.

Based upon the evidence presented, the Tax Commission hereby makes its:

FINDINGS OF FACT

1. The tax in question is sales tax.

2. The period in question is XXXXX.

3. An audit for the above listed period of time found the Petitioner to be liable for $$$$$ in additional tax, and also that the Petitioners had not been making prepayments as they were required to so do.

4. Interest in the amount of $$$$$ was assessed for the additional tax which was imposed. Additional tax and interest amounted to $$$$$.

5. The Petitioners were assessed a penalty in the amount of $$$$$ for having failed to file prepayment returns. Interest on that penalty was assessed at $$$$$ for a total of $$$$$.

6. The Petitioners paid the $$$$$ owed by way of a check dated XXXXX.

7. The Petitioners applied for and were granted a waiver of the entire penalty imposed for their having failed to file prepayment returns, however, waiver of the interest was denied.

CONCLUSIONS OF LAW

The Tax Commission is granted the authority to waive, reduce, or abate penalties and interest upon making a record of its decision (Utah Code Ann.59-1-401(8).)

DECISION AND ORDER

In the present case, the interest which was assessed to the Petitioner was based on the penalty imposed for their having failed to file their prepayment returns. Since the penalty was waived, the underlying obligation upon which the interest was based was removed. Therefore, the Commission hereby grants these Petitioners' request to waive the interest associated with the penalties imposed for the audit period XXXXX.

DATED this 14th day of March, 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