BEFORE THE UTAH STATE TAX
COMMISSION
_____________________________________
XXXXX
Petitioner, :
: ORDER
v. :
:
AUDITING
DIVISION OF THE : Appeal No. 89-2479
UTAH STATE TAX COMMISSION, :
: Account
No. XXXXX
Respondent. :
_____________________________________
STATEMENT OF CASE
This
matter came before the Utah State Tax Commission pursuant to the Petitioner's
Petition for Redetermination arising from a sales tax deficiency assessed for
the audit period XXXXX, through XXXXX.
Prior
to a formal hearing on the matter, the Petitioner, by and through its
representative, XXXXX, requested that the appeal be withdrawn. The representative indicated that the
Petitioner no longer wanted to contest the audit findings, and was content with
the explanation provided by the Auditing Division as to the nature of the
deficiency. The Petitioner did,
however, request that the penalty imposed be waived.
The
Auditing Division, by and through its representatives, XXXXX, Assistant
Attorney General, and XXXXX, Auditor, recommended that the penalty imposed be
waived. The auditor noted that no penalty
was assessed when the audit report was issued.
The
records of the Commission show that a penalty was automatically imposed by
computerized equipment when the Petitioner's payment on the deficiency exceeded
thirty days.
The
Respondent's recommendation that the penalty be waived is based upon the facts
that: (1) no penalty was initially assessed in the audit report; and (2) the
Petitioner could have reasonably believed in good faith that the handling of
its sales tax matters was correct, thus, did not act negligently in its
handling of its sales tax matters.
DECISION AND ORDER
Based
upon the foregoing, the Tax Commission hereby orders that the above-captioned
appeal be withdrawn and further orders that the penalty imposed for the audit
period XXXXX, through XXXXX, be waived.
It is so ordered.
DATED
this 8th day of March, 1991.
BY ORDER OF THE UTAH STATE TAX COMMISSION.