BEFORE THE UTAH STATE TAX
COMMISSION
________________________________
XXXXX, )
Petitioner, :
v. ) INFORMAL DECISION
:
) Appeal No.
90-0046
COLLECTION
DIVISION OF THE :
UTAH STATE TAX
COMMISSION, )
: Account
No. XXXXX
Respondent. )
_____________________________________
STATEMENT OF CASE
This
is an appeal to the Utah State Tax Commission requesting a waiver of penalty
and interest assessment on Petitioner's withholding tax for the third quarter
of XXXXX. Pursuant to Utah Code Ann.
§63-46b-5(1)(b,j), no hearing was held.
Petitioner's file served as the evidentiary basis for this decision.
Petitioner
states that the person responsible for paying Petitioner's taxes overlooked the
payment for the period in question until it was overdue. This person was new and unacquainted with
the procedures for paying Petitioner's taxes.
Petitioner also states that there is no money left at Petitioner's disposal
to pay the penalty and interest assessed.
FINDINGS
Utah
Code Ann. §§59-1-401 and 59-1-402 provide that penalties and interest shall be
assessed for the late payment and filing of taxes. Utah Code Ann. §59-1-401(8) provides that upon reasonable cause
shown, the Tax Commission may waive or reduce penalties assessed under the
above statutes.
Such
reasonable cause has not been shown in this case. Mere negligence is not sufficient reasonable cause for waiver of
penalty and interest assessments, nor is financial hardship. Reasonable cause exists only where the failure
to timely pay the taxes was due to circumstances entirely beyond the control of
the Petitioner. Mere negligence does
not meet this standard.
DECISION AND ORDER
Based
upon the foregoing, it is the decision and order of the Utah State Tax
Commission that Petitioner's request for waiver of penalty and interest is
denied. It is so ordered.
DATED
this 20th day of August, 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