BEFORE THE UTAH STATE TAX COMMISSION
Petitioner, ) FINDINGS OF FACT,
) CONCLUSIONS OF LAW
) AND FINAL DECISION
) Appeal No. 90‑0084
COLLECTION DIVISION OF THE )
UTAH STATE TAX COMMISSION, )
) Account No. XXXXX
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 was 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 periods in question are the second quarter XXXXX through the fourth quarter XXXXX.
3. As a result of an audit conducted for the second quarter of XXXXX, the Petitioner was assessed a deficiency of withholding taxes in the amount of $$$$$.
4. The third and fourth quarter XXXXX withholding tax returns were not filed and paid until XXXXX.
5. As a result of the audit deficiency and the late filing and payment of the withholding returns, the Petitioner was assessed a penalty in the amount of $$$$$, as well as interest assessed at the statutorily required rate.
6. The Petitioner's witness testified that the Petitioner began business in XXXXX. The Petitioner was engaged in the manufacturing of printed circuit boards.
7. Shortly after the Petitioner began business, the electronics industry underwent a drastic and sudden decline. That decline severely affected the Petitioner's cash flow. Because of the loss of business, the Petitioner was unable to pay its withholding taxes for the periods in question.
8. As a result of obtaining a small business administration loan in XXXXX, the Petitioner was able to pay its outstanding tax liabilities with the exception of the amounts that had accrued for penalties and interest.
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
Based upon the foregoing, the Tax Commission finds that sufficient evidence has not been shown which would justify a waiver or reduction of the penalties and interest associated with the periods in question. Therefore, the Petitioner's request is denied. It is so ordered.
DATED this 6 day of September, 1990.
BY ORDER OF THE UTAH STATE TAX COMMISSION.
R. H. Hansen Roger O. Tew
Joe B. Pacheco G. Blaine Davis
NOTICE: You have ten (10) days after the date of the final order to file a request for reconsideration or thirty (30) days after the date of final order to file in Supreme Court a petition for judicial review. Utah Code Ann. ''63‑46b‑13(1), 63‑46b‑14(2)(a).