90-0125
Income
Signed 8/20/90
BEFORE THE UTAH STATE TAX
COMMISSION
________________________________
XXXXX
Petitioner, )
v. ) INFORMAL DECISION
) Appeal No. 90‑0125
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 waiver of penalty or interest assessment on
Petitioner's sales and use tax return for the second quarter of XXXXX. Pursuant to Utah Code Ann. '63‑46b‑5(1)(b,j), no hearing was
held. A review of Petitioner's file
served as the evidentiary basis for this decision.
Petitioner asserts that the sales tax
return and payment were remitted on time to the Tax Commission and that either
they were lost in the mail or by Tax Commission personnel. There is no record of the Tax Commission
receiving this return or payment. As
soon as Petitioner discovered that the Tax Commission had not received this
payment, the payment of the tax amount due was made.
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 been shown
for waiver of the penalty in this case.
Petitioner mailed the return and payment in a timely manner and the
circumstance of it not reaching the Tax Commission offices was beyond the control
of the Petitioner. Interest, however,
should not be waived since the state was deprived of the use of the tax funds
in question for a period of time and should be compensated for that loss of
use.
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 is granted. Petitioner's request for waiver of interest
is denied, but interest shall be recalculated to account for the waiver of
penalty. It is so ordered.
DATED this 20 day of August, 1990.
BY ORDER OF THE
UTAH STATE TAX COMMISSION.
R. H. Hansen Roger O. Tew
Chairman Commissioner
Joe B. Pacheco G. Blaine Davis
Commissioner Commissioner
NOTICE: You
have twenty (20) 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
District Court a petition for judicial review. Utah State Tax Commission
Administrative Rule R861‑5A‑l(p) and Utah Code Ann. '63‑46b‑14(3)(a).
^^