90-1382 - Prepayment Sales

 

BEFORE THE UTAH STATE TAX COMMISSION

________________________________

XXXXX,

Petitioner : FINDINGS OF FACT,

: CONCLUSIONS OF LAW,

v. : AND FINAL DECISION

:

COLLECTION DIVISION OF THE : Appeal No. 90-1382

UTAH STATE TAX COMMISSION, :

: Account 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 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 prepayment sales tax.

2. The period in question is XXXXX and XXXXX XXXXX.

3. The period in question was the third time the Petitioner had been liable for a prepayment of sales tax. The first time a prepayment was due was in XXXXX, the second time a prepayment was due was in XXXXX.

4. For each of the two prior times a prepayment was due, the Petitioner was notified in advance by the Tax Commission and provided with the necessary forms.

5. For the period in question, no notice nor forms were sent by the Commission to the Petitioner. The Petitioner relied upon such forms and notice to alert it that a prepayment was due.

6. The prepayment of sales tax for the period in question was made on XXXXX.

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

In the present case, although the Petitioner had been provided with the forms by the Commission on previous occasions, the non-receipt of those forms does not excuse the Petitioner's responsibility for ensuring the timely filing and payment of the prepayment sales tax.

By the fact that the Petitioner had twice previously been aware of the prepayment requirements, the Petitioner should have been aware of the requirements for filing a prepayment of sales tax and should have taken steps to ensure that the prepayment provisions were complied with.

Based upon the foregoing, the Commission finds sufficient cause has not been shown which would justify a waiver of the penalty associated with the XXXXX sales tax prepayment. It is so ordered.

DATED this 19 day of October, 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