BEFORE THE UTAH STATE TAX
COMMISSION
_____________________________________
XXXXX,
Petitioner, :
v. : INFORMAL DECISION
:
: Appeal No.
90-1407
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 a penalty
and interest assessment on Petitioner's first quarter XXXXX sales tax. 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.
This
case allegedly involves some mailing problems.
Petitioner states that it timely mailed the tax return and its
accompanying payment for both sales and withholding tax, but for some reason
the envelope was double canceled, first with the date Petitioner alleges it was
mailed, and second, with the XXXXX date which would have rendered the filing of
the tax untimely. By letter dated
XXXXX, the Tax Commission waived all penalties for Petitioner's withholding
taxes under the same circumstances as exist in this case concerning the sales
taxes. By letter dated XXXXX, the Tax
Commission reduced the penalty on the sales tax by $$$$$ down to $$$$$. Petitioner now questions why, under the same
circumstances, the penalty for the withholding was waived but not for the sales
tax.
FINDINGS
Utah
Code Ann. §§59-1-401 and59-1-402 provide that penalties and interest shall be
assessed for late filing and payment of taxes.
Utah Code Ann. §59-1-401(8) provides that the Tax Commission may upon
reasonable cause shown waive or reduce the penalties and interest assessed
under these statutes.
Such
reasonable cause has been shown. The
time period between the due date and the actual filing date is small and to be
consistent with the waiver for the withholding tax under the same
circumstances, the penalty for the sales tax should be waived.
DECISION AND ORDER
Based
on the foregoing facts, it is the decision and order of the Utah State Tax
Commission that Petitioner's request for waiver of penalty is granted along
with any interest amounts assessed relative to the penalty amounts. It is so ordered.
DATED
this 12th day of September, 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