90-1424 - Withholding

 

BEFORE THE UTAH STATE TAX COMMISSION

______________________________

In Re: ) FINDINGS OF FACT,

: CONCLUSIONS OF LAW,

XXXXX ) AND FINAL DECISION

:

: Appeal No. 90-1424

: 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 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 XXXXX and XXXXX XXXXX.

3. Due to internal mail problems with the XXXXX, the withholding tax coupon book for the above mentioned periods was not forwarded to the individual responsible for payroll matters prior to the due date for the XXXXX XXXXX period.

4. The Petitioner's representative testified that he became aware that the XXXXX return had not been filed nor paid when he was preparing their quarterly federal returns. He then instructed the responsible individual to submit the XXXXX and XXXXX returns together.

5. Again, because of some internal problems within the Petitioner's office, the XXXXX and XXXXX returns were not filed and paid until XXXXX.

6. As a result of the late payment of the XXXXX and XXXXX withholding taxes, penalties in the amount of $$$$$ and $$$$$ were assessed for the respective months.

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 cause has not been shown which would justify a waiver of the penalty or interest associated with the XXXXX and XXXXX XXXXX withholding tax periods. It is so ordered.

DATED this 15 day of January, 1991.

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