BEFORE THE UTAH STATE TAX
COMMISSION
____________________________________
In Re: )
: INFORMAL
DECISION
XXXXX )
: Appeal No.
90-2442
:
: Account
No. XXXXX
_____________________________________
STATEMENT OF CASE
This
matter came before the Utah State Tax Commission pursuant to the Administrative
Procedures Act and the rules of the Utah State Tax Commission for informal
proceedings. No hearing was requested,
therefore, this decision is based upon information contained in the Tax
Commission's file.
FINDINGS
Petitioner
states that he did not receive the sales tax form in sufficient time for the
timely payment of Petitioner's sales taxes for the tax year XXXXX. Petitioner pays sales taxes on a yearly
basis. Petitioner states that he was
informed of the late payment by letter from the Tax Commission, and upon
calling the Tax Commission regarding this was told to pay the sales tax rate of
XXXXX plus XXXXX per month interest and a $$$$$ penalty. Petitioner states that he complied with
these instructions "adding in interest and the $$$$$ penalty"
although Petitioner felt that the penalty and interest were unjustified because
Petitioner states that the taxes would have been filed and paid timely if the
tax form had been received. Petitioner
states that an additional penalty has been now assessed, and Petitioner does
not understand the reasons for this new penalty.
The
penalty for late filing of sales tax is $$$$$ or XXXXX of the taxes due,
whichever is greater, and the penalty for late payment of sales tax is an
additional $$$$$ or XXXXX of the tax due, whichever is greater. (Utah Code Ann. §59-1-401). In this case, therefore, a $$$$$ penalty was
assessed according to the law. Tax
Commission records also show that a payment of only $$$$$ was received by the
Tax Commission on XXXXX. Since the tax
in question amounts to $$$$$ it is apparent that the payment did not include
the full penalty or interest charges.
This is why a penalty assessment is still outstanding on Petitioner's
account. Therefore, no additional
penalty has been assessed but merely the original penalty has not yet been
paid.
By
letter dated XXXXX, the Tax Commission reduced the penalty assessment to
$$$$$. Interest has not been waived.
The
non-receipt of sales tax forms is not sufficient cause under the law for failure
to timely file and pay sales taxes.
Whether or not a form is received, the sales tax is due and it is
Petitioner's obligation to ensure that the sales taxes are timely filed and
paid. If a taxpayer through his
negligence, fails to timely file and pay, then penalty and interest charges are
appropriate under the law.
DECISION AND ORDER
The
Tax Commission finds sufficient cause does not exist to waive the penalty
associated with the Petitioner's sales taxes for the tax year XXXXX. It is so ordered.
DATED
this 18 day of January, 1991.
BY ORDER OF THE UTAH STATE TAX COMMISSION.
R. H. Hansen