BEFORE THE UTAH STATE TAX
COMMISSION
____________________________________
In Re: ) FINDINGS OF FACT,
: CONCLUSIONS
OF LAW,
XXXXX ) AND FINAL DECISION
:
: Appeal No.
90-3201
: Account
No. XXXXX
___________________________________
STATEMENT OF CASE
This
matter came before the Utah State Tax Commission for a formal telephone hearing
on XXXXX. Joseph G. Linford, 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 corporate franchise
tax.
2. The period in question is the tax year XXXXX
through XXXXX.
3. Petitioner's bookkeeper timely mailed the
tax return for the period in question but inadvertently did not send the check
with the return. This mistake was not realized by Petitioner until Petitioner
received a Notice and Demand for payment of tax on XXXXX. This notice demanded payment of the $$$$$
tax liability, plus a XXXXX negligence penalty of $$$$$ for failure to pay the
tax in a timely manner, and $$$$$, in interest. The following day, XXXXX, Petitioner mailed the tax payment and a
request for waiver of the penalty and interest assessments to the Tax
Commission.
5. By notice dated XXXXX, Petitioner was
notified that its request for waiver of penalties and interest was under review
by the Commission and that Petitioner would be notified when a decision was
reached.
6. On XXXXX, Petitioner wrote to the Tax Commission
regarding Petitioner's waiver request, since Petitioner had not yet received a
determination from the Tax Commission.
Petitioner again requested that the penalty and interest assessments be
waived.
7. On XXXXX, Petitioner wrote another letter to
the Tax Commission stating that the Petitioner's waiver request had been under
review by the Commission for over XXXXX years.
Petitioner included with that letter copies of correspondence between
Petitioner and the Tax Commission up to that date. Petitioner requested that the Tax Commission notify Petitioner of
the Tax Commission's decision.
8. Another notice dated XXXXX, was sent to
Petitioner stating that Petitioner's request for waiver of penalty and interest
was under review by the Commission and that Petitioner would be notified within
XXXXX days of the Commission's decision.
9. By letter dated XXXXX, the Petitioner was
notified by the Tax Commission that Petitioner's request for waiver of penalty
and interest had been denied. This appeal
from that decision was filed by Petitioner's letter dated XXXXX.
10. It is Petitioner's position that it should
not be penalized because of the delay on the part of the Tax Commission in
responding to Petitioner's request for waiver of penalty and interest. Petitioner asserts that under the
circumstances of this case, the penalty and interest amounts should be waived.
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 been
shown which would justify a waiver of the penalty and interest associated with
the tax year XXXXX through XXXXX. It is
so ordered.
DATED
this 17 day of April, 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