BEFORE THE UTAH STATE TAX
COMMISSION
_____________________________________
In Re: :
XXXXX ) ORDER
: Appeal No.
91-0731
: Account
No. XXXXX
_____________________________________
STATEMENT OF CASE
This
matter came before the Utah State Tax Commission upon a Petition for
Reconsideration, dated XXXXX, filed by the Petitioner as a result of the
Commission's final decision, dated XXXXX.
FINDINGS
1. Utah Administrative Rule R861-1A-5(P)
provides that a Petition for Reconsideration "will allege as grounds for
reconsideration either a mistake in law or fact, or the discovery of new
evidence." Under this rule, the
Tax Commission may exercise its discretion in granting or denying a Petition
for Reconsideration.
2. Petitioner alleges the reconsideration
should be granted because he never received any notification that the penalties
were going to be imposed prior to the actual imposition of the penalties. However, the law requires taxpayers to
timely pay the taxes due, and all taxpayers are on notice that if they do not
timely pay those taxes a penalty will be imposed. Petitioner, in his earlier letter, acknowledged that he was aware
that the sales tax returns were due quarterly, but failed to timely file and
also failed to timely pay those taxes just because he thought there would be no
penalty.
3. Petitioner further alleges that the $$$$$
penalty is out of line with the tax owed of $$$$$, so that it represents a
total of 75% of the amount owed.
However, the law imposes a minimum penalty of $$$$$ for late filing and
a minimum penalty of $$$$$ for late payment.
Petitioner was subject to both penalties.
4. Petitioner further urges that the reconsideration
be granted because he responded promptly once he received notices that the
penalty and interest had been imposed.
However, regardless of how promptly he responded, the penalty had
already been imposed when he responded.
Further, one of the reasons the penalty is imposed is to partially
reimburse the Commission for the expenses of having persons take the time and
effort to make special contact with persons who have not filed or paid their
tax returns. These expenses had already
been incurred by the Commission.
5. Petitioner alleges other reasons, all of
which do not state a mistake in law or fact or a discovery of new evidence.
DECISION AND ORDER
Based
upon the foregoing, it is the decision and order of the Utah State Tax
Commission that the Petition for Reconsideration is denied. It is so ordered.
DATED this 6 day of December, 1991.