91-0970 & 91-0971 - Sales

 

BEFORE THE UTAH STATE TAX COMMISSION

_____________________________________

In Re: )

XXXXX, ) ORDER

: Appeal Nos. 91-0970 & 91-0971

: Account Nos. XXXXX

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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. The Commission has reviewed Petitioner's request for reconsideration, its previous decision, and the record of the hearing in this matter. Petitioner's request for reconsideration raises four separate points, which are set forth and addressed below.

First, Petitioner argues that his decision to keep the troubled XXXXX open was due in part to his belief that the Commission and its staff would cooperate with him. However, that belief on the part of Petitioner has no bearing on the accrual of the taxes, penalty and interest in question, since the taxes in question were already delinquent.

Second, Petitioner contends the XXXXX did not exist during the period of XXXXX through XXXXX. However, a review of Commission records indicates that Petitioner's tax liability for that period was established by returns filed by the Petitioner. Furthermore, the Petitioner did not challenge the periods of liability during the hearing in this matter.

Third, Petitioner contends that his financial difficulties were caused by the slow payment of funds due from "XXXXX", the organization which operated the hotel in which the restaurant was located. However, during the hearing in this matter, Petitioner acknowledged that although XXXXX was slow in payment, payments were received during the periods in question, and that he had ultimately received all funds due from XXXXX.

Fourth, Petitioner points out that he has done everything in his power to satisfy his tax obligations, and now seeks an abatement of the penalties imposed against him.

DECISION AND ORDER

While the Commission acknowledges Petitioner's success in satisfying his tax liabilities, the Petitioner has failed to demonstrate reasonable cause to waive penalties and interest in this matter.

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 30 day of January, 1992.

BY ORDER OF THE UTAH STATE TAX COMMISSION.

ABSENT

R. H. Hansen Roger O. Tew

Chairman Commissioner

Joe B. Pacheco S. Blaine Willes

Commissioner Commissioner