BEFORE THE UTAH STATE TAX
COMMISSION
___________________________
In Re: ) FINDINGS OF FACT,
: CONCLUSIONS
OF LAW,
XXXXX ) AND FINAL DECISION
: Appeal No.
91-1174
: Account
No. XXXXX
___________________________
STATEMENT OF CASE
This
matter came before the Utah State Tax Commission for a telephone prehearing
conference on XXXXX. XXXXX,
Administrative Law Judge, and XXXXX Presiding Officer, heard the matter for and
on behalf of the Commission. Present and representing the Petitioner on the
telephone was XXXXX. It was agreed that
the prehearing conference would be converted to a formal telephone hearing.
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 Corporation Franchise
Tax.
2. The period in question is the Fiscal Year
ended XXXXX.
3. Petitioner is a multi-state corporation and
their operations are based in XXXXX.
4. The Petitioner filed a federal extension and
believed the federal extension would constitute a valid state extension. The Petitioner did not make any prepayment
of the tax at the time the federal extension was filed.
5. The Petitioner filed the state tax return
within the extension period and at that time they calculated and paid the
penalty and interest for failure to prepay.
6. The Petitioner has been assessed a failure
to file penalty and a failure to pay penalty, and is asking only that the
failure to file be waived because of the valid federal extension.
7. The balance of the interest due is caused by
the imposition of the failure to file penalty.
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
Because
the Petitioner filed a valid federal extension and filed a copy of that
extension with the state return, and further because they have already
calculated and paid the failure to pay penalty in amount of 10% of the tax,
together with interest due thereon, the remaining failure to file penalty and
the balance of the interest should be waived.
Based
upon the foregoing, the Tax Commission finds that sufficient cause has been
shown which would justify a waiver of the failure to file penalty and the
balance of the interest associated with the fiscal year ended XXXXX,
Corporation Franchise Tax. It is so
ordered.
DATED
this 6th day of December, 1991.
BY ORDER OF THE UTAH STATE TAX COMMISSION.
R. H. Hansen Roger
O. Tew
Chairman Commissioner
Joe B.
Pacheco S.
Blaine Willes
Commissioner Commissioner