91-1253 - Sales

 

BEFORE THE UTAH STATE TAX COMMISSION

__________________________

In Re: ) FINDINGS OF FACT,

: CONCLUSIONS OF LAW,

XXXXX ) AND FINAL DECISION

:

: Appeal No. 91-1253

: Account No. XXXXX

___________________________

STATEMENT OF CASE

This matter came before the Utah State Tax Commission for a formal hearing on XXXXX. Paul F. Iwasaki, 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 sales tax.

2. The periods in question are the first, second, third and fourth quarters of XXXXX.

3. The Petitioner's sales tax return for the first quarter of XXXXX was not filed until XXXXX. As a result, a penalty in the amount of $$$$$ was assessed.

4. For the second and third quarters of XXXXX, the returns were filed timely, however, were paid late. As a result, penalties in the amount of $$$$$ and $$$$$ respectively were assessed.

5. For the fourth quarter of XXXXX the sales tax return was not filed nor paid until XXXXX. As a result, a penalty in the amount of $$$$$ was assessed.

6. The payment and filing of the sales tax returns were the responsibility of the secretary of the company, who was also an officer of the corporation. That person simply failed to perform her responsibilities.

7. The Petitioner's representative requested a waiver of the penalties and interest associated with the above referenced time periods claiming that holding the company responsible for the malfeasance of one of its officers would be unfair.

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

In the present case, the Tax Commission finds that it is not inappropriate to assess penalties or interest in the present case when an officer of the corporation fails to perform his or her duties.

Based upon the foregoing, the Tax Commission finds that sufficient cause has not been shown which would justify a waiver of the penalties associated with the sales tax for the first, second, third and fourth quarters of XXXXX. It is so ordered.

DATED this 19th 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