91-1278 - Corporation Franchise

 

BEFORE THE UTAH STATE TAX COMMISSION

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In Re:                                                                           :           INFORMAL DECISION

XXXXX,                                                                                 )           Appeal No. 91-1278

                                                                                    :           Account No. XXXXX

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STATEMENT OF CASE

            This matter came before the Utah State Tax Commission pursuant to the Administrative Procedures Act and the rules of the Utah State Tax Commission for informal proceedings.  No hearing was requested, therefore, this decision is based upon information contained in the Tax Commission's file.

FINDINGS

            The Petitioner was assessed a $$$$$ penalty for late filing and payment of their corporate tax returns.

            The Petitioner timely filed a federal extension request, and assumed that the federal extension was valid for the State Tax Return.  However, the Petitioner did not prepay the $$$$$ minimum tax because they anticipated a loss and assumed that no tax would be due.  Therefore, the only tax due was the $$$$$ minimum corporate franchise tax, and if that amount had been prepaid, then no penalty would have been imposed.

DECISION AND ORDER

            The Tax Commission finds sufficient cause does exist to waive the penalty associated with the corporation tax return for XXXXX.  It is so ordered.

            DATED this 16 day of August, 1991.

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