BEFORE THE UTAH STATE TAX
COMMISSION
____________________________
In Re: ) FINDINGS OF FACT,
: CONCLUSIONS
OF LAW,
XXXXX ) AND FINAL DECISION
:
: Appeal No.
91-1303
: Account
No. XXXXX
_____________________________
STATEMENT OF CASE
This
matter came before the Utah State Tax Commission for a formal telephone hearing
on XXXXX. G. Blaine Davis, Administrative
Law Judge and 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 corporate franchise
tax.
2. The periods in question are XXXXX and XXXXX.
3. For the two periods in question, the
Petitioner filed a request for extension of time in which to file the annual
corporate franchise tax return, but it did not make any prepayments of tax due
with the extension applications.
4. The returns for both periods were filed
within the extension period showing the minimum $$$$$ franchise tax due, and
said amount was paid within the extension period.
5. Because the required prepayments had not
been made, the returns were treated as though the extensions were not valid,
and a late filing penalty of $$$$$ and a late payment penalty of $$$$$ was
applied to each of the years in question.
6. The Petitioner never received notice that
the extensions would not be honored as valid extensions, and it never received
notice of the imposition of any penalties for either year until XXXXX.
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
Where
the returns were filed and paid within the extension period, the Commission
finds that sufficient cause has been shown which would justify a waiver of the
penalty, but sufficient cause has not been shown to justify a waiver of the
interest. However, interest shall be
adjusted based upon the waivers of penalty.
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