BEFORE THE UTAH STATE TAX
COMMISSION
___________________________
In Re: ) FINDINGS OF FACT,
: CONCLUSIONS
OF LAW
XXXXX ) AND FINAL DECISION
:
: Appeal No.
91-1430
: Account
No. XXXXX
______________________________
STATEMENT OF CASE
This
matter came before the Utah State Tax Commission for a formal hearing by
telephone on XXXXX. Lisa L. Olpin,
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 and use tax.
2. The period in question is the third quarter
XXXXX through the second quarter of XXXXX.
3. Petitioner filed its third quarter XXXXX
sales and use tax return and paid the tax in the amount of $$$$$ on XXXXX. A $$$$$ penalty was assessed plus interest.
4. Petitioner filed its fourth quarter XXXXX
sales and use tax return and paid the tax in the amount of $$$$$ on XXXXX. A $$$$$ penalty was assessed plus interest.
5. Petitioner filed its first quarter XXXXX
sales and use tax return and paid the tax in the amount of $$$$$ on XXXXX. A $$$$$ penalty was assessed plus interest.
6. Petitioner filed its second quarter XXXXX
sales and use tax return on XXXXX. The
tax in the amount of $$$$$ was paid on XXXXX.
A $$$$$ penalty was assessed plus interest.
7. Petitioner filed its third quarter XXXXX
sales and use tax return on XXXXX. The
tax in the amount of $$$$$ was paid on XXXXX.
A $$$$$ penalty was assessed plus interest.
8. Petitioner filed its fourth quarter XXXXX
sales and use tax return on XXXXX. The
tax in the amount of $$$$$ was paid on XXXXX.
A $$$$$ penalty was assessed plus interest.
9. Petitioner filed its first quarter XXXXX
sales and use tax return on XXXXX. The
tax in the amount of $$$$$ was paid on XXXXX.
A $$$$$ penalty was assessed plus interest.
10. Petitioner filed its second quarter XXXXX
sales and use tax return on XXXXX. The
tax in the amount of $$$$$ was paid on XXXXX.
A $$$$$ penalty was assessed plus interest.
11. In XXXXX or so, Petitioner's restaurant
business was doing well in XXXXX. When
the XXXXX, however, Petitioner lost a great deal of business with the loss of
XXXXX in the area.
12. For awhile Petitioner managed to keep up
with its taxes by putting off other bills.
13. Finally, Petitioner was in such a financial
fiasco that the taxes were used to pay bills.
14. During this difficult period, the owner's
father XXXXX and the owner became XXXXX.
After XXXXX in XXXXX, the owner, XXXXX, found enough work XXXXX to keep
his restaurant going.
15. Today, the restaurant is doing very well and
the owner has managed to catch up with his taxes on a payment plan with the Tax
Commission.
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
XXXXX
ability to rebound financially after a difficult period is commendable. Payment plans are designed to help those in
need of special arrangements. The
penalties and interest that can accrue during slow periods, however, cannot be
waived. The sales and use taxes that
Petitioner used to his benefit were never the business's to begin with.
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
and use tax for the periods in question.
It is so ordered.
DATED
this 13th day of February, 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