92-1098 - Sales

BEFORE THE UTAH STATE TAX COMMISSION

_____________________________________

In Re: )

:

XXXXX, ) FINDINGS OF FACT,

: CONCLUSIONS OF LAW,

) AND FINAL DECISION

:

) Appeal No. 92-1098

: Account No. XXXXX

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STATEMENT OF CASE

This matter came before the Utah State Tax Commission for a formal hearing on XXXXX. Lisa L. Olpin, Presiding Officer, heard the matter for and on behalf of the Commission. Present and representing the Petitioner was XXXXX XXXXX, attorney.

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 the prepayment of sales and use tax.

2. The period in question is XXXXX through XXXXX.

3. Petitioner filed and paid its prepayment of sales and use taxes together with its regular second quarter filing. Petitioner was assessed a penalty and interest as a result of the late filing and payment.

4. Prior to this particular prepayment period, Petitioner has an unblemished record of timely payments and filings.

5. In late spring XXXXX, Petitioner installed a new computer system. This system required switching over from one computer system to another. In the process, a number of problems occurred, requiring more time and effort than originally anticipated.

6. During this bookkeeping/business record conversion process, Petitioner overlooked the prepayment date.

7. Petitioner caught the error and filed and paid the prepayment on XXXXX. The Tax Commission did not seek out Petitioner for payment.

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

When the Tax Commission first reviewed Petitioner's request for a waiver in this matter, the Commission did not have the information that Petitioner later provided at the formal hearing.

Now in receipt of all information, the Tax Commission finds that sufficient cause exists to waive the penalty assessed in this case. Interest is not waived. It is so ordered.

DATED this 31st day of August, 1992.

BY ORDER OF THE UTAH STATE TAX COMMISSION.

R. H. Hansen Roger O. Tew

Chairman Commissioner

Joe B. Pacheco S. Blaine Willes

Commissioner Commissioner