92-1674 - Withholding

BEFORE THE UTAH STATE TAX COMMISSION

_________________________________

In Re: ) FINDINGS OF FACT,

: CONCLUSIONS OF LAW,

XXXXX ) AND FINAL DECISION

XXXXX :

) Appeal No. 92-1674

: 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, Petitioner's business manager.

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 withholding tax.

2. The period in question is the month of November XXXXX.

3. Petitioner's business manager, XXXXX, stated that she received the withholding return in question from Petitioner's certified public accountant on XXXXX.

4. Ms. XXXXX recalls receiving the return and the check from the C.P.A.'s courier and then getting the two signatures necessary on the check.

5. She testified that there was nothing unusual about the way the return and the check were handled for the filing in question. She always processed the withholding filings in this manner.

6. On the occasion at issue, Ms. XXXXX remembers having to get one doctor to sign the check who doesn't usually sign and that the check amount was larger than usual.

7. After obtaining the signatures on XXXXX, Ms. XXXXX stated she mailed the return and check in the mailbox located on the street in front of Petitioner's building.

8. She has no idea why the return was received at the Tax Commission on XXXXX, eleven days late.

9. Ms. XXXXX said that she mailed the return just like she has so many others which arrived in time at the Tax Commission.

10. Petitioner has never been late before or since.

11. Petitioner is asking for a waiver of the ten percent late penalty plus interest assessments.

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

Based upon the foregoing, the Tax Commission finds that sufficient cause has been shown which would justify a waiver of the penalty associated with the withholding tax due for XXXXX. The interest is not waived. It is so ordered.

DATED this 12th day of March, 1993.

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