BEFORE THE UTAH STATE TAX
COMMISSION
_________________________________
In Re: )
:
XXXXX, ) FINDINGS OF FACT,
: CONCLUSIONS
OF LAW,
) AND FINAL
DECISION
:
) Appeal No.
92-1776
: Account
No. XXXXX
___________________________
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, president of 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 withholding tax.
2. The periods in question are the years XXXXX
and XXXXX.
3. Petitioner was initially assessed an $$$$$
penalty for failing to file copies of W-2 forms at the end of XXXXX and XXXXX.
4. Petitioner, only in business since XXXXX,
admits that it did not submit the W-2 forms in question.
5. Mr. XXXXX, president of the company,
testified that he had attended a Tax Commission seminar to learn about his tax
liabilities right after he started his business. He doesn't recall being told about needing to send in W-2 forms
at the end of the year.
6. Petitioner did file and pay its withholding
taxes on time for all quarters in XXXXX and XXXXX.
7. During the period in question, Petitioner
only had three employees plus some help from family members.
8. The Tax Commission contacted Petitioner in
XXXXX for the W-2 forms. Petitioner
feels that two years is too long to wait for the Tax Commission to discover
deficiencies.
9. XXXXX of the Auditing Division stated that
the state has over 40,000 withholding accounts to deal with, attributing to the
delay.
10. The Tax Commission previously reduced
Petitioner's penalty to $$$$$. In a
notice to Petitioner from the Tax Commission, however, it states that the
penalty was reduced to $$$$$.
CONCLUSIONS OF LAW
The
Tax Commission is granted the authority to waive, reduce, or compromise
penalties and interest upon a showing of reasonable cause. (Utah Code Ann.
§59-1-401(8).)
DECISION AND ORDER
Based
upon the foregoing, the Tax Commission finds that sufficient cause has not been
shown which would justify a further reduction of the penalty associated with
the W-2 forms due on the years XXXXX and XXXXX. The Commission directs the Auditing Division to assure that
Petitioner's penalty is $$$$$ for the period in question and not $$$$$ as the
computer record is currently showing.
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