93-0780

Corporate Franchise

Signed 6/30/96

BEFORE THE UTAH STATE TAX COMMISSION

_____________________________________

XXXXX

) ORDER

)

Petitioner, )

vs. )

)

AUDITING DIVISION OF THE UTAH )

STATE TAX COMMISSION, ) Appeal No. 93‑0780

)

Respondent. )

_____________________________________

The Tax Commission hereby approves the settlement terms contained in the accompanying Stipulation between XXXXX ("XXXXX") and the Auditing Division of the Utah State Tax Commission ("Auditing Division"). The Auditing Division's claim regarding the corporate franchise tax and interest deficiency of XXXXX for the period of time from XXXXX through XXXXX shall be satisfied by the payment of $$$$$ within 30 days from the date of this Order as provided in the Stipulation. Appeal No. 93‑0780 is hereby dismissed.

DATED this 30 day of June, 1993.

BY ORDER OF THE UTAH STATE TAX COMMISSION:

R. H. Hansen Roger O. Tew

Chairman Commissioner

Joe B. Pacheco S. Blaine Willes

Commissioner Commissioner

BEFORE THE UTAH STATE TAX COMMISSION

_____________________________________

XXXXX

) STIPULATION

)

Petitioner, )

)

vs. )

)

AUDITING DIVISION OF THE UTAH )

STATE TAX COMMISSION, ) Appeal No. 93‑0780

)

Respondent. )

_____________________________________

XXXXX ("XXXXX") and the Auditing Division of the Utah State Tax Commission ("Auditing Division") Stipulate as follows:

1. The Auditing Division has issued a Statutory Notice of Deficiency to XXXXX alleging that additional corporate franchise tax is due for the period of time from XXXXX through XXXXX ("the audit period").

2. The parties agree and recognize that the issues underlying the audit give rise to good faith arguments with respect to the positions of both parties and present inherent risks of litigation. Accordingly, it is the mutual desire of the Parties to arrive at a settlement which fully resolves the matter in a satisfactory and economical fashion.

3. XXXXX agrees to make payment in the amount of $$$$$ in full settlement of its corporate franchise tax and interest liability for the audit period within 30 days of the date this Stipulation is approved by the Tax Commission.

4. As part of this settlement, XXXXX agrees that it shall not seek any refund relating to FAS 87 adjustments for taxable years beginning before XXXXX, and that any net losses incurred by XXXXX, XXXXX, or XXXXX for taxable years before or during the audit period shall not be carried forward beyond the audit period.

5. Both parties agree that the settlement of this matter shall not have any retroactive or prospective application to periods other than the audit period.

6. If federal taxable income for any year addressed in the audit is increased or decreased as a result of a revenue agent's report ("RAR") arising from a federal tax audit, a deficiency may be asserted by the Auditing Division or a refund may be claimed by XXXXX solely on the issues raised by the RAR. Adjustments to Utah income or loss resulting from the RAR shall be calculated using the apportionment fractions used in the audit.

7. The Auditing Division recommends that the Tax Commission accept the terms of this Stipulation in settlement of this matter.

8. The parties understand that this Stipulation is subject to approval by the Tax Commission. In the event the Commission fails to approve the Stipulation, it shall be without effect and shall not be admissible as evidence against XXXXX or the Auditing Division.

9. The parties stipulate that the above‑captioned appeal shall be dismissed upon approval of this Stipulation by the Tax Commission.

DATED XXXXX

XXXXX

DATED: XXXXX

XXXXX

Assistant Attorney General

Attorney for Auditing Division

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