93-0790

Sales

Signed 9/22/93

BEFORE THE UTAH STATE TAX COMMISSION

____________________________________

In Re: )

:

XXXXX, ) FINDINGS OF FACT,

: CONCLUSIONS OF LAW,

) AND FINAL DECISION

:

) Appeal No. 93-0790

: 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, Petitioner's certified public accountant, and XXXXX, Petitioner's controller.

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 quarters in question are the fourth quarter XXXXX and the first quarter XXXXX.

3. According to Petitioner's account history, Petitioner filed and paid its fourth quarter XXXXX sales and use tax ($$$$$) on XXXXX, two weeks late. A $$$$$ penalty was assessed plus interest.

4. Petitioner filed and paid its first quarter XXXXX sales and use tax ($$$$$) on XXXXX, over a month late. Penalties in the amount of $$$$$ were assessed plus interest.

5. Petitioner contends that it filed and paid its fourth quarter XXXXX sales and use taxes on time (XXXXX) and, therefore, is requesting a waiver of the penalty and interest assessments.

6. After the hearing in this matter, the envelope Petitioner used to remit the fourth quarter XXXXX return and payment was pulled from Commission records. The envelope is postmarked twice, once on XXXXX in XXXXX and again, on XXXXX in XXXXX.

7. Turning to the first quarter XXXXX sales and use tax return, Petitioner claims that although it prepared the return on time, it was purely oversight in failing to send it and the payment in on time.

8. XXXXX and XXXXX, who appeared on behalf of Petitioner, mentioned that Petitioner had sent a payment of $$$$$ to the Commission in order to settle the penalty and interest assessments on this first quarter XXXXX. According to Commission records, a settlement amount was not agreed upon.

9. Petitioner is requesting a waiver of the penalty and interest assessments on the fourth quarter XXXXX and acceptance of the $$$$$ payment on the first quarter XXXXX as payment in full.

10. Petitioner has made late sales and use tax payments since the first quarter XXXXX filing.

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 penalties and interest associated with the sales and use tax due on the fourth quarter XXXXX in that Petitioner sent in the filing and payment on time. Sufficient cause has not been shown, however, to

justify a waiver of the penalty and interest assessments on the first quarter XXXXX sales and use tax. It is so ordered.

DATED this 22nd day of September, 1993.

BY ORDER OF THE UTAH STATE TAX COMMISSION.

W. Val Oveson Roger O. Tew

Chairman Commissioner

Joe B. Pacheco Alice Shearer

Commissioner Commissioner

NOTICE: You have twenty (20) days after the date of the final order to file a request for reconsideration or thirty (30) days after the date of final order to file in Supreme Court a petition for judicial review. Utah Code Ann. ''63-46b-13(1), 63-46b-14(2)(a).

^^