93-2190

Sales

Signed 2/17/94

BEFORE THE UTAH STATE TAX COMMISSION

____________________________________

In Re: )

: ORDER

XXXXX, )

: Appeal No. 93-2190

)

: Account No. XXXXX

_____________________________________

STATEMENT OF CASE

This matter came before the Utah State Tax Commission for a Settlement Conference pursuant to the provisions of Utah Code Ann. '59-1-502.5, on XXXXX. Paul F. Iwasaki, Presiding Officer, heard the matter for and on behalf of the Commission. Present and representing the Petitioner were XXXXX and XXXXX.

The Petitioner had requested a waiver of penalty and interest associated with the late filing and payment of the sales tax returns for the third and fourth quarters of XXXXX and all four quarters of XXXXX.

The Petitioner's representatives stated that the general partner who was responsible for managing the business in XXXXX acted in a grossly negligent manner in dealing with the financial and tax matters of the XXXXX. As a result of his malfeasance, the XXXXX partnership sustained approximately $$$$$ in losses. In XXXXX, and again in XXXXX, two new general partners were appointed managers of the XXXXX partnership. Due to their efforts, a repayment agreement had been reached with the Tax commission which the partnership has attempted to honor.

It was the position of the Petitioner's representatives that the XXXXX XXXXX has been operating in good faith in paying back its sales tax liabilities and that imposition of the penalties would be unnecessarily punitive.

DECISION AND ORDER

Based upon the information presented at the conference, and the records of the Tax Commission, the Commission finds sufficient cause has not been shown to waive the penalties and interest assessed for the above mentioned periods.

This Decision and Order will become the Final Decision and Order of the Commission unless any party to this case files a written request for a Formal Hearing within ten (10) days of the date of this decision. Such a request shall be mailed to the address listed below and must include the Petitioner's name, address, and appeal number:

Utah State Tax Commission

Appeals Division

160 East 300 South

Salt Lake City, Utah 84134

It is so ordered.

DATED this 17th day of February, 1994.

BY ORDER OF THE UTAH STATE TAX COMMISSION.

W. Val Oveson Roger O. Tew

Chairman Commissioner

Joe B. Pacheco Alice Shearer

Commissioner Commissioner

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