94-1366
Withholding Tax
____________________________________
XXXXX, )
:
Petitioner, : ORDER
:
v. : Appeal No. 94-1366
:
COLLECTION
DIVISION OF THE : Account No. XXXXX
UTAH STATE TAX COMMISSION, :
:
Respondent. : Tax Type: Withholding Tax
_____________________________________
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. Jane Phan, Administrative Law Judge, heard the
matter for and on behalf of the Commission.
Present and representing Petitioner was XXXXX. Present and representing Respondent was XXXXX.
Penalties
of $$$$$ and interest of $$$$$ were assessed against Petitioner relating to
XXXXX withholding taxes for XXXXX. The underlying amount of the XXXXX
withholding tax was $$$$$. Petitioner
had requested a waiver of the penalties from the Collection Division Waiver
Unit which was denied.
At
the conference Petitioner stated that he had made an inadvertent, honest, error
in that he forgot to file his XXXXX XXXXX withholding tax. As soon as the Tax Commission notified
Petitioner of his failure to file, Petitioner filed and made the necessary
payment. Petitioner stated that this
was the first error he had made in XXXXX of filing. Petitioner was not appealing the interest assessment. Further, Petitioner stated that the
penalties were excessive. He stated
that he thought the penalties should be only $$$$$.
Respondent
stated that Petitioner did have a good filing and payment history but had some
concerns about his filing withholding with $$$$$ amounts for the XXXXX of the
year and the XXXXX during the XXXXX.
Petitioner stated that this was done because he was the XXXXX and he
XXXXX XXXXX in XXXXX. Respondent stated
that Petitioner did pay the amount due as soon as he was notified of the error.
Respondent
stated that Petitioner's statements did not rise to the level of reasonable
cause and the penalties were validly assessed according to Utah law. Respondent would not recommend waiving and
of the penalties.
DECISION AND ORDER
Based
upon the information presented at the conference, and the records of the Tax
Commission, the Commission finds sufficient cause has been shown to reduce the
penalties assessed for the XXXXX tax period to only the XXXXX late penalty,
resulting in a penalty of $$$$$.
Petitioner did not request waiver of the interest.
This
decision does not limit a party's right to a formal hearing. However, this Decision and Order will become
the Final Decision and Order of the Commission unless any party to this case
files a written request within thirty (30) days of the date of this decision to
proceed to a Formal Hearing. 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
210 North 1950 West
Salt Lake City, Utah 84134
Failure
to request a Formal Hearing will preclude any further administrative action or
appeal rights in this matter.
DATED
this 15th day of March, 1995.
BY ORDER OF THE UTAH STATE TAX COMMISSION.
W. Val
Oveson Roger
O. Tew
Chairman Commissioner
Joe B.
Pacheco Alice
Shearer
Commissioner Commissioner
^^