94-1371
Sales Tax
Signed 4/5/95
BEFORE THE UTAH STATE TAX
COMMISSION
____________________________________
XXXXX, )
:
Petitioner, : ORDER
:
v. : Appeal No. 94-1371
:
COLLECTION
DIVISION OF THE : Account No. XXXXX
UTAH STATE TAX COMMISSION, :
:
Respondent. : Tax Type: Sales 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 $$$$$ with interest of approximately $$$$$ for XXXXX and penalties of $$$$$
with interest of approximately $$$$$ for XXXXX were assessed against Petitioner
relating to sales tax. Petitioner had
requested a waiver of the penalties and interest from the Collection Division
Waiver Unit which was denied.
Petitioner paid sales tax XXXXX.
The amount of the underlying sales tax for XXXXX was $$$$$ and for XXXXX
was $$$$$.
At
the conference Petitioner stated that she received in the mail the XXXXX notice
of the sales tax and form to be filed for that year. Petitioner did not receive these forms in the mail for XXXXX. In XXXXX in question Petitioner had waited
to receive the forms and when they were not mailed to her within a few months
she personally went to the Tax Commission to obtain the proper forms, prior to
receiving any notice from the Tax Commission.
Petitioner
stated that she was in good faith trying to comply with the law and pay the tax
that she owed. Petitioner was upset that she had not received any notice about
the penalties and interest assessed for the years in question until XXXXX.
Respondent
stated that Petitioner filed and paid the sales tax for XXXXX and the sales tax
for XXXXX. Respondent stated that the
Petitioner is required to determine what her filing obligations are and to
comply with these obligations. Respondent also acknowledged that Petitioner did
locate and file the proper forms prior to being contacted by the Tax Commission
about a delinquency.
Respondent
stated that a hold code had been placed on mailings to Petitioner. Petitioner replied that the address placed
on hold was the Petitioner's correct address and if notices would have been
mailed to her at that address she would have received them. Respondent recommended reducing the
penalties to $$$$$ for each year in question because the Petitioner did remedy
the situation prior to being contacted by the Tax Commission and the Tax
Commission was at partial fault because it had placed, in error, a hold on its
mailings to Petitioner.
In
considering Petitioner's request for waiver or reduction of the interest the
Tax Commission applies more stringent reasonable cause standards because
Petitioner continued to enjoy the benefit of the use of the funds and the State
of Utah was denied to benefit of the use of the funds from the time the
underlying taxes were due until they were actually paid by Petitioner.
Based
upon the information presented at the conference, and the records of the Tax
Commission, the Commission finds sufficient cause has been shown to waive the
penalties of $$$$$ for XXXXX and the
penalties of $$$$$ for XXXXX assessed relating to sales tax. Sufficient cause has not been shown to waive
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 5th day of April, 1995.
BY ORDER OF THE UTAH STATE TAX COMMISSION.
W. Val
Oveson Roger
O. Tew
Chairman Commissioner
Joe B.
Pacheco Alice
Shearer
Commissioner Commissioner
^^