94-1409

Withholding Tax

Signed 3/15/95

 

BEFORE THE UTAH STATE TAX COMMISSION

____________________________________

XXXXX, )

:

Petitioner, : ORDER

:

v. : Appeal No. 94-1409

:

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 $$$$$ and interest of $$$$$ were assessed against Petitioner relating to withholding tax for the XXXXX XXXXX, XXXXX filing periods. The underlying amount of withholding tax owed for these periods was $$$$$. Petitioner had requested a waiver of penalties and interest from the Collection Division Waiver Unit which did reduce the penalty to $$$$$. Petitioner is appealing the remaining penalty but not the interest.

Petitioner's representative stated that Petitioner is a XXXXX and during the periods in question had a XXXXX who inadvertently neglected to file the withholding tax for the periods in questions. When Petitioner discovered the error it was prior to any contact from the Tax Commission and Petitioner immediately filed and paid the tax due.

Respondent agreed that Petitioner had corrected the error prior to any contact from the Tax Commission. Respondent stated that Petitioner's payment history was excellent. For these reasons Respondent felt that Petitioner had shown reasonable cause and recommended the penalty be waived.

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 waive the remaining penalties of $$$$$ assessed relating to withholding tax for the XXXXX, periods.

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

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