94-1453

Sales Tax

Signed 4/5/95

BEFORE THE UTAH STATE TAX COMMISSION

____________________________________

XXXXX

:

Petitioner, ) INFORMAL DECISION

:

v. )

:

COLLECTION DIVISION OF THE ) Appeal No. 94-1453

UTAH STATE TAX COMMISSION, :

) Account No. XXXXX

Respondent. :

) Tax Type: Sales Tax

_____________________________________

STATEMENT OF CASE

This matter came before the Utah State Tax Commission pursuant to the Administrative Procedures Act and the rules of the Utah State Tax Commission for informal proceedings. An Informal Hearing was held on XXXXX. Jane Phan, Administrative Law Judge, heard the matter for and on behalf of the Commission. Although notice of the date, time and location of the hearing had been duly given to Petitioner, Petitioner did not attend the hearing. Present and representing Respondent was XXXXX.

Based upon the evidence in the file and presented at the Informal Hearing, the Commission makes its:

FINDINGS

In the XXXXX letter requesting this appeal Petitioner requested waiver of penalties and interest relating to sales and use tax for the XXXXX and XXXXX tax years. Penalties of $$$$$ with interest of approximately $$$$$ for XXXXX and penalties of $$$$$ with interest of approximately $$$$$ for XXXXX were assessed against Petitioner.

Petitioner had not yet requested a waiver of the penalties and interest from the Collection Division Waiver Unit for the XXXXX tax year. Petitioner's letter of appeal, dated XXXXX, was his first request for an appeal of the XXXXX decision of the Collection Division Waiver Unit denying waiver of the penalties and interest relating to the XXXXX filing period. Respondent stated that Petitioner had not requested the appeal of the XXXXX decision within the time period allowed. In the documents provided by Petitioner, he presented no reason as to why the time period should be extended.

In the correspondence in the file from Petitioner, Petitioner stated that for XXXXX and XXXXX the TC-71 forms were returned undelivered to the Tax Commission because the Tax Commission had mailed them to his previous address. Petitioner stated that this was an error on the part of the Tax Commission. Petitioner stated that although his address had changed his phone number was the same. Further, Petitioner stated that he only sent payments when he received the forms so he did not know when to expect them. In the letter Petitioner stated that on XXXXX, XXXXX, from the Collection Division, called Petitioner concerning why he had not yet paid his XXXXX sales tax. At that time Petitioner asked about XXXXX stating that he had not received the forms. The letter further stated, "XXXXX said she would mail the TC-71 and that I would owe interest and penalty."

At the hearing Respondent stated that the information provided by Petitioner did not rise to the level of reasonable cause necessary for the waiver of penalties or interest. Respondent stated that taxpayers are required to notify the Tax Commission of a change of address and Petitioner failed to do so. Therefore, mailings to an old address resulted from an error on the part of the Petitioner and not the Tax Commission. Respondent further stated that it is Petitioner's responsibility to see that taxes are paid in a timely fashion and that any appeal from tax notices be made in a timely fashion.

APPLICABLE 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(10).)

DECISION AND ORDER

The Tax Commission finds sufficient cause does not exist to waive the penalties or interest associated with the sales and use tax for the XXXXX and XXXXX tax years.

DATED this 5 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

NOTICE: You have twenty (20) days after the date of a final order to file a Request for Reconsideration with the Commission. If you do not file a Request for Reconsideration with the Commission, you have thirty (30) days after the date of a final order to file a.) a Petition for Judicial Review in the Supreme Court, or b.) a Petition for Judicial Review by trial de novo in district court. (Utah Administrative Rule R861-1A-5(P) and Utah Code Ann. '63-46b-15.)

^^