94-2075

Withholding

Signed 5/4/95

BEFORE THE UTAH STATE TAX COMMISSION

____________________________________

XXXXX

:

Petitioner, ) INFORMAL DECISION

:

v. )

:

COLLECTION DIVISION OF THE ) Appeal No. 94-2075

UTAH STATE TAX COMMISSION, :

) Account No. XXXXX

:

Respondent. ) Tax Type: Withholding

_____________________________________

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. Gail S. Reich, Administrative Law Judge, heard the matter for and on behalf of the Commission. Present and representing Petitioner by telephone was XXXXX, Accountant for Petitioner. Present and representing Respondent was XXXXX of the Collection Division.

Based upon the evidence in the file and presented at the informal hearing, the Commission makes its:

FINDINGS

This appeal involves penalty and interest imposed in regards to withholding tax for the second quarter of XXXXX. Petitioner's representative explained that she forgot to make the payment for second quarter of XXXXX but felt that a refund which was due on an unrelated matter could have offset this payment and therefore requested refund of the penalty and interest. XXXXX of the Collection Division explained that the basis on which Petitioner was relying did not constitute reasonable cause for waiver.

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(8).)

DECISION AND ORDER

Upon thorough review of the entire matter, the Tax Commission finds sufficient cause does not exist to waive the penalty or interest associated with the withholding tax for XXXXX and therefore denies Petitioner's request for a refund. It is so ordered.

DATED this 4 day of May, 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 Petition for Judicial Review by trial de novo in district court. (Utah Administrative Rule R861-1-5A(P) and Utah Code Ann. '63-46b-15.)

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