95-0081

Withholding Tax

Signed 5/25/95

BEFORE THE UTAH STATE TAX COMMISSION

____________________________________

XXXXX,

Petitioner, ) INFORMAL DECISION

:

v. )

:

COLLECTION DIVISION OF THE ) Appeal No. 95-0081

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. Representing Petitioner was XXXXX. 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 matter involves a request for waiver of penalty and interest imposed for the first quarter of XXXXX. The penalty imposed was $$$$$, with approximately $$$$$ of interest. Petitioner's representative explained that the employee in charge of filing had been undergoing a deteriorating illness for some time which resulted in inattention to this matter. According to the representation the employee had previously made similar errors as a result of the deteriorating condition of the employee's health. Nevertheless, the employer had made the decision to retain the employee and continue to give the employee the responsibility of filing with the State Tax Commission.

Respondent asserted that the circumstances identified did not rise to the level of reasonable cause to justify a waiver of either the penalty or the interest.

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 penalty or interest associated with the withholding tax for the first quarter of XXXXX. It is so ordered.

DATED this 25 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 R861-1A-5(P) and Utah Code Ann. '63-46b-15.)

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