97-0614

SPECIAL FUEL

Signed 8/26/97

BEFORE THE UTAH STATE TAX COMMISSION

____________________________________

PETITIONER, )

:

Petitioner, ) DECISION

:

v. )

:

AUDITING DIVISION OF THE ) Appeal No. 97-0614

UTAH STATE TAX COMMISSION, :

STATE OF UTAH, ) Account No. #####

:

Respondent. ) Tax Type: Special Fuel

_____________________________________

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 adjudicative proceedings. A hearing was held on July 15, 1997. G. Blaine Davis, Administrative Law Judge, and Pam Hendrickson, Commissioner, heard the matter for and on behalf of the Commission. Present on the telephone and representing Petitioner was PETITIONERS REP.. Present and representing Respondent were Mr. Frank Hales and Ms. Julie Jones, from the Auditing Division.

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

FINDINGS

Petitioner was assessed a penalty on its special fuel tax and has represented that it was based upon confusion over when and how it was supposed to be paid. Petitioner represents that it believed that the tax was paid when the fuel was purchased. However, the records of the Commission indicate that even though there was a period of no activity, that for prior periods, Petitioner was properly filing returns and paying the amounts due thereon. This was the second time Petitioner has had the same type of problem.

Petitioner further requested a waiver on the basis of financial hardship, because he is presently living on social security and has very few funds with which to pay the penalty and 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 associated with the special fuel tax of Petitioner. It is so ordered.

DATED this 26 day of AUGUST, 1997.

BY ORDER OF THE UTAH STATE TAX COMMISSION.

G. BLAINE DAVIS

Administrative Law Judge

The agency has reviewed this case and the undersigned concur in this decision.

DATED this 26 day of AUGUST, 1997.

BY ORDER OF THE UTAH STATE TAX COMMISSION.

W. Val Oveson Richard B. McKeown

Chairman Commissioner

Joe B. Pacheco Pam Hendrickson

Commissioner Commissioner

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