97-1222

WITHHOLDING

Signed 9/3/97

BEFORE THE UTAH STATE TAX COMMISSION

____________________________________

COMPANY A, )

:

Petitioner, ) DECISION

:

v. )

:

COLLECTION DIVISION OF THE ) Appeal No. 97-1222

UTAH STATE TAX COMMISSION, :

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

:

Respondent. ) Tax Type: Withholding 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 adjudicative proceeding. A hearing was held on August 27, 1997. Gail S. Reich, Administrative Law Judge, heard the matter for and on behalf of the Commission. Present and representing Petitioner by telephone was PETITIONERS REP.. Present and representing Respondent was Laurie Allred, of the Collection Division.

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

FINDINGS

This appeal involves January and February of 1997 regarding withholding tax. For January, an $$$$$ late filing penalty was imposed and a $$$$$ late payment penalty was imposed with approximately $$$$$ of interest having accrued. For February, $$$$$ late filing penalty was imposed, a $$$$$ late payment penalty was imposed, and approximately $$$$$ has accrued in interest. The January filing was due at the end of February and was not filed or paid until April 30, 1997. The February payment was due March 31, 1997 and was not filed or paid until April 30, 1997. The record indicates that there were eight delinquencies prior to this within the last four years. Petitioner is requesting the waiver of penalty and interest based on the failure to receive the coupon booklet. The Respondent=s position is that the coupon booklet is not the event that triggers the tax obligation. The tax obligation exists and the filing dates are to be complied with separate and apart from the receipt of the coupon booklet. The Petitioner was a monthly filer since January of 1992.

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

A complete review of the file has been conducted and the positions and all issues raised by the Petitioner and Respondent have been taken into consideration. It has been determined that sufficient cause does not exist to waive the penalty or interest associated with the periods in issue. It is so ordered.

DATED this 3 day of SEPTEMBER, 1997.

BY ORDER OF THE UTAH STATE TAX COMMISSION.

_____________________________

GAIL S. REICH

Administrative Law Judge

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

DATED this 3 day of SEPTEMBER, 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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