97-1253
WITHHOLDING
Signed 12/30/97
BEFORE THE UTAH STATE TAX
COMMISSION
____________________________________
PETITIONERS, )
:
Petitioner, ) DECISION
:
v. )
:
COLLECTION DIVISION
OF THE ) Appeal
No. 97-1253
UTAH STATE TAX
COMMISSION, :
STATE OF UTAH, ) Account
No. #####
:
Respondent. ) Tax
Type: Withholding Tax
_____________________________________
IMPORTANT NOTICE: On October 7, 1997 the Utah Supreme Court, in Evans
and Sutherland Computer Corp v. Utah State Tax Commission,
invalidated the informal adjudicative process by disallowing trial de novo to the
District Court. Therefore, your appeal
is now being processed as a formal adjudicative proceeding. Under this process, you are entitled to an
additional right. Utah Law allows for
an Initial Hearing before the matter is heard on the record in a formal
proceeding. Therefore, the hearing held
in this matter will constitute the Initial Hearing. Please note in the body of
the decision your right to, and the method of request, for a formal hearing.
STATEMENT OF CASE
This matter came
before the Utah State Tax Commission pursuant to the provisions of Utah Code
Ann. '59-1-502.5 An Initial Hearing was held on August 27,
1997. Gail S, Reich, Administrative Law
Judge, heard the matter for and on behalf of the Commission. Present by telephone and representing
Petitioner NAME. 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 the third and fourth quarters of withholding tax for 1996. Petitioner indicated that a serious medical
condition of a family member was the cause of the late filing and late payment,
which resulted in a $$$$$ penalty.
Petitioner was able to verify, with medical documentation, the reason
for the delay. Based on that
documentation, the Division has recommended waiver of the penalty.
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
After a thorough
review of the entire matter and the issues raised by each of the parties it has
been determined that sufficient cause does exist to waive the penalty but not
the interest associated with the periods in issue. The problem was not due to Tax Commission error and the interest
simply reflects the fact that the taxpayer and not the Tax Commission had the
benefit of the funds during the interim period. It is so ordered.
This Decision does
not limit a party's right to a Formal Hearing.
Any party to this case may file a written request within thirty (30)
days of the date of this decision to proceed to a Formal Hearing. Such a request shall be mailed to the
address listed below and must include the Petitioner's name, address, and appeal
number:
Utah State Tax Commission
Appeals Division
210 North 1950 West
Salt Lake City, UT 84134
Failure to request
a Formal Hearing will preclude any further appeal rights in this matter.
DATED this _____ day of
____________, 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 30 day
of DECEMBER, 1997.
BY ORDER OF THE
UTAH STATE TAX COMMISSION.
W. Val Oveson Richard B. McKeown
Chairman Commissioner
Joe B. Pacheco Pam Hendrickson
Commissioner Commissioner
^^