97-1328
INSURANCE PREMIUM
Signed 2/23/97
BEFORE THE UTAH STATE TAX
COMMISSION
____________________________________
COMPANY B, )
:
Petitioner, ) DECISION
:
v. )
:
AUDITING DIVISION
OF THE ) Appeal No. 97-1328
UTAH STATE TAX
COMMISSION, :
STATE OF UTAH, ) Account
No. #####
:
Respondent. ) Tax
Type: Insurance Premium
_____________________________________
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 November 6,
1997. Gail S. Reich, Administrative Law
Judge, heard the matter for and on behalf of the Commission. Present by telephone and representing
Petitioner was PETITIONER. Present and
representing Respondent were Mr. Frank Hales and Ms. Julie Jones, of the
Auditing Division.
This case involves
a waiver request for penalty and interest imposed as a result of an audit of
the 1993 tax year. The Division
indicated that this constitutes first time error on the account. The Commission guidelines indicate that
first time error constitutes grounds to justify waiver of the penalty. No grounds were presented to justify waiver
of the interest on the additional tax due since the interest simply represents
the fact that the Petitioner and not the Tax Commission had the funds during
the interim period.
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, it has been determined that sufficient cause does
exist to waive the penalty but not the interest associated with the period in
issue. 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 23 day
of February, 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 23 day of
February, 1997.
BY ORDER OF THE UTAH
STATE TAX COMMISSION.
W. Val Oveson Richard B. McKeown
Chairman Commissioner
Joe B. Pacheco Pam Hendrickson
Commissioner Commissioner
^^