98-0295
Withholding Tax
Signed 7/13/98
BEFORE THE UTAH STATE TAX
COMMISSION
____________________________________
PETITIONER, :
:
Petitioner, : ORDER
:
v. : Appeal No. 98-0295
:
COLLECTION
DIVISION OF THE : Account No. #####
UTAH STATE TAX COMMISSION, :
STATE OF UTAH, :
:
Respondent. : Tax Type: Withholding Tax
_____________________________________
STATEMENT OF CASE
This
matter came before the Utah State Tax Commission for an Initial Hearing
pursuant to the provisions of Utah Code Ann. §59-1-502.5 on May 12, 1998. Gail S. Reich, Administrative Law Judge,
heard the matter for and on behalf of the Commission. Present on the telephone and representing Petitioner were
NAME. Present and representing
Respondent were Ms. Vickie Christoffersen and Ms. Laurie Allred, from the
Collection Division.
This
appeal involves late filing and late payment penalties imposed for January,
February, March, April, May, June, July, August and September of 1997. Petitioner filed and paid on November 19,
1997. Petitioner argued that a new
business entity was created and the business transition, coupled with employee
error, created this problem. Petitioner
characterized the problem as a one time error.
Petitioner also referred to a good history of payment under another
filing number. Respondent represented
the penalties as being placed in an appropriate manner and recommended that
none be waived.
The
withholding tax obligation is a monthly obligation. The record supports waiver of the first month, that is January,
on first time error. Unfortunately the
record does not support grounds for waiver of the penalties imposed for the
remaining months in issue.
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 exist to waive the penalty
associated with January 1997, but not the remainder of the penalties. 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, Utah 84134
Failure
to request a Formal Hearing will preclude any further appeal rights in this
matter.
DATED
this 13 day of July, 1998.
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 13 day of July, 1998.
BY ORDER OF THE UTAH STATE TAX COMMISSION.
W. Val
Oveson Richard
B. McKeown
Chairman Commissioner
Joe B.
Pacheco Pam
Hendrickson
Commissioner Commissioner
^^