Tax Type
Retail Sales and Use Tax
Description
Failure to collect and remit the tax
Topic
Collection of Delinquent Tax
Collection of Tax
Date Issued
04-12-1985
April 12, 1985
Re: §58.1-1821 Application/Sales and Use Tax
Dear ****
This will reply to your letter of November 15, 1984 on behalf of ***** "Taxpayer", protesting the Department's assessment in the above referenced case.
FACTS
From 1978 through 1983 Taxpayer operated a retail grocery store, making retail sales of merchandise, without collecting and reporting sales tax to the Department on such sales. Taxpayer claims that he did not collect sales tax because his registration number required to report the tax had been cancelled. Furthermore, Taxpayer asserts he was unsuccessful in his efforts to obtain a new registration number from the Department, but submits no documentation to support this proposition. It is our understanding that Taxpayer's prior registration was deleted on December 1, 1978 since his business organization changed from being a partnership to a sole proprietorship.
Taxpayer seeks abatement of the entire assessment since the department did not provide him with the means to collect the tax.
DETERMINATION
§§ 58.10-603 and 58.1-602(19) of the Virginia Code impose a sales tax on the retail sale of all tangible personal property in the state.
Subsection (16) of § 58.1-602 states further that a "sale" means "any transfer of title or possession, or both,...in any manner or by any means whatsoever, of tangible personal property., etc."
§58.1-612 of the Code states in pertinent part that the sales and use tax shall be collectible from all persons who are "dealers". "Dealer" is then defined as every person who: "Sells at retail, or who offers for sale at retail, or who has in his possession for sale at retail, or for use, consumption, or distribution...in this state, tangible personal property."
Taxpayer in the present case demonstrated his awareness of his obligation to collect and report sales tax by his actions prior to the period covered by this audit, (ie. while the business was being operated as a partnership). Furthermore, while Taxpayer asserts that he attempted to obtain a new registration-number from the Department, he submits nothing in writing to support such assertion. Nor has a thorough search of our files turned up any evidence of such written request ever having been filed.
Therefore, based on the information provided and all of the foregoing, I find no basis for relief from the assessment in the present case, the full amount of which is hereby due and payable.
Sincerely,
W. H. Forst
Tax Commissioner
Re: §58.1-1821 Application/Sales and Use Tax
Dear ****
This will reply to your letter of November 15, 1984 on behalf of ***** "Taxpayer", protesting the Department's assessment in the above referenced case.
FACTS
From 1978 through 1983 Taxpayer operated a retail grocery store, making retail sales of merchandise, without collecting and reporting sales tax to the Department on such sales. Taxpayer claims that he did not collect sales tax because his registration number required to report the tax had been cancelled. Furthermore, Taxpayer asserts he was unsuccessful in his efforts to obtain a new registration number from the Department, but submits no documentation to support this proposition. It is our understanding that Taxpayer's prior registration was deleted on December 1, 1978 since his business organization changed from being a partnership to a sole proprietorship.
Taxpayer seeks abatement of the entire assessment since the department did not provide him with the means to collect the tax.
DETERMINATION
§§ 58.10-603 and 58.1-602(19) of the Virginia Code impose a sales tax on the retail sale of all tangible personal property in the state.
Subsection (16) of § 58.1-602 states further that a "sale" means "any transfer of title or possession, or both,...in any manner or by any means whatsoever, of tangible personal property., etc."
§58.1-612 of the Code states in pertinent part that the sales and use tax shall be collectible from all persons who are "dealers". "Dealer" is then defined as every person who: "Sells at retail, or who offers for sale at retail, or who has in his possession for sale at retail, or for use, consumption, or distribution...in this state, tangible personal property."
Taxpayer in the present case demonstrated his awareness of his obligation to collect and report sales tax by his actions prior to the period covered by this audit, (ie. while the business was being operated as a partnership). Furthermore, while Taxpayer asserts that he attempted to obtain a new registration-number from the Department, he submits nothing in writing to support such assertion. Nor has a thorough search of our files turned up any evidence of such written request ever having been filed.
Therefore, based on the information provided and all of the foregoing, I find no basis for relief from the assessment in the present case, the full amount of which is hereby due and payable.
Sincerely,
W. H. Forst
Tax Commissioner
Rulings of the Tax Commissioner