Taxpayer is in the home improvements business. Taxpayer was audited by the Indiana Department of Revenue ("Department") for Sales and Use Tax. After the audit, Taxpayer filed a protest regarding the interest that was assessed.
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Taxpayer requests the waiver of interest that was assessed for "the sales/use audits performed on [Taxpayer] for years ending '08, '09, and '10...." Taxpayer states in pertinent part in Taxpayer's protest letter:
My rationale being that the entities that did not charge sufficient tax did so unbeknownst to me.
At the hearing Taxpayer reiterated that if Taxpayer would have been aware of the tax that was owed, Taxpayer would have paid it. Taxpayer also stated that one of the companies that it purchased from erroneously had Taxpayer listed as a not-for-profit.
Regarding interest, IC § 6-8.1-10-1(e) states:
Except as provided by IC 6-8.1-3-17(c) and IC 6-8.1-5-2, the department may not waive the interest imposed under this section.
The exceptions in the first part of IC § 6-8.1-10-1(e) are not applicable to Taxpayer. Thus the Department is unable to waive the interest. Taxpayer's protest is denied.
