Actionside Lath & Plaster

98-54

The Taxpayer protested the Department’s denial of a deduction claimed for receipts from a customer which had given the Taxpayer a nontaxable transaction certificate but the Taxpayer could not produce a copy of the certificate. The Taxpayer also contested the amount of interest assessed based upon its attempt to pay taxes before the commencement of the audit, but the payment was not accompanied by returns providing the Department information as to what tax programs, what tax amounts and what tax periods the tax payment should be applied to.  Held that the Department properly denied the deduction for failure to possess a nontaxable transaction certificate within 60 days of notice to produce such certificates. Also held that tender of a payment does not amount to a payment of tax without concurrent tender of a return or returns showing how the payment is to be applied. Thus, the calculation of interest was correct. Protest denied.