Club Port O'Call sues State Tax Commission

The private Salt Lake City club Port O' Call sued the Utah State Tax Commission on Thursday, appealing the commission's decision to charge sales tax on membership fees required by Utah liquor law.

Auditors found that the club at 78 W. 400 South failed to pay sales taxes on the membership application fees assessed between November of 2000 and September of 2003. Auditors have assessed $48,255 for the unpaid tax.

In court documents obtained Wednesday, Port O' Call held that it was not required to pay taxes on the membership fees because a state law requiring the tax does not specifically list private clubs in its description of businesses required to pay taxes on membership fees. The club also held that it should not be required to pay state tax on money it in turn pays to the Alcoholic Beverage Control Commission. The club has asked for a new decision on the issue.