A. The director may cancel any penalties imposed under BMC 6.05.110(A) and (B) if the taxpayer shows that its failure to timely file or pay the tax was due to reasonable cause and not willful neglect. Willful neglect is presumed unless the taxpayer shows that it exercised ordinary business care and prudence in making arrangements to file the return and pay the tax but was, nevertheless, due to circumstances beyond the taxpayer’s control, unable to file or pay by the due date. The director has no authority to cancel any other penalties or to cancel penalties for any other reason except as provided in subsection (C) of this section.

B. A request for cancellation of penalties must be received by the director within 30 days after the date the department mails the notice that the penalties are due. The request must be in writing and contain competent proof of all pertinent facts demonstrating that the failure to timely file or pay the tax was due to reasonable cause and not to the taxpayer’s willful neglect. In all cases the burden of proving the facts rests upon the taxpayer.

C. The director may cancel the penalties in BMC 6.05.110(A) and (B) one time if a person:

D. The director shall not cancel any interest charged upon amounts due. [Ord. 2002-12-106].