 | Melissa J-L Myers |
With constant changes in complex state and local sales tax laws, many companies face challenges in keeping their business compliant with the regulations. When sales and use tax is overlooked, the company may experience substantial consequences if it is selected by the state for a sales and use tax audit.
The consequences could lead to severe sales and use tax liabilities as well as interest and penalties. It is also common for companies to pay sales tax or accrue use tax on items which are exempt under the state and local sales and use tax law.
Due to the condition of the current economy, state governments will start looking to sales and use taxes to generate more revenue. For companies, this may mean increasing taxability rates, changes in the taxability of tangible personal property, and more state audits. Now is the time for companies to add sales and use tax to their "to-do list" and ensure their compliance with state laws. Tax Advisor Melissa J-L Myers is an experienced professional who can help companies explore opportunities for sales and use tax savings as well as ensure companies are compliant with various state laws. Her extensive experience in many areas includes:
Sales and Use Tax State Audit Defense Stambaugh Ness professionals will assist the company during the audit process by working with the state auditor to review various audit procedures, the invoices in question by the auditor, and negotiating the taxability of various tangible personal property. The audit may be conducted from the York office, so the company is not burdened with having a state auditor at its facility.
Sales and Use Tax Reverse Audits (Tax Savings) Our team will review the companies’ accounts payable invoices to determine if the company is paying or accruing tax on items which are exempt from sales and use tax. We will file a refund for the overpaid tax on behalf of company.
Statistical Sampling Our team has experience regarding statistical sampling and has successfully implemented sampling for various state audits, reverse audits, and voluntary disclosure agreements. Voluntary Disclosure and Amnesty Programs The company’s accounts payable records are reviewed to determine the amount of tax liability due to the state. We will filter all communication with the state in order to keep the company’s identity anonymous during the voluntary disclosure process. Our team also works with the state on the company’s behalf to make sure the company is compliant and registered with state and local tax laws by completing and filing all necessary paperwork.
Transactional Analysis Reports We will review the taxability of goods and services in states questioned by the company and provide a report detailing the taxability. A matrix is also provided for the company’s accounting personnel to use as a resource when determining the taxability of future transactions.
Nexus Surveys The company’s answers to a nexus survey are reviewed, and a determination is made regarding the company's potential sales tax exposure in states.
State Letter Rulings Our team will complete a letter to the state on the company’s behalf requesting clarification of the taxability of specified transactions. The Letter Rulings are viewed by the State as written law between the company and state; therefore, the letter ruling will prevail in court.
Sales and Use Tax Training Onsite training is provided to the company’s accounting department/personnel regarding sales and use tax. These seminars will be customized to fit the company’s industry and needs.
Foreign Sales and VAT Tax Consulting Our team will research and answer questions regarding foreign sales and VAT tax. |