Sales Tax Audits – Sales Tax Experts, Affordable – Ft.Lauderdale, Miami, Palm Beaches     954-492-0088

 
If you have been notified that State of Florida Department of Revenue is conducting a sales tax audit contact us today for expert sales tax defense.
We have over 206 years of professional tax experience in over 60 years of working directly for government agencies right here in South Florida. We are true tax experts.
We are comprised of tax attorneys, certified public accountants, former IRS agents and managers. We are tax experts in sales tax audits.
You can contact us today for an initial tax consultation. We will review your case and give you an expert opinion on how to proceed forward on your sales tax audit.
The best advice that we give our clients is not to get too worried.
Due to our years of experience we can handle the situations without fear or worry for clients.
 

So, Why Are Taxpayers Audited by the State of Florida?

 
The State of Florida conducts Sales Tax Audits  for many reasons. Some of them are to:
1. Enforce Florida tax laws uniformly.
2. Deter tax evasion.
3. Promote voluntary compliance.
4. Educate taxpayers.
 
While the State of Florida accept most tax returns as filed, they audit some returns to verify accuracy and evaluate compliance. The state of Florida runs different compliance programs to make sure different industries are in check and paying their share of sales tax.
Sales Tax Audits do not always result in the taxpayer owing additional tax, penalty or interest. The sales tax auditor may adjust a credit carryover or correct distribution without assessing additional tax.  The auditor may even determine that a refund is due.
 

How Are Taxpayers Selected for Audit?

 
The methods for selecting a business or individual to audit vary from tax to tax  and from industry to industry. Management for sales tax runs a variety of programs based on geographic territories and compliance programs especially in area where they feel negligence is apparent. At the end of every year the state of Florida sets out its goal and mission for the following year and make sure there is an equal weight of sales tax audits among all companies and types of businesses throughout the state of Florida.
Here are some examples of sources we use to identify a potential Sales Tax audit candidate:
a. Internal Revenue Service information.
b. Information sharing programs with other states and state agencies.
c. Computer-based random selection.
d. Analysis of Florida tax return information.
e. Business publications, periodicals, journals, and directories.
 

What Types of Records Will I Need to Provide?

 
 
When we notify you of our intent to audit, we will also tell you what records you will need to provide. Sometimes the auditor may ask a few records and other times you will find a voluminous amount of records will be requested by the sales tax auditor.
The types of records may include, but are not limited to:
a. General ledgers and journals
b. Cash receipt and disbursement journals
c. Purchase and sales journals
d. Sales tax exemption or resale certificates
e. Florida tax returns
f. Federal tax returns
g. Depreciation schedules
h. Property records
i. Other documentation to verify amounts entered on tax returns
You must keep your records for three years since an audit can extend back that far.  The Department may audit for periods longer than three years if you did not file, or filed a substantially incorrect return or payment.
 

What Are My Rights During an Audit?

 
 
The Florida Taxpayer’s Bill of Rights provides protection for taxpayers’ privacy and assets during their interactions with Revenue employees.
Your  Taxpayers rights include:
1. The right to fair treatment.
2.  The right to get available information and prompt, accurate responses to your questions.
3. The right to have the Department begin and complete its audit in a timely manner after we notify you of our intent to audit.
4. The right to get simple, nontechnical statements which explain the reason for audit selection and the procedures, remedies, and rights available during audit, appeals, and collection proceedings.
 

Communicating and Meeting Deadlines

 
 
Throughout the audit process, communication is vital. It is important for the taxpayer never to miss a compliance date whatsoever. Should you miss a date the state has the ability to set the tax deficiencies.
After we send you a Notice of Intent to Audit Books and Records, the auditor will work with you to set a date to begin the audit.
The auditor will give you deadlines for providing information or documentation.
If you need additional time to prepare, or need to request a delay for other reasons, contact the auditor.
 

If you fail to respond to the Auditor Request

 
The auditor will make every effort to accommodate your requests. If you fail to respond or provide the requested information, we may issue an assessment and file a warrant based on the best available information.
 

Can I Request Technical Assistance During the Audit?

 
When there are transactions or issues for which the tax consequences are questionable, you may ask for a written statement of our position any time during the audit.
Our office of Technical Assistance and Dispute Resolution will issue a Technical Assistance Advisement (TAA), which is binding on the Department.
We encourage you to use our Tax Law Library to research the issue before requesting technical assistance.
 

What Happens When the Audit is Complete?

 
After your audit is complete, you can review the audit findings and proposed changes to your tax liability.  The auditor will give you a copy of the work papers and explain your rights, including deadlines for filing protests.
 

 If you agree with the findings of the sales tax audit

 
If you agree with the audit findings, we expect you to pay the amount due in full.  You have the right to protest the proposed changes if you disagree with them.
 

Self-Audit/Self-Analysis

 
 
The Department uses self-audit or self-analysis projects to educate taxpayers on issues related to a particular compliance problem or industry.  We send selected taxpayers information about a specific tax or issue, user-friendly instructions, and simple worksheets.
We ask them to review the materials, complete the worksheets, calculate any additional tax due, and return the paperwork to us with payment.  The auditor has limited contact with the taxpayer and does not visit the taxpayer’s location. The Department usually accepts the taxpayer’s responses.
However, participation in a self-audit/self-analysis does not exempt the taxpayer from further audit review of the same time period.
 
Sales Tax Audits – Sales Tax Experts, Affordable – Ft.Lauderdale, Miami, Palm Beaches