Multistate Guide to Sales and Use Tax Audits provides state-specific material for preparing for and handling an audit in all states that impose sales and use taxes. Readers will gain an increased understanding of why their businesses or clients were selected for audit, how their audits will proceed, what the audit staff will be looking for, and how assessments are developed.

Instead of enacting tax increases, taxing agencies are quietly encouraged to mine every possible dollar from the existing tax structures. As a result, a sales and use tax audit notice generally may be regarded as the first step in a state civil action intended to extract additional funds from a specific taxpayer. Since this may often result in unfavorable consequences for the taxpayer, Multistate Guide to Sales and Use Tax Audits is intended to improve the taxpayer's chances of prevailing in what is often a losing battle. It aims to assist taxpayers in proactively avoiding paying more than their legal share of taxes.

This guide comes with a bonus back-of-the-book CD-ROM, containing approximately 200 state and local exemption certificates.

Topics and Contents

Overview of the Audit Process

The Sales Tax

Nontaxable Sales

The Use Tax

The Sales and Use Tax Audit--Initial Steps

Field Examinations

Overpayments and Refunds

Protecting the Taxpayer

The Post-Audit Administrative Protest Process

Mediation and Settlement Offers

Judicial Remedies