WHEN THE STATE AUDITOR COMES CALLING
In a sales and use tax audit, an auditor reviews your business records over a period of days, weeks, or even months to determine whether you are under-reporting or underpaying taxes that are legally due. In addition to the time, effort, and diversion of resources this takes on your part, the resulting penalties can be substantial.
Just because you have been selected for a sales and use tax audit does not mean you will automatically have to pay additional tax due. Conversely, just because you have done everything right doesn’t mean that you’re not going to have to spend considerable time and money proving it.