Sales & Use Tax Audit Defense
Protect your company from overpayment of taxes, penalties, and interest by ensuring compliance with tax laws and challenging incorrect assessments.
A Sales & Use Tax Audit is an examination conducted by state taxing authorities to verify that a business has correctly collected, reported, and remitted sales and use taxes. These audits are designed to uncover discrepancies, underpayments, or overpayments. For many companies, even minor errors in sales tax compliance can result in significant assessments, penalties, and interest.
Sales tax audits are often triggered by specific red flags. Understanding these triggers is the first step toward prevention:
By identifying and addressing these issues early, businesses can significantly reduce the likelihood of an audit.
Analyze your sales and use tax records to identify potential exposure before the state does.
Ensure exemption certificates, invoices, and purchase records are accurate, up-to-date, and easily accessible.
Confirm you are properly registered and compliant in all states where you have sales tax nexus.
Evaluate areas like resale exemptions, intercompany transactions, and use tax accruals.
Having experienced professionals represent your business during the audit helps control the scope, manage communication, and protect your interests.
Experienced
Team
Our specialists include former state auditors, CPAs, and tax attorneys with deep knowledge of multi-state tax rules.
Proven Track
Record
End-to-End
Support
Audit-Resistant
Processes
With over 40 years of experience, Source Advisors has been a trusted partner for businesses facing sales and use tax audits. Our professionals know that even small compliance errors can result in significant assessments, penalties, and interest.Â
Contact Us
Get in touch with Source Advisors about our Sales & Use Tax services.
A Sales & Use Tax Audit is a review by state taxing authorities to verify whether a business has properly collected, reported, and remitted sales and use taxes.
