It is rare for a business to intentionally cut corners or try to escape an auditor’s radar with sales tax matters. Usually, owners or responsible parties make a concerted effort to ensure compliance across all their operations by employing CPAs or finance professionals. However, due to the complex and evolving nature of state sales tax regulations, matters can get complicated fast. And knowing when to outsource for assistance can be just as difficult to assess.
The corporate veil does not protect against violations related to sales tax (which is a trustee tax). As such, the company officers or owners are held responsible.
Internal accountants are usually familiar with company-level information and may only be familiar with one or two jurisdictions’ requirements.
Staff may not be required to engage in professional development or follow the latest tax changes. Businesses might not have the time or resources to prioritize this area of their tax operations.
One person working on a single account at a time.
The cost can add up from paying salary and benefits. Plus, there is no back up for sick days or paid time off for one-person accountant operations.
Specialists will have expertise with multiple industries and tax types, familiarity with state laws, access to state representatives, and refined skills in reporting and registering in all jurisdictions.
Experts make it their priority to invest in professional development to provide clients with the most reliable, up to date information.
Skilled staff is available to review several accounts and workpapers simultaneously.
Offers various services and expert staff to assist with questions and account management.
Learn more about how Source Advisors can help. Our indirect tax experts are available for a free consultation.