CDTFA Sales Tax Audit Representation
One of the most common targets in a California sales tax audit is sales for resale. Sales for resale is the most common deduction claimed by California taxpayers and one of the most common targets of the California Department of Tax and Fee Administration (CDTFA). CDTFA tax auditors are especially careful in examining accounting methods employed by taxpayers and use various procedures to verify amounts. Often, California taxpayers will estimate this deduction and will get caught in a CDTFA sales tax audit when the auditor uses their verification procedures.
If you cannot produce the resale certificates, you will have a chance with XYZ letter process. The CDTFA will prepare “retroactive resale certificates” which will be sent to all your customers. If the customer completes the XYZ letter, the goods will not be taxable, but if they cannot be found or refuses to sign, you will be held responsible for the sales tax.
If you are in an CDTFA audit, let LNK Tax Group represent you before the CDTFA and advocate your position to explain and fight for every valid deduction possible under audit. We are committed to working with you and providing you with the information, advice, and guidance you need. If you have received an CDTFA audit notice, please call LNK Tax Group as soon as possible so that we can begin working on your case while it is in the early stage of the CDTFA audit.
CDTFA Sales Tax Audit Representation
LNK Tax Group offers their clients peace of mind with their CDTFA sales tax audit representation. The Tax Consultants and Tax Accountants are staying on top of the tax laws and tax regulations, so you can be sure that you are not missing out any tax-savings opportunities. Contact our office at 661-491-7222 or 213-588-1120 or you can book a free consultation online to learn more about our CDTFA sales tax audit representation. We provide CDTFA sales tax audit representation to individuals and businesses in Downtown Los Angeles and Santa Clarita including, Valencia, Stevenson Ranch, Newhall, Castaic, Canyon Country, Agua Dulce, Saugus, Rancho Santa Clarita, Sylmar, Mint Canyon, Val Verde, Mission Hills, Castaic Junction, Granada Hills, Porter Ranch, San Fernando Valley, and Los Angeles County.