No More Headache for this Sales Tax Responsible Party

As a responsible party in your business, are you facing sales tax headaches?

June 2018

Let’s say you are a sales tax responsible party. There might not be a worse tax situation than waking up one day to find the government levied your bank account for a sales tax liability you never even knew existed. It’s like a bad hangover since it’s a massive headache, except you didn’t have any fun the night before, it costs a lot more money and it doesn’t go away no matter how many glasses of water you drink.

So, what do you do if you find yourself in this situation? You call Sales Tax Defense LLC of course!

First steps for the tax responsible party…

The first thing we did was work to figure out why this individual was assessed. It turns out that he was personally assessed as a sales tax responsible party of a business he owned. The business was audited for sales and use tax but he never knew. Since he never knew the business was selected for audit, he never provided the state with any records. The state issued an estimated assessment based on the business’s Federal Income Tax Returns. When we looked into the matter further, we found out he never knew about the audit because the state was mailing their correspondences to an old address; the state had been informed the business moved but their system was not updated.

Sales Tax Defense LLC to the rescue!

Upon discovering this information, we successfully argued that the assessment was still subject to protest. A hearing was scheduled to dispute the assessment on the sales tax responsible party. However, the hearing would not be needed. We provided the auditor with reports and other information to show the overwhelming majority of the business’s sales were not subject to sales tax. We also successfully argued that all penalties should be abated as well.

Wait, there is more!

When all was said and done, the total assessment was reduced by over 98%! The reduced assessment was actually less than the monies seized and the taxpayer received a refund for the difference. If you think you were incorrectly assessed or even correctly assessed and don’t know what to do about it, contact Sales Tax Defense LLC and let us try to cure your tax hangover!