If you have any questions or would like to host or attend an upcoming seminar, please contact Cheryl Dender at 631-491-1500 ext.12 or email cdender@SalesTaxDefense.com

Recent Success:

Keep Books and Records Even after a Business is Sold!

An owner sold his deli and the purchaser filed a bulk sale notice, which IS the appropriate filing to do. Unfortunately, as it often does, the bulk sale notice triggered an audit by the Tax Department. In preparation for the sale, the seller had previously discarded all register tapes and most of his books and records, which is NOT the appropriate thing to do. The Tax Department issued its preliminary findings, showing nearly $130,000 due in tax, interest, and penalties. The seller requested assistance from Sales Tax Defense. We discovered that the seller maintained daily sales reports, which we provided to the Tax Department. These reports and an old menu documented that the deli had sold many non-taxable items. We provided an analysis of the amounts that should be held as non-taxable. The auditor refused to accept our argument. We then contacted the auditor’s manager for a closing conference. The manager agreed that our analysis of non-taxable sales was reasonable. After the closing conference, we were able to reduce the tax and interest and completely abate all penalties, saving the seller over $85,000!

Note: Nothing on this website should be interpreted to be legal, tax, or accounting advice. Every business or person should obtain detailed advice as applied to a specific transaction or hypothetical fact pattern.