Could You Be Overpaying Sales and Use Tax?

The amount of Sales and Use Tax Unknowingly Overpaid by Corporations, Manufacturers, Colleges & Universities, Software Companies, Pharmaceutical Companies, Health Facilities, Hotels & Resorts, Not-for-Profits and other organizations, is nothing short of ASTOUNDING!

Billions of Dollars in Sales and Use Tax OVERPAID Every Year

Every year organizations lose BILLIONS of dollars of overpaid sales and use tax simply because they did not know they were overpaying, and as a result, didn’t know they were due a refund (or credit).

Could your organization be paying more Sales and Use Tax than required by law?

4 Signs Your Organization May Be Due a Sales Tax Refund

Regardless of location, size and type, there are three common characteristics shared by organizations that were unknowingly overpaying sales and use tax to state tax authorities:

They have erroneously overpaid SALT tax to the States in which they operate, but have no way of identifying potential refund or credit.
Their finance department, CPA, Tax Attorney, Accounting or Finance team does not include an experienced, dedicated sales tax expert.
They are in jeopardy of forfeiting refunds or credits, however large or small, to State tax authorities due to statute of limitations if they don’t file in time.
They do not have a dedicated ongoing program to identify and pursue any/all refunds or credits.

Could your organization be owed a refund and not know it?

How to Determine if Your Organization is Overpaying Sales and Use Tax

Cash is King. What organization wouldn’t want to preserve capital and minimize tax liability?

3 Proven Ways to Reduce Sales and Use Tax Liability:

1. Hire an aggressive, knowledgeable sales tax expert to represent you during a Sales Tax Audit.

There is nothing like an audit to bring attention to sales and use tax. Learn why Tax Attorneys, CPA’s, in-house Tax Teams, and finance professionals hire us when their organization faces a sales tax audit.

2. A proactive way to preserve capital is to hire a sales tax expert to conduct a Compliance Audit. It is ALWAYS better to know if you are underpaying sales and use tax before the tax authority decides you are. Misapplied or misinterpreted tax law can result in significant tax, penalty and interest on unpaid tax. These discoveries can be financially crippling. Having your own compliance audit can provide peace of mind, make sure your sales tax collection and payment methods are compliant with tax law, and put you on solid ground, should the tax authority ever come calling. A Compliance Audit will reveal potential risk or exposure and provide guidance on how to resolve any issues to achieve the best possible outcome.

3. Another overlooked and often unknown way to preserve capital is the Reverse Audit . This method identifies overpaid sales and use tax and returns it to the organization.
Not every organization is a candidate for a Reverse Audit. But, for eligible companies, this method of recovering capital is eye-opening and downright shocking. We have recovered millions of dollars for companies that had no idea they were owed a refund or credit. The only regret most of our clients have is that they didn’t hire us to do Reverse Audits sooner. A successful Reverse Audit can also help to offset the impact of a Sales Tax Audit Assessment on working capital.

“Most organizations have no idea how much money they are losing every year”, explains Robert K. Miller, President of RK Miller Associates, and a former Sales Tax Auditor for New York State, one of the most aggressive tax authorities in the United States.

Proactive Cash-Preservation Techniques

CEO’s, CFO’s, Tax and Finance executives and their teams face challenges every day. The stress of increasing profit year-to-year can be aggravated by unscheduled events such as audits, assessments, penalties and interest.

THE CHALLENGE: Sales and Use Tax Laws are unique to each state and continually change.

It has become increasingly difficult for Accountants, CPA’s, CFO’s, Tax and Finance Teams, Tax Attorneys, and Accounts to stay current with sales and use tax law. As a result, organizations may find themselves at risk of exposure, or be overpaying sales and use tax; scenarios that can unexpectedly cost many thousands, to tens, hundreds of thousands, or even millions of dollars

Best to Be Proactive

Every one of our clients has experienced, knowledgeable CPA’s, Accountants, Tax Attorneys, etc. available to them. Yet, they turn to us for sales and use tax matters. We specialize in sales and use tax.

We help organizations navigate tax law to create solid tax policy, proactively manage gray areas of the tax law, and address sticky situations in a way that minimizes surprises and reduces the impact of necessary corrections (such as non-filing, under-filing of tax, etc.).

We work with our clients to achieve compliance, maximize credits, exemptions and secure refunds before they are lost due to statute of limitations. We have obtained refunds, credits and favorable decisions for clients ranging from few hundred dollars to the million dollars.

One client CFO of a major corporation was able to return $1 million dollars to the balance sheet after achieving a favorable decision following a complex sales tax matter we managed for them.

We continually return cash to the balance sheet of our clients across NY State, and over 30 states across the United States.

Time is money.

The statute of limitations for receiving credit or refunds for erroneously overpaid Sales and Use Tax creates a sense of urgency that cannot be ignored.
With every quarter, you could be losing valuable capital unnecessarily.

Improve Cash Position and Increase Profit.