If you are in need of help, or require consulting regarding tax problems in California, or another state, contact IRS Audit Group to learn more about our services. Whether your issues are related to California state income taxes, or another jurisdiction, we provide a free initial consultation to help you understand your tax problems comprehensively, and efficiently.
Our services benefit those in need of representation against the federal IRS agency, and state government entities. IRS Audit Group holds 15+ years of experience and continues to specialize in state tax audits, and represents taxpayers with tax problems and issues.
To give us a call, or send an email with tax-related questions, our operators at IRS Audit Group will gladly help resolve your tax situation, and accommodate a free consultation for your best needs. Our offices are located in Los Angeles, and Orange County; though we are proud to say our clients are nationwide!
State Audit Agencies
If you have received a state audit notice, no need for panic — act accordingly. It is 100 percent normal to receive an audit. Many Americans experience tax-related issues regarding the IRS. However, the IRS isn’t the only governmental agency that can send you notices in regards to your tax returns. For clients residing and/or employed in California, California State Auditor is the primary governmental branch that investigates California audit matters. According to the State audit organization, the following fit the actions of the State Auditor:
- Notify the auditee of the ensuing audit and provide names of contacts.
- Hold an entrance conference to discuss scope of the audit, authority to access records, and anticipated time frames.
- Gather information and documents and commence fieldwork—in most cases, the audit team will be onsite for several months.
- Brief auditee as issues are noted and developed to ensure understandings and provide the auditee an opportunity to respond.
- Hold an exit conference with auditee’s management to discuss issues, recommendations, and draft report.
- Provide a confidential draft copy of the report to the auditee. The auditee has five days to provide a written response to the findings and recommendations as stipulated in the California State Auditor’s draft report. This response is included, as provided by the auditee, in the final audit report when issued to the public.
For more information regarding the actions and the legal, jurisdictional actions of the State in regards to income tax auditing, visit their official page to learn what to expect from your state government entity. At IRS Audit Group, we advise and conclude that it is extremely important to know the rights of the auditor. Furthermore, we advise recommend learning the rights of the taxpayer to avoid government persecution.
IRS Audit Group State Audit Expertise
IRS Audit Group is a team of Tax Experts, CPAs and Enrolled Agents exclusively specializing in Tax Audit Representation with over 15 years of experience. We understand the difficulty of dealing with State-level tax issues and problems. Our team comprises of the most experienced professionals to advocate for your benefit. Our tax experts work with various tax entities and agencies; needless to say, our expertise goes beyond the bare necessities. We hold dialogue with entities such as the California State Tax Audit, and the Internal Revenue Service (IRS). Our tax professional help California businesses by communicating with the Board of Equalization, Franchise Tax Board, and the Employment Development Department (EDD) to help alleviate your payroll tax audits, and State Tax audits.
How IRS Audit Group Helps
IRS Audit Group provides comprehensive services for those in need of serious state audit representation against governmental agencies. Our experienced tax specialists hold esteemed expertise to properly represent you in state audit tax cases. If you find that your case is extremely rare, or need further details regarding the State Audit process, our licensed professionals will incorporate their skills and diligence to assess the tax situation.
Three different State Tax Audits
State Sales Tax Audit
The Board of Equalization (BOE) collects sales taxes in California usually on businesses. When they conduct an audit it is because they suspect that the taxpayer has not accurately disclosed all the tax information. They go through different methods depending on the type of business that is under audit.
Regardless of the what type of business you’re in, the preliminary check that the sales tax auditor conducts include comparing and contrasting the taxpayers books to what they reported as their total sales on their sales tax returns. They will also compare the taxpayer’s books to how much income tax they reported on their income tax returns and they will also compare and contrast how much the taxpayer collected from the California sales tax reimbursement as opposed to what they reported getting reimbursed on the books.
Additionally, they will check how much the business owner claimed sales for resale compared to how much they claimed on their resale certificates. Is your head spinning yet? Well the list goes on because this is just a tiny glimpse of what you will have to go through without the right tax expert representing you. Understanding these methods is time consuming and full of tax jargon. We can help you save time and avoid a massive headache by helping you understand all the steps before going through a sales tax audit.
State Income Tax Audit
The State income tax audit is similar to how the IRS conducts their audits, but instead the Franchise Tax Board is the one overlooking your case. Both the IRS and Franchise Tax Board collect income revenue that is indebted to the government. If your case is selected to be audited, you should contact a tax expert immediately. Undergoing this process alone is extremely difficult because you must know all your rights as a taxpayer
A tax expert does indeed know all your rights and they will protect those rights, so you can have a fair examination of your audit. The tax expert can also request from the Franchise Tax Board written descriptions of the changes they make to your tax return because of the audit. This agency is strict and follows the guidelines meticulously, but it is also their duty to treat you as considerately as possible through the process. With a tax expert to represent you, your audit will sail smoothly. Your tax expert will make sure that you don’t overpay by providing payment plans, tax defense services and settling your tax debt at the state level.
State Payroll Audit
The Employment Development Department (EDD) conducts the state payroll tax audits, when they suspect that your business has not accurately reported payroll taxes. The typical process of this type of tax audit starts with an Inquiry Regarding Records notice that informs the taxpayer that their business has been picked for an audit. The taxpayer then has 2 weeks to contact EDD and request an interview with a payroll tax auditor. The notice will also have a Pre-Audit Questionnaire and a list of requested documents that need to be completed the day of the interview. The first interview is called the entrance interview, where the payroll tax auditor will explain to the taxpayer and the tax expert why their business was selected for an audit and give a run down of how the process works.
Whether you are a taxpayer with a business, or an individual looking for an expert, the goal of your your tax resolution company is to limit your cost and protect your right as the taxpayer. Limiting the cost and time of your audit investigation decreases the overall cost, penalties, and accrued interests.
An IRS Audit Group tax professional will represent your state tax audit interests, and fight for you to close your case without compensating the state. Our tax professional help you reach the best possible outcome by making the penalty fees as minimal as possible.
State Audits differ slightly from IRS audits due to the various organizations involved, and understandably, it is difficult to master this complex process. By choosing IRS Audit Group’s certified tax professionals, contact us today to receive the help you deserve.