Oxnard, California Sales Tax Audit Attorney + CPA
At the Tax Law Office of David W. Klasing, we are Oxnard sales tax audit attorneys and CPAs who combine decades of experience assisting corporations, LLCs, partnerships, and sole proprietors throughout California, in addition to foreign and multinational entities to get through California, solely civil or potentially criminal, sales tax audits. Depending on your needs and priorities, our Oxnard business tax services also include correcting past sales tax compliance errors, providing sales tax audit and appeals representation, fighting criminal tax charges related to perceived or actual sales tax fraud, counseling you on tax planning strategies, or assisting you with the unique sales tax issues that affect online and international businesses. By preparing you to be audited, simplifying complex aspects of compliance, and working to limit your criminal tax exposure, we can help you avoid or reduce costly penalties, protecting your brand image while freeing up more resources to run your business profitably. If you need sales tax help in California, turn to our Oxnard tax lawyers for award-winning legal counsel, bookkeeping, and accounting services.
See our Sales Tax Q and A library
Who Must Collect Sales Tax in California?
There are many scenarios in which a business may be liable for California sales and use tax. For example, you may have California sales tax obligations if you are a business owner who (1) engages in sales transactions, (2) stores or sells products, or (3) maintains a workforce, including remote sales staff, in the state of California.
If you have remote workers in Oxnard, own a business located in Oxnard, or sell products to customers in the Oxnard area, be sure to discuss sales tax compliance with an experienced tax attorney or accountant who understands the regulations that affect you. An attorney can confirm whether or not you are liable for California sales tax by determining whether you have “economic nexus” with, or significant economic ties to, the state. Various factors can establish nexus, including not only employees or storefronts, but even internet transactions that exceed certain thresholds. For more information about online business taxes, explore our tax FAQ for online businesses, learn how internet transactions are taxed in California, or contact our Oxnard internet sales tax attorneys for personalized assistance.
Sales tax must be collected on most products (with some exceptions), but not services. To collect and remit sales tax properly, your business must obtain a permit by registering with the California Department of Tax and Fee Administration (CDTFA), a California state tax agency that enforces sales and use tax. However, because California is a “hybrid origin” state, businesses must choose between an “origin-based” or “destination-based” method of collection. We can assist you with the complex process of determining how to collect sales tax correctly.
CDTFA Sales Tax Audit Defense in Oxnard, CA
As of 2019, there is no federal legislation establishing a U.S. sales tax. Instead, sales tax regulations are established by each state, leading to major variations. In fact, some states do not observe any sales tax laws. Regardless of where your business is headquartered, you may be required to follow California’s sales tax rules if your business has nexus, as discussed in the previous section.
Since the IRS deals strictly with federal tax issues, state sales tax audits are conducted by the CDTFA. (That being said, business owners should be advised that the CDTFA shares information with the IRS, potentially leading to further auditing and federal criminal tax exposure if unreported (often cash) sales are identified. In the agency’s own words, quoted from its official website, “California’s state, local, and district sales and use tax programs… provide more than 80 percent of CDTFA-collected revenues,” giving the CDTFA a powerful incentive to carefully audit taxpayers with errors or omissions on past tax returns. Depending on the specific issues under examination, the auditor may focus on documents and records such as ledgers, invoices, receipts, sales and use tax returns, income tax returns, property tax statements, federal and California income tax returns, bank statements, and other sales tax records needed for an audit. If you disagree with the outcome of the audit, you may dispute the results by having us file an appeal with the California Office of Tax Appeals (OTA), a process which requires us to compile and submit an “opening brief” outlining your disagreement and the legal or factual basis on which it rests.
Oxnard Sales Tax Lawyers + CPAs for Small Businesses and Online Sellers
Even transactions or business decisions that seem minor can have major tax consequences for your physical or online business. If you have been contacted by a sales tax auditor, have received a letter or warning from the CDTFA, or simply have questions about how to properly collect and remit sales tax in California, be sure to promptly discuss your situation with an experienced sales tax attorney in Oxnard. Contact the Tax Law Office of David W. Klasing online to set up a reduced rate consultation or call our Oxnard tax office at (805) 617-4566 for assistance. Please note that all meetings at our Oxnard location must be arranged in advance.
Note: If you have concerns about the privacy of our initial or subsequent communication and are unable to easily travel to our Irvine / Orange County Main Office, consider scheduling a GoToMeeting to safely and securely establish an initial or maintain an existing attorney client relationship. With end-to-end encryption, strong passwords and top-rated reliability, no one is messing with your meeting. To schedule a reduced rate initial consultation via GoToMeeting follow this link. Call our office and request a GoToMeeting if you are an existing client. We are generally happy to travel to any of our appointment only satellite offices for a subsequent meeting in appropriate circumstances once a relationship is established via a signed engagement letter and the payment of an initial retainer or where enough retainer is available where a current client to cover the reasonable travel time and time required for the meeting.
Will it cost me more to hire the Tax Law Offices of David W. Klasing, who’s main office and the vast majority of the firm’s staff is located in Irvine California, but an appointment only Satellite office is close to my location, as opposed to a local company? Absolutely not! See our policies that address this issue here: