With the increasing information-sharing capabilities between states and the IRS, tax audits are becoming more prevalent. State authorities often initiate contact with business owners through a “Letter of Inquiry” to gather information on multi-state activities. These letters are typically precursors to audits. Many controversies can be resolved at the audit or administrative review stage by effectively communicating the facts and circumstances of the client’s situation to the taxing authorities.
ZR Associates is committed to helping you navigate the complexities of tax audits. We provide a comprehensive understanding of tax laws, positions, and policies held by taxing authorities.
To mitigate your risk, we offer a nexus review, which quantifies your exposure by performing a state-by-state analysis of audit risk and potential liabilities. If exposure is found, we leverage our extensive experience in negotiating voluntary disclosure agreements to settle your liabilities—typically reducing them by 30% to 70% of the actual amount. Additionally, we ensure coordination of future compliance efforts to prevent further issues.
At ZR Associates, we aim to help you minimize risks and resolve tax audit controversies effectively, saving you time, money, and potential penalties.
