Since 1992, PJCo has worked with thousands of businesses and their advisers to solve their state tax problems. We have helped companies of all sizes, in all types of industries on state and local tax matters. In reviewing the work we have performed we have determined that the vast majority this work resulted from five major areas. We call these areas Hotspots.
These hotspots or problem areas are the ones that create the biggest issues in audits. These hotspots are found in the following areas: nexus, taxability, rates, exemption/resale certificates and use tax. The returns filing process encompasses all of these topics, but can also be viewed as a sixth hotspot.
We’ve distilled our experiences and knowledge gained over the years into developing a quick, unintrusive, high-level diagnostic check-up process that can uncover areas of vulnerability. Our efficiencies allow us to offer this check-up service on a complimentary basis.
Here is the process we perform:
Nexus: We review responses to a 10 question inquiry about your activities.
Tax-ability: We take a small sample of your data or sales invoices to compare what you collected to what should have been collected.
Rates: We take a small sample of your data or sales invoices to compare what you collected to what should have been collected.
Exemption/Resale Certificates: We review a small sample of your certificates to identify the most common reasons an auditor could deem them to be invalid.
Use Tax: We review a small sample of your fixed asset and expense purchase data in order to see if you are over or underpaying tax.
Sales Tax Returns: We review your returns to see if filing frequencies can be reduced and all available discounts are being taken.
Some companies may not have need of all six aspects of this review and choose to have us concentrate on just one, two or however many hotspots that may concern them.
This review is not an exhaustive exposure review. However, it generally can identify areas that may need additional review. This can provide you with the critical time to take corrective action. The worst time to find out you have an issue is when an auditor tells you about it.
If no additional review is needed then you have the peace of mind that you are on the right track.
Peisner Johnson & Company, founded in 1992, is focused entirely on solving state and local tax issues. Peisner Johnson has experience with clients of all sizes, in all industries and currently works in all 50 states, U.S. territories and Canadian Provinces. For more information, contact [email protected] or 800-940-9433.