How Long Does a Sales Tax Audit Usually Take?

How much Time Does The Sales tech Audit Usually Take? Sales tax audits are long and drawn-out processes it's not because they mean to be it's just because they are when you're dealing with a sales tax audit you're dealing with an incredible amount of data when I was a young attorney I got to go inside to see DTF a in the back room where they keep all the auditors and there was a big billboard on the wall that said that their average for sales tax audits was a hundred and twenty hours can you imagine that someone is gonna dig through your books and records for a hundred and twenty hours looking for errors or adjustments in the amount of taxable sales as the result of that sales tax law does generally take a long time again not, because they mean to it's just the way they are so for a client that's undergoing the sales tax audit you can expect about a six to nine month process if you're organized if you control your presentation and you get your documents in order ahead of time so that you're basically doing the audit for the auditor you can get yourself on the lower end of that for more complicated audits or for clients that are disorganized or don't go in there with a game plan ahead of time it can be a lot longer than nine months. The important thing with the sales tax audit is to control the scope of information.

The last thing you want in the course of their investigation is for the auditor to conduct a fishing expedition and keep digging and digging into your sales that's a sure recipe for disaster so again organize yourself keep the audit to as minimal as possible and get out and move on.

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Sam Brotman, JD, LLM, MBA

Owner and Director of Legal
Brotman Law

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