I work in the finance office at a company who does not pay use
Use Tax
Answers
IMHO....this seems like really bad advice. Essentially, violate the rules because you think you have an out?
The audit would likely cost more than compliance internally, and could come with penalties *and* refusal to accept those *not-timely-reported* R&D credits.
It could be pragmatic advice...but doesn't sit right with yours truly.
I agree, and you need to find a new CPA firm as well.
Having gone through a NYS Sales Tax audit (many many years ago) they will go through every piece of paper and will give you the refund and the charge you not only use tax but fines and penalties.
I agree as well. Filing zero tax could make an audit more likely and more painful. A good faith effort to comply is not only the right thing to do but will limit exposure. The R&D credits might help offset liability on questionable items (i.e. where you have no receipt or the receipt doesn't clearly show whether tax was paid) but are not a reason not to file.
I am with everyone else on this - it is a really bad idea to not file especially when you know you should do so. Penalties can be huge for noncompliance - assume half the amount due in taxes could be assessed in terms of interest in penalties.
As far as a tax offset, you may be dealing with two different agencies and you may find that you get no relief on your use tax liability.
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