Why You Should Ensure Your Information is Current with the States

Original source: https://answerconnect.cch.com/news/doc/std01bbe627947dc04d77b12d84249b98fbbf/

Auditors use the best information available to estimate a taxpayer’s liability, and states can be strict when it comes to statutes of limitations. It's the taxpayer’s responsibility to ensure that accurate and updated information is on file with the department.

In Virginia, a taxpayer appealed an assessment claiming that an audit report was not mailed to their current address, that the estimated assessment was overstated, and sales tax was incorrectly remitted to North Carolina during the audit period. However, the audit report was mailed to the address on file with the department. The taxpayer also failed to provide documentation to support its contention that the assessment was incorrect. Additionally, the commissioner noted that the taxpayer’s appeal was untimely because it was filed beyond the 90-day limitation period.

For more information, read the state ruling here