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Sales tax audits are the determination by state or local tax authorities that a business is properly calculating, collecting, and remitting sales tax on taxable goods and services. The process can be daunting for a lot of businesses, so a little education on what to expect might be helpful. If you are audited, understanding the process and being prepared can really help reduce the stress for you and ensure that you are in compliance. Here, in this article, we will walk you through what a sales tax audit is like, from notice all the way to final resolution, and give you some best practices to help you better navigate this process.
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