Our Services

CM Tax Recovery Sales & Use Tax Recovery Review

A Sales/Use Tax Recovery Review is a proactive health check of your company’s sales tax paid to vendors, as well as, use tax accrued and paid to taxing jurisdictions.

Typically, the statute of limitations is 3 to 4 years to recover the available overpayments. If the company is undergoing a Sales/Use Tax audit, the statute is open for all periods being audits.

What are the key benefits of performing a Sales/Use Tax Review?

  • Recover available overpayments before the statute of limitations expire and you lose out on the overpayments;
  • Identify the gaps/errors within your current SUT process and help correct them on our time, free of charge, and prevent them from reoccurring again in the future.
  • At CM Tax Recovery, we look at both aspects (under/overpayments). This will provide the company with the ability to make an educated business decision on filing/not filing a SUT refund claim. If the company is not undergoing a SUT audit in the taxing jurisdiction we are performing a Review, we will perform the underpayment review on our time.
  • Zero risk proposition…The Review is performed on a Performance Based Fee basis. CM Tax Recovery will not issue an invoice for our Review services until the company receives the overpayments/benefits. If no refunds/benefits are secured, there is no fee.
  • CM Tax Recovery will proactively identify and suggest “best practices” the organization can consider for future implementation.
  • If the company is undergoing a SUT audit, we can offset any SUT audit liability with approved SUT refunds. Because the audit interest is much higher than the refund interest, this is the best time to perform a Review. It may also reduce the total tax due and put the company into a net refund position.

CM Tax Recovery – Sales & Use Tax Audit Representation Services

Sales/Use Tax Audit Representational Services can be performed one of three ways.

  1. CM Tax Recovery will perform the entire SUT Audit on behalf of the company. We will work both with the auditor and the company appointed representative. This type of service is billed typically on an hourly rate basis.
  2. CM Tax Recovery will collaborate with the company on which “audit stages” to utilize our audit representational services. For example, at the beginning of the audit with the IDR and helping minimize the auditor’s request for information, validating the sampling methodology, strategically reviewing the invoices prior to providing the information to the auditor, helping negotiate certain transactions and closing meeting. This type of service is billed typically on an hourly rate basis.
  3. The Company handles the SUT audit and when it believes it has negotiated its best tax liability, CM Tax Recovery will review the audit workpapers and scheduled transactions in order to potentially further reduce the proposed SUT liability. This type of service is typically performed on a performance-based fee basis and we will agree to a tax liability starting point.

What are the key benefits of performing Sales/Use Tax Audit Representational Services?

  • Limit the risk of having a taxing jurisdiction schedule significant potential tax liabilities for which the company will need to work extremely hard to have them removed from the audit workpapers.
  • Limited resources by the company. SUT audits still need to be performed to avoid excess interest charges.
  • SUT subject matter experts working on the audits with significant experience.

What does Sales/Use Tax Audit Representational Services entail?

  • Providing a SUT audit log, including current status on each audit.
  • Signing POA’s appointing CM Tax Recovery to represent the company.
  • Weekly status calls where we will provide status updates on audit progress and savings achieved.
  •  Identifying, securing and reviewing SUT audit information being requested.
  • Meetings discussing the data, invoices and potential issues with the company.
  • Working directly with the auditors on behalf of the company.

Finalizing with company approval the SUT audit in an efficient and effective manner.

CM Tax Recovery: Recovery/Audit Outsourcing Hybrid Services

Sales/Use Tax Recover/Audit Outsourcing Hybrid Service offer our clients a unique experience. Instead of your typical Review and your typical Audit Representational Services assistance, we combine the two under an annual fixed fee arrangement.

What are the key benefits of performing Sales/Use Tax Audit Representational Services?

  • Limit the risk of paying extremely large performance-based fees
  • Predictable and estimable annual budgeted expense (no surprise fees)
  • Subject matter experts/professionals representing your organization
  • Dedicated teams serving your account with access to them whenever you need them
  • Timely completed audits which will help minimize penalty and interest assessments (eliminated back log)

CM Tax Recovery: Other Consulting Services

  • Bad Debt Reviews
  • State Tax Research (taxability determinations on products/services being offered)
  • Nexus reviews
  • State voluntary disclosures
  • Managed compliance agreements
  • Transaction tax process review and best practices
  • State SUT business registrations
  • Process Improvement Analysis

Scroll to Top