TAA/Time Management
How do you request Technology Assist Audit assistance?
In AMP, through the TAA Assistance Request. 2 ways, from the menu button under my cases, or the pop up on the audit case details page.
What certificate should a contractor issue to a supplier when purchasing materials for an exempt organization's job?
The ST-120.1, Contractor's Exempt Purchase Certificate.
What are 2 items of guidance that an auditor can provided the taxpayer if they have inadequate records?
Tax Bulletin ST-770 and TSB-M-81(9)S.
What is a hotel guest who is staying at the same hotel for over 90 days in New York State but not in New York City called?
Permanent resident.
What Articles of the Tax Law covers Sales and Use Tax?
Articles 28 and 29.
Who is responsible to make the audit decisions when you request TAA assistance?
The Auditor!
What exemption certificate should a contractor issue to purchase materials used in a Capital Improvement?
None. The contractor must pay tax on the purchase of materials in capital improvements.
If a taxpayer does not have adequate records, the auditor does not need to be exact in the tax found due but needs to be this when deciding how to proceed?
Reasonable.
Which of the following purchases would a car dealer be able to purchase exempt:
Oil for oil change, paper floor mats, parts to be resold, shop rags and cleaners, lifts, and enhanced emissions inspection equipment.
Exempt:
Oil for oil change
Parts to be resold
Enhanced emissions inspection equipment
What protest options does a taxpayer have if they disagree with an audit finding?
Protest to:
BCMS
Department of Tax Appeals
Small claims court depending on liability
What is an acronym commonly used to assist with setting goals? What do the letters stand for?
S - Specific
M - Measurable
A - Attainable
R - Realistic
T - Time Targeted
Which 3 criteria must ALL be met for a capital improvement?
substantially adds to the value of the real property, or appreciably prolongs the useful life of the real property;
• becomes part of the real property or is permanently affixed to the real property so that removal would cause material damage to the property or article itself; and
• is intended to become a permanent installation
If the taxpayer is not providing records requested or did not keep adequate records, what steps could the auditor take to?
Discuss with your supervisor.
Send the PIL.
Develop a tax assessment using an alternative method.
What is a vehicle held in inventory but occasionally used for business or pleasure by the dealer or one of its employees or owners called?
Mixed Use vehicle.
If you and the taxpayer come to an agreement prior to the BCMS conference, what form do you need the taxpayer to sign?
The DTF-941, Withdrawal of Protest
3 Part Question:
1) How many seconds are there in each day?
2) How does this relate to your job as an Auditor?
3) How did you spend this money???
1) 86,400 seconds
2) How you manage your inventory time
3) Purchasing an expensive gift for Derrick/Dave is the only acceptable answer!!!
Assuming the vendor did not pay any sales tax on its purchases of materials, what amount of its purchases would be subject to use tax?
Vendor has Total Sales:
$80,000 CI jobs (80%)
$20,000 Ex org jobs (20%)
Total Revenue: $100,000 (100%)
Total purchases: $30,000
Total Purchases of $30,000 x 80% (CI jobs) =
$24,000 of the material purchases would be subject to use tax .
What are 3 alternative methods you can use to reach an audited tax due?
Observation test
Mark up test -
Difference between sales reported on Federal or State Corp returns and Sales tax returns
Prior audit findings
External indicies
ETC...must be reasonable.
What needs to be provided for the hotel to prove that a guest staying for an exempt organization qualified for the exemption?
The ST-119.1 as well as documentation that the exempt organization is the payer of record.
Name 2 Issues Often Encountered With Cash Based Businesses?
Name 2 things that can help you manage your time?
Identify tasks, prioritize tasks, set goals, schedule time.
Name 3 pieces of job/project information that can be found within Contracts?
Name 3 spots the inadequacy of records should be discussed.
AU-220, audit log
Audit report
Closing letter
If a car dealer donates a car from their inventory, what must the car dealership due?
Pay use tax on the car. Being it was in inventory, the dealer would have not paid tax because they would have issued a resale certificate.
Name 4 different kinds of entities a business can assume?