Services
Tax Return Preparation and Filing:
ASTC's experts will review your purchase agreement, prepare a tax return, claim an exemption or request a check (payable to the Board of Equalization) for the amount of tax due and send it, via certified mail to the Board of Equalization to satisfy your statutory requirement.
Full Exemption Program
Our experts will perform a detailed analysis of the buyer's needs and develop and implement a strategy that will accomplish the stated goal. ASTC will guide you through each exemption requirement including, but not limited to, the delivery and first functional use. They will also monitor your monthly storage and use patterns for the duration of the exemption test period. They can guarantee their results provided the you contract with them prior to making your purchase.
ASTC will work with buyers, sellers or dealers of aircraft, vessels or vehicles to ensure all parties comply with all facets of the sales & use tax laws and regulations, as needed.
Condensed Exemption Program
Similar to the full exemption program, yet condensed due to the amount of time which has expired since the aircraft, vessel or vehicle was purchased. In some cases the test period will have already expired, however, this does not preclude ASTC from filing and securing an exemption for you.
Dealer Review
ASTC's experts will conduct a review of your record keeping and business operations which is designed to help ensure that you are neither underpaying nor overpaying your sales and use tax liability. This review is also designed to uncover and expose areas of potential problems in your processes or recordkeeping which may lead to an unexpected tax liability or refund.
Although it is imperative for every taxpayer undergoing a sales tax audit to have knowledgeable and experienced representation, ASTC knows that this type of pre-emptive review, before an audit takes place, could be the most important thing a business owner can do to help eliminate future, potentially devastating, and unexpected sales tax audit problems, including fraud. With California's various sales tax rates reaching upwards of 9%, minor errors in this area can translate into enormous sales tax liabilities.
In addition, considering that a high percentage of sales tax audits result in substantial liabilities, the cost of this type of review can be nominal in comparison to the out-of-pocket tax expense resulting from non-compliance. After all, where can you turn a very minimal expense into income in the form of tax savings of potentially tens, or even hundreds of thousands of dollars depending upon the type of business and issues involved?
Claims for Refund
If you have already paid the sales or use tax on your aircraft, vessel, or vehicle acquisition, ASTC's experts can conduct a FREE review of your transaction details during a specific period of time (generally the first 6-12 months of ownership) to determine if an exemption applies. If ASTC determines an exemption applies, they will file a claim for refund for the amount of taxes paid plus interest which has accrued from the date of payment.
The time period in which a claim for refund must be filed pursuant to California Code of Regulations, Title 18, section 6902 is within three years from the last day of the calendar month following the one year period for which the overpayment was made, or within six months from the date the determination becomes final, or within six months from the date of overpayment, whichever period expires later.
Appeals Conferences
The administrative appeals process is initiated by developing a valid disagreement with the Board's mechanical, procedural and/or legal positions established in the audit. An adequate and timely Petition for Re-determination must be filed with the Board of Equalization. This must occur prior to the due date of the Notice of Determination. Filing a petition places the audit in "petition status" and, concurrently, places the Board's collection activities on hold until all of the administrative appeal remedies have been exhausted.
ASTC's experts will efficiently analyze the Board's audit findings in detail, correlate their findings with your records, and develop a defensive strategy which will minimize or eliminate the financial impact of the tax assessment. They will skillfully plan, prepare, and conduct all District, Appeals Review, and Board level hearings.
Settlement Offers
The Board of Equalization's settlement program is available to taxpayers who have a petition for re-determination, late protest or claim for refund pending in connection with a tax liability administered by the Board of Equalization. Settlement proposals may be considered for civil tax matters in dispute under the sales and use tax program.
ASTC's experts will review your records, develop arguments and prepare a brief to be filed with the Board of Equalization’s settlement department for consideration. They will continue to monitor and discuss with the Board Auditors the relevant facts of your case and bring research materials of prior cases to the forefront as precedent.
The Board of Equalization’s settlement program does not apply to audits in progress, collection matters, and litigation cases. The settlement program is intended to expedite the resolution of tax and fee disputes consistent with a reasonable evaluation of litigation risks and costs. Therefore, a taxpayer's inability to pay the disputed liability is not considered under the settlement program. If you are only seeking relief from a tax liability on the basis of an inability to pay, you may wish to utilize ASTC's "Offers in Compromise" service.
Offers in Compromise
An Offer in Compromise is a proposal to pay the Board of Equalization an amount that is less than the full tax or fee liability due on a closed account.
The Offer in Compromise program is for taxpayers who do not have, and will not have in the foreseeable future, the income, assets, or means to pay their tax liability in full. You qualify for the program if you meet all of the following criteria:
- Have a final tax or fee liability on a closed account.
- Are no longer associated with the business that incurred the liability or a similar type of business.
- Do not dispute the amount of tax or fee you owe.
- Cannot pay the full amount you owe in a reasonable amount of time.
ASTC will review your records and file an Offer in Compromise to be considered by the Board of Equalization.
Board Hearings
If you elected to have a Board Hearing and all matters have not been satisfactorily resolved at any of the prior levels of review you will be allowed a formal hearing before the elected Members of the State Board of Equalization. At this Board Hearing, ASTC's experts will be given an opportunity to present your position on all of the unresolved issues before the elected members of the Board. It is important that they have all of the facts of your case to effectively and efficiently present your case given the allotted time; 10 minutes for the presentation and 5 minutes for rebuttal.
Expert Witness Testimony:
Pending or existing litigation can result in the need for a qualified professional to present his/her opinion which will support or oppose evidence submitted to the court. ASTC's level of competence and experience in the sales and use tax field allows them the opportunity to function as expert witnesses in such cases.
Seminars and Workshops:
The staff at ASTC has conducted seminars and workshops for accountants, attorneys, dealers, owners and industry-specific tax committees. These are conducted at NO CHARGE and may be accredited for continuing education units. ASTC is always eager to participate in educational endeavors for the taxpayers of the state. It is their belief that through education, knowledge can be gained and used to improve the broken tax system. If you would like a speaker at your next event, please contact ASTC's administrative staff to coordinate dates and times.
Tax Advocacy:
ASTC is always searching for legislative fronts to argue which will benefit taxpayers and will continue to work closely with legislators to draft, sponsor, and enact legislation. Some of their past mandates have opened additional hidden legal interpretations and policies that were previously only available to the Board personnel. ASTC will always be a leader in this area for taxpayers' rights.