Dow Lohnes Price maintains a tax consulting practice for all state and local tax jurisdictions imposing sales, use, excise, gross receipts and transactions taxes. The firm provides tax planning and research services to support the growth of local and multi-state business enterprises and often works in consultation with Dow Lohnes in assisting with new products, ventures and contracts by advising on sales and use tax issues. When our clients launch a business or product expansion, our goal is to provide the decision makers with sufficient information to understand both the tax implications and alternatives so that the client can make informed decisions. We understand that sales and use taxes impact operations, profitability, customer relations and competitiveness. Because an accurate sales and use tax determination is dependent upon a proper understanding of the facts underlying the transaction, we take the time to identify the pertinent facts and understand the business environment in order to get it right. In today’s environment, electronic and digital advancements often precede development of state law; if an area is gray or a fact pattern is not addressed in published guidance, we will identify alternatives and work with the client to achieve the desired level of comfort.

Services related to business development include:

• Contract review for tax clauses, ability to pass through taxes imposed on the vendor, terms impacting the location of the sale and factors impacting the characterization of the transaction for sales and use tax purposes and provide advice and identify alternatives regarding the same.
• Research tax law in jurisdictions where employees travel, where new facilities are established, and where suppliers and expanded operations create new filing responsibilities or alter existing nexus positions.
• Research tax issues related to changes in delivery, risk of loss provisions, pricing structure, product bundles, marketing channels and product enhancements.

Sales tax laws are constantly changing and evolving to keep up with technology and the marketplace. This environment sometimes leads to a conclusion that a company is inadvertently out of tax compliance with the current law. The firm handles all aspects of sales and use tax strategies to restore compliance including negotiated settlements, amnesty programs and voluntary disclosure filings.

Dow Lohnes Price handles all aspects of sales and use tax audits, managed audits and dispute resolution. The level of service is tailored to the client’s needs and circumstances. The firm can serve as a resource to the in-house professional managing the audit and in this capacity can evaluate the strength of position, provide research services, gather information from similarly situated taxpayers and assist with audit strategies. The firm can also manage all aspects of the audit, a common situation which arises when a company either does not have employees with sales and use tax expertise or has no capacity to give the audit the attention needed. In many cases, the audit will be conducted at our offices in order to minimize disruptions to operations and control the flow of information to the auditor. 

Specialized services provided by the firm include:

• Research the application of state law to the client’s operations.
• Assist the client in determining the potential tax liability.
• Handle all correspondence with the state, including voluntary disclosures, anonymous inquiries/negotiations to settle prior years where state filings have not been made.
• Identify tax planning opportunities, including entity restructuring to minimize taxes and tax exposure.
• Negotiate three-party sales tax dispute resolutions between companies, their franchisees, and state revenue departments.
• Prepare and review ruling requests and nexus determinations.