Orlando Tax Law doesn’t just represent individuals in their state and federal tax matters – we represent businesses and their owners too. We are well known in the Central Florida area for assisting businesses of every size, and their owners, in their state and federal tax controversy and litigation issues. Read on to learn more about how an Orlando business tax controversy and litigation lawyer can help you.
State of Florida Tax Issues
There are several different Florida Department of Revenue (DOR) tax issues that could impact a business. The state government requires the filing and payment of corporate income taxes for state organized corporations. Other types of state entities, like LLCs and partnerships, are not subject to Florida corporate income taxes.
However, any state business with employees must comply with state reemployment (aka unemployment) tax laws. Orlando Tax Law is experienced in handling reemployment tax audits and examinations for businesses. This area of law can be complicated, as there are sometimes exemptions that can apply.
Sales Tax is another frequent area where we represent Florida businesses and their owners. The state of Florida is highly aggressive, particularly with their “sampling” and “estimation” techniques during an audit or examination. The procedural time frames for challenging such proposed tax assessment before they become finalized tax assessment are also relatively short, and yet complex. We are experienced in filing protests and appeals in challenging proposed Florida DOR sales tax assessments.
We are also experienced in representing owners and officers of Florida businesses when the Florida DOR looks to assess an individual as being personally liable for the business’ tax liability. This can happen in situations where the tax liability is considered a “trust” fund type of liability where the business is holding taxes and remitting them to the state on behalf of someone else. Because Sales Tax is considered to be paid by the customer and held “in trust” by the business to be remitted to the state on the customer’s behalf, the Florida DOR can look at who is responsible in the running of the business and hold a person (or persons) responsible for that tax.
Liens and Levies
The taxing authorities of the DOR have a lot of power when it comes to filing liens and warrants. Their collections methods are often seen as more extreme than even that of the IRS. Their bank levies are ongoing, which is unlike the IRS bank levies, and entering payment plans with the Florida DOR can be even trickier. Please consult with a knowledgeable Orlando business tax attorney today if you or your business are facing a DOR tax audit or examination, or collection matter.
Other State Tax Issues
We also represent companies and their owners before other state taxing authorities outside of Florida. Many regulations allow us to represent businesses and individuals in those other tax jurisdictions without being licensed in those states. We have successfully represented clients in their state tax matters in New York, California, Oregon, and Georgia, among others. If you have a State tax matter in another jurisdiction, chances are we can help.
Federal (IRS) Tax Issues for Businesses and Owners
Orlando Tax Law represents many businesses and their owners before the IRS regarding their audit/examination and collections issues.
IRS issues involving businesses can be complex due to compliance and the filing burden of running a business. Not only are there filing requirements for business income tax returns, such as 1120 for C-corporations, 1120s for S-corporations, 1065 for partnerships, and schedule C for sole proprietor and disregarded single member LLC companies, but there are also 941 and 945 returns for payroll compliance and 940 returns for federal unemployment. All of these returns have associated penalties for late payment and late filing.
Additionally, there may be information returns that a business must file, such as 1099-Misc or 1095-Cs. Failure to file these information returns and failure to give these returns to the payees can also result in penalties.
Trust Fund Portion
If an individual missed a payroll payment, the owner or employee can be individually responsible for the Trust Fund Portion of the liability as a “responsible person.” These tax issues for businesses and their owners are further compounded by technical issues with payroll software providers – or worse, predatory PEO services. This type of mess can be made even more complicated when payments are misapplied by the IRS. For these types of business payroll cases, local IRS Revenue Officers are assigned to force compliance (for up to date filing and payment of taxes) and payment of back taxes.
Revenue Officers are also assigned to cases to potentially assess Trust Fund Recovery Penalties against officers, employees, or owners of the business, and to collect on them. Working with a local Revenue Officer is not necessarily a bad thing, so long as your attorney has a good reputation and has prior experience working with your local Revenue Officer.
Seek Assistance from an Orlando Business Tax Controversy and Litigation Attorney
The tax attorneys and staff at Orlando Tax Law have a lot of experience working with local Revenue Officers, and that experience and knowledge can help you in your IRS tax case. Give us a call today to see how we can assist you.