Pizza and Sales Tax Part 3

In Parts 1 and 2, I introduced you to a pizza place that was not reporting its sales tax correctly.?This caused an audit and began a horrible nightmare with the state claiming the restaurant owed $87,000 in back sales tax as well as having?their sales tax exemption taken away.??

Let's see how this problem was resolved.

After trying to work with the state auditor and manager and realizing they were not going to budge, we came up with a totally different plan.

It was suggested that the owner do a bit of research about moving to another state.?After he had some facts, contact his state representative.?He followed my advice and this is what happened.?

The owner told the state representative that if this is how the state is going to treat him, he is going to:

• Lay off ALL of his employees
• Hold a press conference and tell all the details of what happened and why he is moving the restaurant
• Use social media to spread the news about how the state treated him
• Move to a neighboring state that will give him 2 years of no property tax

The state representative called the governor and asked him what the hell he was doing, among other things.

The governor called the commissioner and chewed him/her out.

A week and a half later, the pizza restaurant owner received a letter from the state.?The restaurant was reinstated as a manufacturer and received its sales tax exemption back.?The sales tax liability was also dropped to $7,000.

The state is moved by political pressure.

The focus of our practice is helping individuals and businesses resolve their IRS and/or state problems in the Las Vegas, Nevada, St. George, Utah areas, and elsewhere.?If you or someone you know is dealing with IRS problems, contact me at 702-469-9426 or [email protected].