Tax Survey Finds Confusion Across State Lines

It seems nothing is more complicated than our nation's tax system, especially from state to state. Among other results, CFO Magazine's 2000 State Tax Survey discovered a tangible inconsistency between the way businesses interact with state taxing authorities and the amount of tax levied in various states.

A few of the comments include: 'inconsistent treatment of similar transactions by different states;' 'states are too slow in resolving issues and responding to changes; and 'a wide range exists regarding the flexibility, common sense, and fairness employed by each auditor.'

The winner for the state with the most questions is California, which has to find ways to give back some of its surplus to the people. The result of this effort is a $2.7 billion tax-relief bill, and when the money is handed out, each taxpayer will receive about $50.

That's the good news. The bad news is that the auditor aggressiveness in the Golden State is perhaps the highest in the nation, and as a consequence, very few businesses are likely to expand for fear they will be visited by these auditors.

You may like these other stories...

Many accountants struggle with payroll, either because they have too much of it or they don't want to do any of it. Either way, they are at odds with the needs of their business clients. Most clients are looking for a...
Hertz and Icahn make peaceThere won’t be any nasty, protracted proxy battle between Hertz Global Holdings and activist investor Carl Icahn. The rental car chain agreed last Thursday to give Icahn – who has...
For bitcoin users, the taxman cometh. And you best know how to calculate taxes owed on what the IRS calls convertible virtual currency.In March 2014, the IRS issued Notice 2014-21, which declares virtual currency will be...

Already a member? log in here.

Upcoming CPE Webinars

Sep 18
In this course, Amber Setter will shine the light on different types of leadership behavior- an integral part of everyone's career.
Sep 24
In this jam-packed presentation Excel expert David Ringstrom, CPA will give you a crash-course in creating spreadsheet-based dashboards. A dashboard condenses large amounts of data into a compact space, yet enables the end user to easily drill down into details when warranted.
Sep 30
This webcast will include discussions of important issues in SSARS No. 19 and the current status of proposed changes by the Accounting and Review Services Committee in these statements.
Oct 23
Amber Setter will show the value of leadership assessments as tools for individual and organizational leadership development initiatives.