strategies-init Archives - Page 54 of 74

Do You Need California Sales Tax Defense?

May 25, 2026August 17, 2016 by Brotman Law

The Board of Equalization is the California public organization that administers the state sales and use tax law and regulations. The BOE also conducts audits, collects unpaid California state sales and use taxes, and administers the state property tax.

There are presumptions of the tax code that the BOE follows in its operation and decision-making process. The BOE presumes:

All sales are taxable unless specifically exempted
Exemptions must be supported by documentation
The taxpayer is responsible for maintaining and providing documentation in case of examination or audit

How FTB Tax Liens Affect Your Credit Report

July 5, 2026August 10, 2016 by Brotman Law

As if taxes were not complicated and frightening enough, the federal and state taxing authorities have a variety of devices in their arsenal to compel payment and stave off penalties.

Tax liens, one of the most common of those devices, can cause trouble not just with your property and bank accounts, but with your credit score and ability to obtain lines of credit.

Federal Payroll Tax: What the IRS Expects from Business Owners

May 25, 2026August 3, 2016 by Brotman Law

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Key Takeaways

If you have employees, you are liable for federal payroll taxes. Some taxes are withheld from your employee’s wages, some you must pay yourself.
The IRS administers the Internal Revenue Code, which means it is in charge of income and payroll taxes for the entire nation.
Federal unemployment tax helps fund state workforce agencies including the EDD. It also pays those who have become unemployed as a supplement to state assistance.

If you have employees, you are liable for federal payroll taxes. Some taxes are withheld from your employee’s wages, some you must pay yourself.

The Internal Revenue Service, or IRS, administers payroll taxes as part of its responsibilities. Remaining in compliance means understanding how and when payroll taxes are calculated, filed, and paid.

Explanation and Penalties of Sales Tax Fraud in California

May 25, 2026July 13, 2016 by Brotman Law

Sales tax is added to almost every piece of merchandise sold in the State of California. It adds to the city, county, and state coffers to help pay for services everyone enjoys.

Sales tax can also be a lure into illegal activity. Sometimes it is not intentional. A retailer makes an error that can be attributed to complexity of the tax code. This is merely negligence.

Other times, it is very intentional. Then it becomes sales tax fraud.

California Self Employment Tax 2022: What You Must Know!

July 12, 2026July 6, 2016 by Brotman Law

With so much conflicting information about the California self employment tax process floating around online, it can often be difficult for a lot of people to figure out precisely what these taxes are, how they’re calculated, paid, and what the consequences of non-payment might be.

What Are the California Payroll Tax Penalties If I Don’t Pay?

May 25, 2026June 29, 2016 by Brotman Law

What Are the California Payroll Tax Penalties | Brotman Law

Key Takeaways

Filing of returns and payment of taxes can both be done online or mailed to the EDD.
There are a number of penalties that may be levied for underpayment or non payment of taxes on top of the standard late fees.
Sometimes an employer may operate a dual system, where they report some of the wages paid to a worker, but fail to report others – for example, overtime monies paid in cash.

As an employer, you are obliged to file payroll tax returns and pay payroll taxes. While the obligation can feel burdensome, especially when times are tough and cash flow is slow, this is obligation that you must never delay. Substantial penalties may accrue to any employer who doesn’t file correctly, leaving you in a far worse situation than before.

The CDTFA and California Tax Liens

July 5, 2026June 22, 2016 by Brotman Law

The consequences of falling behind on your taxes are difficult for anyone, but when we are talking about businesses, sales taxes, and the California Department of Tax and Fee Administration (CDTFA), the results can be devastating. The CDTFA is particularly aggressive about investigating and pursuing unpaid sales taxes, and will often demand immediate payment of any liability, no matter what other types of financial responsibilities or consequences the business may be facing. One of the most powerful “weapons” in the CDTFA’s arsenal of collection tactics is the tax lien. Understanding how liens work, why they happen, and what to do if one is recorded against you is important in order to protect your business during times of financial difficulty.

How to Handle an EDD Lien: Notification, Contributions, and Penalties

July 5, 2026May 25, 2016 by Brotman Law

As a business owner, you are responsible for paying payroll taxes and filing periodic reports in accordance with your obligations. If you do not do so, you risk having a lien recorded against your property by the EDD. The details of tax liens are confusing to many people, but it’s important to understand what a lien is, why they are issued, and what your options are to avoid or discharge the lien.

Franchise Tax Board (FTB) Offer in Compromise: California Offer in Compromise 101

May 25, 2026May 18, 2016 by Brotman Law

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Key Takeaways

It is a problem that many individuals or business owners in California have faced.
Generally, if you do not pay the taxes due to the state on time, you will be sent a notice in writing, informing you of how much you owe.
The FTB will expect you to exhaust most other avenues for paying off your tax debt.

It is a problem that many individuals or business owners in California have faced. You may have had a difficult year financially, and when tax time rolls around you discover that you owe more to the California Franchise Tax Board (FTB) than you can afford to pay. If this is your situation, there is light at the end of the tunnel. The FTB is willing to work with cooperative delinquent taxpayers to come up with a solution that works for both parties. One of these solutions is the offer in compromise (OIC). Could it be the right choice for you? You need to understand what is involved, how it can help your situation, whether you are eligible and how to apply before you can make a decision.

California Sales Tax Audit: Everything You Need to Know

May 25, 2026May 11, 2016 by Brotman Law

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Key Takeaways

Facing a sales tax audit is an intense time for any business.
There are many reasons that your business could end up under the scrutiny of a BOE sales tax audit.
These are some of the reasons that grocery store, bars, restaurants, and other businesses in the hospitality sector are frequently audited.

Facing a sales tax audit is an intense time for any business. Even if you are sure that your bookkeeping and records are impeccable, the painstaking process of proving your honesty takes up a lot of time and resources, and hosting an auditor as they comb through your books is always a stressful prospect.

Most California businesses will deal with a sales tax audit at some point, and understanding why and when sales tax audits happen and what to expect is the best way to be prepared when your number comes up.