Unsure where you owe sales or use tax
Run Your Nexus Risk CheckIf your business failed to collect or remit California sales tax, penalties and interest may significantly increase the total amount owed.
California penalties may apply when:
Interest accrues from the original due date and continues until payment is made.
Run Your Nexus Risk CheckCalifornia may impose:
Penalties are generally calculated as a percentage of unpaid tax and may compound if exposure spans multiple periods.
Interest accrues from the original return due date until the liability is fully paid. Interest rates are determined by statute and may change annually. If nexus existed for multiple years, interest may substantially increase total liability.
If exposure is identified during a formal audit, additional penalties may apply.
Audit assessments may increase total liability through:
In some cases, businesses may request penalty abatement.
Penalty relief may be available when:
If you suspect past nexus exposure, determining when liability began can limit total penalties and interest.
Run Your Nexus Risk CheckEstimate potential exposure before penalties escalate further.