Unsure where you owe sales or use tax
Run Your Nexus Risk CheckA Texas sales tax audit is conducted by the Texas Comptroller to verify whether a business properly reported and remitted sales and use tax.
An audit may include:
If discrepancies are identified, the Comptroller may assess additional tax, statutory interest, and penalties.
Run Your Nexus Risk CheckCommon audit triggers include:
Texas uses marketplace reporting and data matching to identify potential exposure.
Texas Economic Nexus Threshold | What Triggers a Sales Tax Audit in Texas
A Texas sales tax audit typically begins with:
The notice will generally identify:
Businesses are required to provide books and records relevant to tax reporting.
The Texas Comptroller may review:
Purchase invoices are frequently examined for unpaid use tax.
Texas Resale Certificate Requirements | Texas Use Tax for Businesses
If discrepancies are identified, the Comptroller may:
Audit assessments may significantly increase total liability.
Texas Sales Tax Penalties and Interest | Texas Back Sales Tax Liability
If the audit determines that nexus existed in prior periods and returns were not filed, the Comptroller may review multiple prior years.
Exposure may include:
Businesses that evaluate exposure before audit notice may have additional resolution options.
Preparation may include:
Understanding potential exposure before responding to audit notice is critical.
If your business has been contacted by the Comptroller or believes nexus may exist, evaluate exposure before responding.
Run Your Nexus Risk Check