(Victor Valley)– Retailers throughout the state are receiving letters from the California State Board of Equalization (BOE) notifying them about upcoming visits from Statewide Compliance and Outreach Program (SCOP) teams. The visits are intended to educate retailers about properly reporting sales and use tax, increase compliance with tax laws, and maintain outreach efforts to assure taxpayers the state’s tax system is fair and equal for all Californians.
The BOE is mailing letters to 18,031 business owners in the following zip codes: Antelope (95843), Camarillo (93010), Ceres (95307), Denair (95316), Fillmore (93015 and 93016), Fontana (92336), Glendale (91206), Grover Beach (93483), Hughson (95326), Isleton (95641), Laguna Hills (92653), Laguna Woods (92637), Lake Elsinore (92532), Lathrop (95330), Manteca (95336 and 95337), McClellan (95652), Newbury Park (91320), Newman (95360), Patterson (95363), Riverbank (95367), Rosemead (91770), Sacramento (95842), Salida (95368), San Bernardino (92404 and 92407), San Jose (95110), Santa Paula (93060 and 93061), Sonoma (95476), Turlock (95380 and 95382), Union City (94587), and Waterford (95386).
Eight different SCOP teams located statewide (Oakland, Sacramento, San Jose, Van Nuys, Norwalk, Irvine, Riverside, and Ventura) conduct door-to-door, in-person visits in the zip code areas they cover. It is important for retailers to understand that the BOE asks only business-related questions, and does not inquire about personal financial information. Businesses found to be operating without a seller’s permit are provided instructions on how to register with the BOE, as well as information about other necessary licenses. Home-based businesses are not visited.
Since 2008, SCOP has visited 410,800 businesses statewide to verify retailers are registered, and to ensure noncompliant businesses do not have an unfair advantage over registered businesses that are reporting their sales and use taxes and/or fees to BOE.
The BOE has found that more than 98 percent of the California businesses are operating with the correct permits. However, noncompliance contributes to more than $2 billion in uncollected sales and use taxes that make up part of the state’s “tax gap” – the difference between the amount of taxes owed and the amount paid, negatively impacting all state taxpayers.
If business owners have any questions about these upcoming visits, they may contact their local BOE SCOP Team or visit the BOE’s SCOP Web page at www.boe.ca.gov/sutax/SCOP_Overview.htm.
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The five-member California State Board of Equalization (BOE) is a publicly elected tax board. The BOE collects $52.5 billion annually in taxes and fees supporting state and local government services. It hears business tax appeals, acts as the appellate body for franchise and personal income tax appeals, and serves a significant role in the assessment and administration of property taxes. For more information on other taxes and fees in California, visit www.taxes.ca.gov.