View a copy of Schedule A - Taxes
| 10. | Did the taxpayer report sales or use tax? If the taxpayer purchased equipment outside this state to use in its California facility, then the taxpayer is subject to use tax. If sales or use tax was paid this is where it will be reported. The problem is that you most likely will not be able to tell if the appropriate amount of sales or use tax was paid without examining the sales or use tax returns. See how reasonable the amount reported is and compare to the amount reported on the form 3535. The taxpayer could be expensing the sales or use tax paid for qualified property on which the MIC is claimed. Remember to claim the MIC, costs must be capitalized including sales or use tax paid. Note: Schedule A is no longer available on the FTB Form 100S. |