Foley Attorneys Author Article on Sampling Issues in State and Local Tax Audits

Foley & Lardner LLP attorneys Lynn Gandhi, Joshua Labat, and Elizabeth Gallio authored the Tax Notes article, “Sampling Issues in State and Local Tax Audits,” which assesses audit sampling practices and their impact on taxpayers.

The authors examine the most commonly used sampling methods in state tax audits, how those methods are applied, and the issues they often present. The article also addresses taxpayer rights related to sampling and offers best practices for reducing disputes and supporting effective case strategy.

“It is important to be informed regarding the method being employed, recognize the common pitfalls that often accompany sampling, and work with the auditor to obtain fair audit results,” the authors write. “If this cannot be achieved, or your best-laid plans go astray, significant benefits can be achieved by reviewing the root causes and identifying the appropriate challenges to assist in contesting the outcome.”