Tax: Federal, State & Local | Credence Precision Advisory PLLC

What We Provide

Comprehensive Tax Compliance & Planning

US taxation operates on three levels simultaneously — federal, state, and local — each with its own rules, rates, filing deadlines, and compliance obligations. Organizations and individuals that operate across multiple states face additional complexity: nexus determinations, apportionment rules, varying entity tax treatments, and differing due dates.

We manage the full compliance lifecycle for our clients — from return preparation and filing to tax planning, IRS representation, and penalty abatement — so you stay compliant, minimize liability, and focus on your core operations.

Federal corporate and pass-through returns (1120, 1065, 1120-S)

Non-profit Form 990 and 990-T filings

State income, franchise, and gross receipts tax returns

Multi-state nexus analysis and apportionment

Sales and use tax compliance

Estimated tax planning and cash flow projections

IRS correspondence, audits, and penalty abatement

Service Areas

Tax at Every Level

Federal Tax

Preparation and filing of all federal returns — corporate, partnership, S-corp, and exempt organization (990). We identify every available deduction, credit, and planning opportunity available under the Internal Revenue Code.

State & Local Tax (SALT)

State tax compliance is increasingly complex. We manage income tax returns across all required states, perform nexus analysis for newly expanding businesses, and advise on apportionment, entity structure, and state-specific incentives.

Tax Planning & Strategy

Compliance is the floor — planning is where real value is created. We work proactively throughout the year to model tax scenarios, identify savings opportunities, and time transactions to minimize your current and future tax obligations.

Non-Profit Tax Compliance

Form 990 and 990-T preparation, UBIT analysis, public support test monitoring, and compliance with exempt organization disclosure requirements. We help nonprofits protect their tax-exempt status.

IRS Representation & Notices

If you receive an IRS notice, audit request, or penalty assessment, we represent you directly. We respond to IRS inquiries, negotiate penalty abatement, and resolve issues efficiently without escalation.

Sales & Use Tax

Economic nexus rules post-Wayfair mean many businesses now have sales tax obligations in states where they have no physical presence. We assess your exposure, manage registration, and handle ongoing filing obligations.

FAQ

Common Tax Questions

What is nexus and why does it matter for state taxes?

Nexus is the legal connection between a business and a state that creates a tax obligation. After the Supreme Court's 2018 South Dakota v. Wayfair decision, states can impose sales tax obligations on businesses based solely on economic activity — even without a physical presence. Many businesses are unaware they have multi-state filing obligations until they receive a notice.

What is UBIT and when does it apply to nonprofits?

Unrelated Business Income Tax (UBIT) applies when a tax-exempt organization earns income from activities that are regularly carried on and not substantially related to its exempt purpose. Common examples include advertising revenue, rental income from debt-financed property, and certain investment income. We help nonprofits identify and manage UBIT exposure.

How far back can the IRS audit my returns?

Generally, the IRS has three years from the later of the return due date or filing date to audit a return. This extends to six years if gross income is understated by more than 25%, and there is no statute of limitations for fraudulent returns or returns that were never filed.

Tax: Federal, State& Local