The Bunnell sales/use-tax audit lists taxable construction purchases of $126,000 and tax support of $118,000. What status should be reported?
Correct Answer
A) support gap
Tax-file status should identify whether sales/use-tax support covers taxable purchase exposure.
Why This Is the Correct Answer
Tax-file status should identify whether sales/use-tax support covers taxable purchase exposure.
Why the Other Options Are Wrong
Option B: lien window open regulatory calendar entry
lien window open regulatory calendar entry puts the item in the wrong financial bucket, timing, base, or comparison for tax support gap.
Option C: qualifier issue statutory review note
qualifier issue statutory review note puts the item in the wrong financial bucket, timing, base, or comparison for tax support gap.
Option D: permit inspection agency response log
permit inspection agency response log puts the item in the wrong financial bucket, timing, base, or comparison for tax support gap.
Memory Technique
Financial Base drawer for Controller Reviews: label tax-file before counting dollars.
Reference Hint
Open-book path: tab Florida Statutes Chapter 212; Florida Department of Revenue Sales and Use Tax on Building Contractors to Florida DOR GT-800007, Contractor sales and use tax records; verify the Florida rule, deadline, or compliance record before answering.
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