Sales and Use Tax Refund Opportunities for Government Contractors
Since the landmark, 1990 California case in Aerospace Corporation v. State Board of Equalization, companies performing services under contracts with the federal government (“government contractors”) have recovered overpaid state sales and use taxes and other transaction taxes related to indirect costs. The high volume of federal spend and the complexity of indirect purchases related to federal contracts provides a potential opportunity for government contractors to recover erroneously paid taxes.
The Deloitte Integrated Transaction Tax Solution combines tax and industry experience with sophisticated technology software tools to review voluminous data sets pertaining to a company’s purchases. Deloitte can assist government contractors to find and recover overpayments of sales, use, and other transaction taxes and to remediate the underlying sources of these overpayments.