Statistical Sampling

California Department of Tax and Fee Administration Withdraws Amendments Deleting the Three-Error Rule from Audit Manual

Taxpayers can rejoice that they may continue to use the three-error rule for California sales and use tax audits for now. On July 7, 2023, the Office of Administrative Law published an update in its California Regulatory Notice Register that the California Department of Tax and Fee Administration (“CDTFA”) has formally certified that it will not issue,

California Department of Tax and Fee Administration Proposes to Delete the Three-Error Rule from Audit Manual

The California Department of Tax and Fee Administration (“CDTFA”) has been busy with regulatory projects this new year. On January 11, 2023, the CDTFA issued a notice that the second interested parties meeting for its proposed changes to Audit Manual Chapter 13,