ABC & the City of Wilmington Audits
Monday, August 1st, 2011The Associated Builders and Contractors, Inc. (ABC) has been working with the City of Wilmington regarding their tax audit process for contractors. The City has agreed not to send out proposed assessment letters to contractors that respond to the notice of audit letter within 30 calendar days. If the Auditee does not respond within 30 days the City will make an assessment based upon the revenue records from the Delaware Division of Revenue and/or the Department of Labor.
Once the City receives the contractor response a Pre-Audit Conference Call will be scheduled to review the audit process. The City will then supply the contractor with an Excel file that contains the W-2 records including names, addresses and social security numbers. The contractor is then responsible to verify the information and provide any missing/requested information to the City. After the City receives this information a more accurate assessment will be made if needed.
Regarding the Head Tax, the City will ask for missing information for the current year and 3 years prior.