ERS provides a comprehensive review of vendor payments for the clients in the insurance industry. This opportunity is specific to California, as State Law, provides a gross premiums tax that is paid by Insurance Companies in-lieu of all other taxes. This provision provides insurance companies in California with an exemption from “use” tax but not “sales” tax.
It is imperative that insurance companies handle this exemption carefully. Based on our experience, a well qualified consultant should be engaged for this type of review. Many obstacles and difficulties occur in the identification, documentation and support of this exemption. Please contact us for additional information, our experts can help clear the path to accruate compliance and recovery.