NEWS & INSIGHTS
How Past Noncompliance or Late Filings Trigger Florida Sales Tax Audits
Florida sales tax audits aren’t always triggered by new behavior. In many cases, the Florida Department of Revenue (FDOR) targets businesses that have already shown signs of noncompliance in the past. If you’ve filed late, failed to remit collected tax, or have unresolved penalties, your business is at a much higher risk for a follow-up audit.
What Counts as Prior Noncompliance?
Florida defines noncompliance broadly. Common risk factors include:
- Late or missing sales tax returns (Form DR-15)
- Failure to remit collected sales tax to the state
- Outstanding balances, including penalties and interest
- Prior audit assessments or adjustments
- Frequent amendments to prior returns
Even if the tax amount owed is small, repeated issues can flag your business for closer review.
How FDOR Monitors Compliance History
FDOR tracks compliance through its integrated taxpayer system, which logs:
- Return filing dates and payment history
- Collections and delinquencies
- Results from prior audits
- Frequency of amended returns
- Correspondence and prior enforcement actions
This historical view helps FDOR decide whether to audit again—and how deep to dig.
Repeat Audits Are Common
If your business has been audited before and had issues, FDOR is likely to return. Repeat audits may occur within 2–5 years, especially if problems were not fully resolved or the business continued operating in a high-risk industry.
Late Filings Can Be Enough to Trigger an Audit
Even without a prior audit, consistent late filings alone may trigger scrutiny. FDOR sees late returns as signs of poor internal controls or financial instability—both red flags for sales tax compliance.
Steps to Avoid Repeat Audit Exposure
- File on time, every time: Use calendar reminders and accounting software to prevent accidental delays.
- Resolve outstanding liabilities: Set up a payment plan or pay off back taxes to clear your record.
- Improve internal controls: Ensure all sales are recorded properly and reported consistently on DR-15s.
- Get professional help: A Florida sales tax attorney can help clean up your filing history and protect you in future audits.
A Clean Record Is the Best Defense
Once your business has been flagged, it’s harder to avoid future audits. The best strategy is to demonstrate sustained compliance after any issue arises. If you’ve had problems in the past, don’t wait for FDOR to come knocking again—take proactive steps now to show your business is back on track.
At Moffa Tax Law, we help businesses get out from under audit scrutiny and stay compliant going forward. If you’re worried your past tax issues could lead to another audit, call us today.
Interested in learning more about sales tax audit defense? Check out our Sales Tax Audit Defense – Ultimate Business Guide.
Moffa Tax Law | Florida State and Local Tax Attorneys
© 2025 Jeanette Moffa. All Rights Reserved.
Yes. Chronically late DR-15 filings are a major red flag to the Florida Department of Revenue and can trigger a sales tax audit, even without other compliance issues.
Absolutely. FDOR maintains detailed records of filing history, payment delinquencies, audit results, and amended returns, which it uses to evaluate audit risk.
While a single late filing may not be enough, repeated late or missed filings—especially when paired with unpaid taxes—greatly increase the chance of being audited.
Yes. Even if a prior audit was resolved, your business may be selected again if it remains in a high-risk industry or continues to have late or amended filings.
Yes. Unpaid balances, penalties, or liens from prior years can put your business back on FDOR’s audit radar.
Noncompliance includes late filings, missing payments, failure to remit collected tax, unfiled DR-15s, frequent amendments, and ignoring notices or demands for payment.
File and pay on time, resolve all prior issues with FDOR, avoid frequent return amendments, and keep accurate, well-organized records of taxable and exempt sales.
Generally, the audit lookback period is 3 years, but FDOR may go back further if fraud, failure to file, or significant underreporting is suspected.
While helpful, neither guarantees compliance. FDOR holds business owners responsible, even when errors are caused by third parties or software glitches.
Yes. A Florida sales tax attorney can help you resolve past issues, reduce penalties, and avoid escalating enforcement or surprise audits.
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Jeanette Moffa, Esq.
(954) 800-4138
JeanetteMoffa@MoffaTaxLaw.com
Jeanette Moffa is a Partner in the Fort Lauderdale office of Moffa, Sutton, & Donnini. She focuses her practice in Florida state and local tax. Jeanette provides SALT planning and consulting as part of her practice, addressing issues such as nexus and taxability, including exemptions, inclusions, and exclusions of transactions from the tax base. In addition, she handles tax controversy, working with state and local agencies in resolution of assessment and refund cases. She also litigates state and local tax and administrative law issues.