The materials needed for a visit to a Department of Taxation vary by state. Most audits require detailed income and expense records, such as sales and purchase invoices.
Audits at the Nevada Department of Taxation only apply to businesses, as there is no state income tax for individuals. The department suggests bringing copies of previous state and federal tax returns, monthly sales information, bank statements, canceled checks, asset depreciation schedules, and cash register "Z" tapes among other items that show profit and loss. Businesses that are registered for Sales and Use Tax must have records covering the previous three years. Unregistered businesses may need records going back as far as eight years.
Audits of individuals in New York state may take one of two forms. Desk audits can be conducted by mail or computer and are the most common type of audit, while field audits take place at a person's home, office or the office of their accountant. For each type of audit, the person being audited needs any records or receipts pertaining to his income, credits and expenses. Businesses being audited also need all relevant business records, similar to those listed above for the state of Nevada.
Requirements for other states with a Department of Taxation are similar.