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Tax reviews as a way of early detecting irregularities in accounts with tax

Tax authorities are becoming increasingly restrictive during inspections.

Tax authorities are becoming increasingly restrictive during inspections.

The subject matter of the tax verification is not only issues related to the regularity of VAT settlement, but also – income taxes (CIT and PIT), transfer prices, excise duties, as well as taxes and local charges (e.g.

Tax authorities are becoming increasingly restrictive during inspections. The subject matter of the tax verification is not only issues relating to the regularity of VAT settlement, but also – income taxes (CIT and PIT), transfer prices, excise duties, as well as taxes and local charges (e.g. property tax).

Management of the company involves a lot of responsibilities and tax issues are only a small cut. An effective way to avoid huge financial losses caused by the detection of irregularities as a result of tax checks is to carry out tax reviews - cyclical or ad hoc.

Tax reviews, which can take the form of both cyclical and ad hoc reviews, will certainly help the entrepreneur (executed during the one day). The tax review aims primarily at early detection of irregularities in accounts.

Forms of tax reviews

The simplest form of tax review is a one-day review. The whole process starts with the company filling out a survey. This allows the tax advisory company to initially identify potential areas for verification.

After completing the survey, time comes for an expert visit to the entrepreneur's headquarters. Already a few hours of work is the basis for preparing the report. It allows you to find out in which areas further analysis is needed and what can be corrected immediately.

A more comprehensive form of entrepreneur research is a comprehensive review. The customer then chooses the area that wants to verify (e.g. VAT, excise duty, CIT, property tax). Tax experts then have much more time to assess in detail the correctness of the accounting methodology.

Another possibility is a review which assesses current tax settlements in terms of their correctness.

A specific form of tax investigation and its scope shall be determined individually in consultation with the client. Thanks to this, the methodology can be adapted to the requirements of a particular industry and company size.

Benefits of the tax review

The tax review is primarily an investment in the company's financial security. Constantly changing tax rules may result in the risk of major financial penalties being incurred. The task of tax experts is to eliminate this risk and to propose optimal settlement solutions that will further facilitate the entire process and save business time.

Author:

Expert Russell Bedford

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