Tax audit (tax accounting check) is a type of initiative check, which is one of the most popular and relevant types of related audit services. The importance of tax audit for companies is due to significant probable losses, the risk of occurrence of which is high in cases of detection of tax law violations during inspections by regulatory authorities.
Tax accounting is a system of summarizing information for determining the tax base on the basis of data of primary documents grouped in accordance with the procedure provided for by the Tax Code of Ukraine.
The tax audit of a company is an independent audit of the accounting system, as a basis for tax accounting, comprehensively or on a specific tax.
The main purpose of the tax audit is to identify errors made in the calculation and payment of taxes and fees of the company, as well as the development of recommendations and the implementation of measures for their elimination. The purpose of a tax audit is determined by the circumstances that cause the need for it. Tax audit is not an audit according to the Law of Ukraine «On Audit of Financial Reporting and Audit activities» as of December 21, 2017 No. 2258-VIII and International Auditing Standards.
When is a tax audit implemented?
|before conducting inspections by regulatory authorities;|
|when changing officials or materially responsible persons;|
|while performing control over the work of the company’s accounting department;|
|in case of assessing tax risks;|
|when changing the model of the company;|
|when carrying out measures to optimize tax payments;|
|when errors are found in the submitted tax reports;|
|when filing a clarifying calculation of tax liabilities and so on.|
What is the subject of a tax audit?
|compliance of the tax accounting system with legal requirements;|
|timeliness and correctness of taxpayer registration;|
|correctness of the tax base;|
|accuracy and completeness of the accrual of tax liabilities;|
|the legality of the application of tax rates and benefits;|
|correctness of tax reporting;|
|completeness and timeliness of transfers to the budget, relevant funds of taxes and other payments;|
|correctness of the use of special tax regimes and so on.|
A separate subject during the tax audit may be issues that do not relate to the checking of the correctness of the accrual and payment of taxes, but are subject to tax authorities. These issues include:
|correctness of foreign economic activity;|
|checking of activities subject to licensing and patenting;|
|correctness of cash transactions;|
|correct application of legislation on labor protection and the provision of social guarantees and so on.|
What do we offer
HLB Ukraine provides tax audit services and will help you to avoid significant financial losses and possible conflicts or misunderstandings with regulatory authorities.
What do you get
Сontaining a list of violations and deficiencies identified that carry the greatest tax risks for the company and recommendations for their elimination
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