Tax Audit Program Guidelines

Suggestions for planning and approval of month-to-month tax audit strategy.



The audit program should reflect the desires presented in the Large Taxpayer Office. The heads of offices need to send their proposals in writing for the Head of Audit Section, before the latter starts preparing the audit plan for the following month. As a way to make certain that the planning is correct and that taxpayers to audit are properly incorporated in the plan, it is necessary to also have proposals in the head of the assessment and collection section at the same time as from the head of enforcement and debt management, in order that this cooperation will serve to clarify particular problems, for instance, information keeping methodology, particularly in cases when taxpayer's information are incomplete. Information is also received from the official in charge of Appeal Administration, for cases when the taxpayer to be planned for audit is beneath appeal procedures. Get extra details about Verfahrensdokumentation erstellen

 


The audit strategy is prepared by the Head of Audit Section around the 25th in the preceding month and is presented to the Head of Significant Taxpayers Office. Just after the latter has received approval from the Head of Tax Audit Directorate in tax agency, this strategy should really be approved no later than the initial day on the planned month, but the plan really should be available for the Tax Audit Directorate no less than two days prior to the end with the month. If there is certainly no answer until the 1st of your month, Large Taxpayers Office can contemplate the audit program for the month in question as accepted by Tax Audit Directorate.



Using the audit selection methodology (IT or manual program) the program ought to include the taxpayers to become audited at the same time as the number of days to be spent for every single tax audit. Tax Audit Directorate can alter the already chosen taxpayers, however it cannot alter greater than 15% of the total number of taxpayers chosen by the audit section, neither can it alter the taxpayers that have been chosen by the IT system, if such system is in use. In such case the Tax Audit Directorate can add other taxpayers for audit and they must be part on the 15% of manually chosen taxpayers collectively using the selections made by the choice system.



Deadlines applicable in planning audits for specific requests



The practice adopted so far has shown that continuous audits to significant taxpayers have hidden their factual tax obligation, and consequently, massive businesses in general represent the larger risk location for hiding tax revenues. On the audit planning process, the head of audit section must assess the danger for possible fraud. Hence, in case fraud is found, the audit plan should incorporate the necessary techniques to be used.



Cases of refunding requests



The Assessment Section supplied the Head of Audit Section with the list of persons which have requested refund. This list is sent by means of internal protocol of Substantial Taxpayers Office. Inside the meeting with all the heads of offices, the Head of Section plans the fiscal stop by for the closest day probable so as to check the accuracy of each and every request included inside the list. At the end of such check following the fiscal check out, this sector specifies the sum agreed for refund in the report written for this goal. A copy on the fiscal visit report is sent towards the Assessment and Collection Section by means of internal protocol. The deadline for sending this details need to not exceed 25 days from the date the refunding request was registered in the respective register.



Cases of taxpayers' requests for deregistration, bankruptcy or adjust of status



The Assessment and Collection Section, Enforcement and Debt Management Section or Head of Large Taxpayers Office straight provide the Audit Section together with the list of persons that have requested deregistration or bankruptcy procedures. This really is performed by way of Huge Taxpayers Office internal protocol. In the meeting together with the heads of offices, the Head of Section plans the fiscal check out to check the requests, not exceeding the 30-day deadline in the moment the request was registered in Substantial Taxpayers Office.



Cases of requests for audits coming from headquarter of tax agency



In such cases, after receiving a request for conducting an audit, the head of section will plan the audit to be conducted in the following month, unless the request has the note "Urgent" on it. If the official document authorizing the audits consists of a extended list of taxpayers, the Head of Section contacts the Tax Audit Directorate (TAD) so as to prepare an audit program as outlined by the list.



In all audits requested from Tax Audit Directorate, it appoints one of its officials as supervisor to monitor the observance of audit procedures, legal provisions and TAD orientations. In unique moments during the audit (misunderstanding between auditor and taxpayer, non-ethical or non-professional behavior by auditor/s), the supervisor may also make final interpretations, sticking for the audit program currently prepared by Big Taxpayers Office, in observance of suggestions relevant to the trouble to become audited.



Cases of requests for audits coming from taxpayers



After discussing with all the heads offices, the Head of Section programs the fiscal check out to verify the requests, not exceeding the 30-day deadline from the moment the request was registered in Massive Taxpayers Office.



Cases of requests for re-audit



In cases of requests for re-audits coming from taxpayers, tax appeal structures, tax agency or Local Tax Offices, the Huge Taxpayers Office can by no means take a selection for re-audit without the need of an authorization from the Tax Appeal Directorate, Tax Audit Directorate, Internal Audit Directorate or Operational Directorate for Supervision of Local Tax Offices. In just about every case, directorates not covering the tax audit function must at the similar time also inform the Tax Audit Directorate about their request presented to Big Taxpayers Office. In all cases, re-audits are going to be conducted in compliance with procedural steps specified in pint 5.10 of this Manual and within the 30-day deadline from the moment the request was registered within the Huge Taxpayers Office protocol.



Cases of requests for audits coming from other Tax Offices



In such cases, right after getting the request to check or crosscheck information, the head of section plans the audit to be conducted within the following month, not exceeding the 30-day deadline from the date the request was registered in Massive Taxpayers Office. If Significant Taxpayers Office is overburdened with work, it really should answer the Local Tax Office within this period and discover the closest possible time to close the request produced by Local Tax Offices.



Cases of requests for audits coming from institutions auditing the functioning of tax administration



In such cases, immediately after getting the request from either such institutions or tax agency (Higher State Audit, Internal Audit Directorate, tax agency) to check or confirm information from audits conducted by these institutions, the head of section plans the audit to become conducted during the following month, not exceeding the 30-day deadline from the moment the request was registered in Massive Taxpayers Office.