What does tax audit mean? How to deal with a tax audit?

What does tax audit mean?

People often see tax officers inspecting a company's taxes in TV dramas. Is this a tax audit? For many people, tax audit is a relatively unfamiliar term. So what is a tax audit? Now the editor will tell you what a tax audit is.

Tax audit is an important step and link in tax collection and management. It is a form of inspection and supervision by tax authorities on behalf of the country to inspect and supervise taxpayers' tax payments in accordance with the law. The basis for tax audits is various tax laws, regulations and various policies and regulations with various legal effects. Specifically, it includes daily inspections, special inspections and ad hoc inspections.

The basic tasks of tax audits: investigate and deal with tax violations in accordance with national tax laws and regulations, ensure tax revenue, maintain tax order, promote tax payment in accordance with the law, and ensure the implementation of tax laws. To this end, tax audits must be based on facts, take the tax laws, regulations, and rules promulgated by the state as the criterion, rely on the people, and strengthen cooperation with judicial agencies and other relevant departments.

Tax audit includes four parts: case selection, audit implementation, trial and execution.

Why will the tax audit focus on you?

1. Random selection system. The State Administration of Taxation has various case selection mechanisms. If your company happens to be selected, tax inspectors will come to investigate you. Nowadays, there are many companies and tax manpower is limited, so there will not be too many samples taken. The probability of a company being randomly selected is very low.

2. The country needs to rectify a certain industry, which happens to be the industry in which your company is located. If the state orders a thorough investigation of a specific industry, you have to recognize it if you encounter it. Industry risk is a systemic risk, because it is not specific to your company, but to the industry you are in.

3. The tax data of enterprises is contrary to the norm. The total amount of corporate tax paid, tax burden ratio and business scale do not match, and there is a large deviation from the same type and industry, which is against the norm. If the tax bureau’s risk control analysis finds that your company’s tax data is abnormal, a tax audit is likely to be on you.

4. The company behaved inappropriately and was reported. The company engaged in tax evasion and was reported by insiders and competitors. If the evidence is sufficient, tax inspectors will naturally come to investigate you.

5. Corporate taxation is not standardized. Internal accounts are unclear, tax returns are not filed on time, or there are problems with invoicing, which arouses tax alert. At this time, the maintenance audit may come to check you.

How to deal with tax audits?

1. Basic work must be prepared.

Financial personnel must strengthen their study of tax policies. Information should be filed in categories. Information that should not be exposed to the outside world cannot be placed in one archive room.

2. Psychological preparation for inspection reception.

Don’t panic about the sudden arrival of the tax authorities; position yourself correctly and not argue with the tax officers; be generous and tolerant when facing reports; face the tax officers calmly and confidently.

3. Sufficient preparation work must be done before the audit.

This refers to the self-examination stage before tax audit. When faced with tax audits, enterprises must do a good job of self-examination and self-correction.

4. Receive tax inspectors.

The reception of tax audits must be based on the principle of reciprocity. The person in charge of the company can come forward to deal with it as a courtesy, but will not give a positive reply or introduction to the company's financial issues. The reception will be received by the financial director and auditors; tax auditors When visiting the company's business premises, you must be accompanied by the person in charge of finance.

5. Methods for checking audit manuscripts.

The manuscript must be copied, checked carefully, responses must be timely, and measures must be appropriate.

6. Audit feedback skills.

Study carefully and check item by item; report in writing and reflect verbally; coordinate and cooperate, advance and retreat in an orderly manner; be polite and well-founded.

Practical training class on comprehensive accounting processing and tax planning for small and medium-sized enterprises

14 days, 30 class hours, comprehensive accounting processing and practical training on tax planning to help you complete accounting theory In a leap of time, you will become an excellent accountant very quickly. You can start working immediately after completing the course, and you will be able to easily perform all basic accounting work.

Click to become an excellent accountant>>