Factors to Consider When Being Audited.
The auditing procedure is generally a frequent exercise for verification of the tax yields, however, it can still make you nervous and nervous whenever the Internal Revenue Authority issues a letter for an auditing procedure. Well, generally receiving a letter from these will not necessarily mean that you are in trouble but you still to prepare yourself emotionally and physically for their visit and make certain you’ve got an answer to some issue on your report which may appear to raise an eyebrow. For the process to be stressful and fast, there are some essential guidelines that you need to follow carefully.
Well, to begin with, you need to schedule a date for the audit process even though you will be given just a few weeks as a time frame to pick a date from. However, if you feel like you will not be able to fix an appointment from that time frame, you can still contact the revenue authority through the auditor mentioned on the letter sent to you and provide your reasons. The reasons have to be credible, supported by details and a little bit of persuasion as you may not wish to brush shoulders with the state company. Nonetheless, if you have your files ready, well organized and in place, there’s no need to delay the procedure, schedule an appointment early enough and get done with the entire process as soon as possible. The sooner the better so as give you time to concentrate on your work.
The key to a smooth auditing process is by having your reports well-kept when you will be filling out your annual taxes. The reports should be kept in a document organized on an annual basis for simple regaining and referencing. The files should include data on three important areas; investment, payroll and deductions. There are also professional agencies who may be willing to help out through the auditing procedure if you happen to appear in doubt about how to bring some information from the several reports which you have.
Aside from that, you should also be aware of your own rights even though the revenue authority is in control. The taxpayer bill of rights is clearly posted on their websites for the general public to learn about their privileges when being audited. For instance, you have the right to appeal the decision made by the revenue authority in an independent forum or you can too take the appeal to the court and address your concerns. Consequently, you have the right to be informed what to do and the role to perform in order to follow the tax code.
In conclusion, the tax auditing process may seem complex if you are not sure about how to derive some information and hence it’s always advisable to seek professional help whenever you need it.