Tax audit, as a particular tax administration perform, has particular consideration to mentioning on a regular basis actions and procedures in an effort to assist enhance effectiveness in all people’s train of their duties, guaranteeing, on the identical time, taxpayers’ rights in keeping with the next traits:
– specification, within the sense that there be no cause for doubt or double meanings within the formulation of duties;
– coherence, in order that staff can see a sure obligation in a logical means and with out overlapping;
– usefulness, within the sense of avoiding advanced and prolonged procedures;
– effectiveness, in order that practical duties won’t have an effect on the factitious progress of fiscal burden and administrative obstacles;
– Comprehensiveness, within the sense of offering options for numerous conditions that may come up within the relations between taxpayers and tax officers and resolving these conditions in compliance with the code ethics.
The organizational construction of audit (see organizational chart) meets the necessities for an efficient and practical audit, based mostly on the wants, which adjust to strategic goals established within the orientations of the Tax Audit Directorate within the Normal Tax Directorate. The tax audit is a part of the construction of this workplace. Let’s clarify how they develop the perform of tax audit in keeping with tax sorts.
Audit Places of work for VAT
In observance of nationwide strategic plans and goals for VAT audit, in addition to the necessities of Legislation the vat audit workplaces fully deal with the applying of necessities laid out in Legislation “On VAT” from taxpayers. Concretely, inspectors accountable for this obligation should examine, audit, examine and proper taxpayers’ declarations for:
– accuracy of adjustments associated to call, tackle and financial exercise, or any adjustments in data taxpayers present to the tax authorities on the time of the request for registration;
– Authorized accuracy in finishing invoices for all incoming funds topic to taxable provides;
– Seen publicity of costs within the premises the place exercise is exercised;
– VAT payment charges as in comparison with taxable gross sales and the common price within the respective sector;
– Accuracy of VAT declarations in gross sales and purchases, in comparison with month-to-month declaration and payment varieties;
– Requests for deregistration, circumstances of declared chapter, exercise switch;
– Requests for evaluation of sections in Declaration and Payment Kind (DFP);
– Requests for audit by Normal Taxation Directorate (GTD);
– Justifying paperwork, accuracy of registration and self-declaration in buy and gross sales books for taxable and exempt provides, in addition to VAT payment;
– Requests for VAT refund, based mostly on Regulation “On VAT refund”;
– Justifying paperwork, accuracy of registration and self-declaration in buy and gross sales books for taxable and exempt provides, in keeping with Resolution of Council of Ministers (DCM).
– Full value calculation for each sort of products or service (buy worth in keeping with the bill, transportation prices, customs tax and different basic prices) and its comparability with the sale worth declared by the company, in addition to its compliance with the Legislation “On tax procedures” and the instruction thereof, investigating the value and evaluating costs in keeping with worth ascertainment-acts stored by Tax Workplace (investigation workplace). In circumstances of agreements that GTD has with enterprise associations for sure varieties of items and for the fee (worth) per m² in building, comparisons are made for each analytical case and tax obligated are calculated accordingly;
– Actions with the money account (in nationwide cash and international forex), transactions in money above a threshold;
Audit Workplace for Earnings Tax (AO-IT)
In observance of duties for auditing self-declared indicators of DPF for revenue tax and accounting stability sheet by firms,in addition to the necessities of Legislation “On tax procedures” and Legislation “On accounting” as, this audit workplace fully focuses on the applying of necessities from Legislation “On revenue tax” from taxpayers audit.
As regards audits of stability sheets and monetary accounts, inspectors from this workplace can:
– examine values in stability sheet gadgets to these within the basic ledger (for handbook diaries and IT ones);
– make arithmetic verification of artificial accounts within the ledger;
– crosscheck sums within the stability sheet with sums within the ledger;
– examine present end result account and different accounts related to this end result;
– examine declared incomes within the accounting stability of the earlier yr with those declared in DPF and VAT within the heart or in subsidiaries in addition to with information obtained from different sectors within the Workplace and different workplaces or establishments;
– make general and analytical checks on legality of bills made, in keeping with the necessities of Legislation “On Earnings tax”.
– examine inventories and manufacturing in course of;
– examine registration of mounted property worth, for each incoming and outgoing property;
– Make a “stability of adjustments” created from evaluating the accounting scenario to start with and on the finish of the train of exercise.
Audit Workplace for Excise, Withheld Tax and Insurance coverage Contributions (AO-EWT-IC)
This workplace audits taxpayers exercising their exercise within the trade and manufacturing of excise items, with or with out fiscal label, in keeping with the specs of Legislation “On excise”. On the identical time, this workplace audits the observance of necessities in Legislation “On tax procedures”, Legislation “On revenue tax”, and Legislation “On VAT”, for the taxpayers audited by this workplace.
By way of excise audit, inspectors on this workplace can:
– Verify the observance of authorized procedures for authorizations issued to individuals and approval of land parcels, buildings or different premises, as properly revoke or change such authorizations or approvals;
– Regularity of transfers for excise authorizations and/or approval of customs storehouse;
– Accuracy and justifying documentation for payment of excise obligations and observance of related laws on this respect;
– observance of audit procedures to be used of uncooked supplies and extra substances, mixtures or different actions with excise items or relative to them;
– Observance of authorized necessities for holding information by excise approved individuals;
– Verify the best way home or imported excise items are produced, packaged and saved;
– Observance of authorized necessities for the transportation of excise items;
– Observance of authorized necessities in gasoline deposits;
– Verify of justifying documentation and calculate withheld taxes in keeping with the necessities of the Legislation “On revenue tax”;
– Observance of necessities for controlling the calculation and payment of employer’s contributions.
This audit workplace administers the audit course of making an allowance for the Excise Guide, which is a separate handbook for the class of excise items.
If exist a particular permitted model of the Audit Guide for Social and Well being Insurance coverage Contributions for auditing such contributions he generally is a information in such circumstances.