A Compliance Checklist On Tax Audit Activities
An examination is a series of activities to collect and process data, information, and evidence carried out objectively and professionally based on an inspection standard. Compliance checklist meaning that sheets or documents containing what actions need to be taken for inspection; for example, in this tax audit, there are taxpayer rights and obligations. A detailed compliance checklist will help the inspection process so that it becomes more transparent.
The inspection begins with the submission of a Field Inspection Notification Letter or the sending of summons in the framework of an office inspection. The results must be notified to a Taxpayer through the submission of the Notification of Audit Results, which is accompanied by an audit findings list by including the legal basis for the outcomes.
The examination carried out can be divided into routine checks, review of selection criteria, particular checks, location taxpayers checks, analysis of the current year, and testing of preliminary evidence. The last-mentioned audit is an examination conducted on a Taxpayer who is indicated to have committed a criminal offense.
Compliance Checklist: Rights and Obligations of Taxpayers for Audit
Taxpayers need to comply with the obligations and rights set by the government.
1. The rights to taxpayers on the compliance checklist
The rights are something that is owned by everyone from birth, and their use depends on each individual.
- ask the Tax Auditor to show identification and an Inspection Order, provide Notification Letter Field Inspection, show a letter containing changes in the examination team if the membership structure changes, and explain the reasons and objectives of the examination.
- receive Notification Letter of Inspection Results
- attend the final discussion of the results of the joint inspection with the examiner at the specified time
- apply Audit Quality Assurance if the legal basis for inspection correction has not been agreed upon
- fill out a questionnaire related to the inspection.
2. The obligations for taxpayers on the compliance checklist
The obligation is something that must be carried out with a full sense of responsibility, work, and duties according to law or everything that is human’s duty.
- fulfilling the call to attend the inspection on time;
- show and/or lend documents that are the basis of income calculation
- provide an opportunity to access and download data managed electronically
- offer an opportunity for the inspection team to enter and inspect the room where the documents are stored and lend them
- assist in the smooth inspection, which can be in the form of provide staff and equipment at the Taxpayer’s expense if accessing data managed electronically requires special equipment and expertise, assist the inspection team in opening movable and immovable property, and provide a particular room if the inspection is carried out at the place of the Taxpayer
- lending Examination Working Paper made by public accountants
- submit a written response to the Notification of Audit Results
- provide the necessary verbal and/or written information.
Tax audits using the compliance checklist will facilitate the process. Many excel compliance sheets can be accessed free of charge.