Which documents do I need to have ready for the sales tax special audit?
January 19, 2024 | 30,00 EUR | answered by Felix Schönecker
Dear tax advisor,
I am Leon Lindach and I run a small business that sells products online. Lately, I have been hearing more about VAT special audits and now I am worried if I have done everything correctly and what documents I need to have ready for such an audit.
So far, I have been submitting my VAT returns regularly and keeping all receipts and documents properly. However, I am unsure if I have done everything correctly and if my records would withstand the requirements of a VAT special audit.
Therefore, my question to you is: What documents do I need to have ready for a VAT special audit? Are there specific documents or records that are particularly important and that auditors place special emphasis on? How can I best prepare for such an audit and potentially correct any errors beforehand?
I want to ensure that my business is fully compliant in terms of taxation and does not have to fear any unexpected consequences from a VAT special audit. I would greatly appreciate your assistance and expertise in this matter.
Thank you in advance.
Sincerely,
Leon Lindach
Dear Mr. Lindach,
Thank you for your question regarding VAT special audits and the documents you need to have ready for such an audit. It is understandable that you are concerned about whether you have done everything correctly and whether your records would meet the requirements. I will now explain in detail which documents are relevant for a VAT special audit and how you can best prepare for it.
First of all, it is important to know that during a VAT special audit, the tax authorities will review your accounting records and other documents for accuracy and completeness. The most important documents you should have ready include:
1. VAT returns: You should have all VAT returns and declarations that have been submitted so far readily available to present if needed.
2. Invoices: Both incoming and outgoing invoices should be properly kept as they form the basis for calculating VAT.
3. Cash books: If you have a cash register, you should keep all receipts and cash books to make the cash management traceable.
4. Bank statements: Bank statements serve as proof for all payment transactions and should also be kept ready for the audit.
5. Business letters and contracts: All relevant business documents such as contracts, correspondence, and other documents should be available for the audit.
Furthermore, it is advisable to prepare for a VAT special audit in advance by thoroughly reviewing your accounting and records. This way, you can identify and correct any errors in a timely manner. Regularly reviewing your accounting can also help identify and resolve any discrepancies early on.
I also recommend seeking advice from an experienced tax advisor if you have any uncertainties or concerns. A professional advisor can assist you in preparing for a VAT special audit by identifying and addressing any weaknesses in your accounting.
In conclusion, proper bookkeeping and record keeping are crucial to avoid any consequences of a VAT special audit. With the right preparation and support, you should be well-equipped to successfully navigate such an audit.
I hope this information has been helpful to you and I am available to answer any further questions you may have.
Best regards,
Felix Schönecker
