Tax audit in Kharkiv

The audit company "Olympia-audit" conducts a tax audit in Kharkov enterprises, legal entities, individuals, entrepreneurs and individuals promptly and at optimal cost while respecting confidentiality. Tax audit in Kharkov will be performed by our team of experienced auditors, possessing exceptional professional skills and knowledge.  Find out the interesting information about tax audit in Kharkov on the website and order a tax audit by contact numbers

What is a tax audit?
What is a tax audit for? What gives a tax audit?
When is a tax audit carried out?
Types of the tax audit
Comprehensive tax audit
Tax audit for certain types of taxes
What is issued as a result of a tax audit?
The cost of the tax audit
Auditor's Responsibility for Tax Audit
Stages, methods and procedures of the tax audit

What is a tax audit?

Tax audit is an independent audit of the tax reporting of an enterprise for mandatory state and local taxes and fees, as well as a contribution to obligatory state social insurance, in order to verify the correctness, the accuracy and the completeness of the calculation and the payment of taxes and fees on the basis of  primary document data and accounting data in accordance with the requirements of the Tax Code of Ukraine and other current legislation of Ukraine.

Tax audit is a voluntary or initiative audit, since its conduct is not mandatory by law. Tax audit is conducted on a voluntary basis at the initiative or the decision of the owner or the manager of an enterprise.

The period for which the tax audit is conducted

Tax audit is usually determined by the customer or the enterprise. Tax audit is most often carried out no more than in the last three years, and this is primarily due to the fact that the tax inspectorate has the right to check and charge additional taxes and fees, tax liabilities and fines in accordance with Article 102 of the Tax Code of Ukraine.

The scope of the audit and the period of the audit are approved by the customer. The contract for the tax audit stipulates a list of taxes, fees and contributions and other issues as to which there will be conducted an audit and presented an audit report.

What is a tax audit for? What gives a tax audit?

The tax audit is carried out in order to verify the correctness, the accuracy and the completeness of the accrual and the payment of state and local taxes and fees, as well as the contribution to obligatory state social insurance.

In the conditions of constantly changing and in many respects contradictory tax legislation of Ukraine, conducting a tax audit by independent auditors becomes particularly relevant. And the work of our team of professionals will provide an effective and efficient solution of your problems basing on profound knowledge of Ukrainian legislation.

A tax audit allows the enterprise, its owner and the manager timely, that is, before the tax audit:

  • to diagnose the state of tax accounting and tax reporting of the enterprise;
  • to prevent fines and financial penalties associated with violation of the legislation on taxes and fees;
  • to avoid criminal liability for non-payment of taxes and fees,
  • to get an assessment of professionals about the real state of affairs on the accrual and payment of tax and fees,
  • to check the work of the chief accountant and the accounting service,
  • to check the correctness of the calculation and the payment of taxes and to optimize the existing tax system in the enterprise,
  • to assist the chief accountant and the accounting department of the enterprise,
  • to reveal tax risks and to minimize tax risks,
  • to correct the revealed errors and tax violations by making more exact tax reports.

In what cases is a tax audit carried out?

The owner and manager of the company, investors and business partners are entitled to the assurance that the tax inspection will not bring significant additional charges for taxes, fines and financial sanctions, as this always carries high tax risks.

Tax audit from the auditing company "Olympia-audit" gives confidence in the correctness of the calculation of taxes, fees and USC and compliance with other laws (cash circulation, foreign trade, patenting and licensing, RPO) and also in the minimization of tax risks, because the auditing company is responsible for the results of their work during the tax audit.Responsibility of an auditing company and auditors is the main advantage of a tax audit.Tax audit of the enterprise is carried out:

  • to verify the correctness of tax accounting, tax reporting for the company;
  • when it is necessary for a manager to learn about the state of all mandatory payments and to check the correctness of their calculations;
  • to verify tax returns before submitting to tax authorities;
  • when changing the chief accountant, the financial director and the director of the company;
  • as the preparation for tax audit or the inspection of the fiscal tax service;
  • before checking by the tax authorities to protect the business from the possible charging of fines or any other penalties;
  • when buying or selling a business or an enterprise (see Due Diligence)
  • at a professional assessment of the chief accountant and the financial director of the enterprise,
  • simultaneously with the statutory audit of financial statements.

Types of tax audit

The tax audit is conducted on a voluntary basis, therefore the volume of the tax audit and the period of the tax audit are agreed with the customer, the owner or the manager of the enterprise.

Tax audit may vary in volume and form:

  • Comprehensive tax audit
  • for all taxes and fees,Tax audit
  • for certain taxes and fees,
  • Express audit, tax risk assessment

Comprehensive tax audit

Comprehensive tax audit involves a tax audit of the accuracy of tax reporting, in particular the verification of:

  • correctness, accuracy and completeness of accrual and payment for all taxes and fees, the payer of which is the enterprise being inspected, including income tax, VAT value added tax, single tax,  personal income tax, USC contribution to obligatory state social insurance, property tax, environmental tax and other taxes and fees,
  • compliance with other laws (RPO, cash registers, cash circulation, foreign trade, patenting and licensing).

Tax audit for certain types of taxes

Tax audit on certain types of taxes and fees involves a tax audit of the accuracy of tax reporting, checking the correctness of the accrual and payment of the following taxes and fees:

  • tax audit of income tax reporting;
  • tax audit of VAT value added tax reporting;
  • tax audit of the single tax reporting;
  • tax audit of personal income tax;
  • tax audit of the reporting on USC for obligatory state social insurance contributions.
  • tax audit of property tax reporting;
  • tax audit of environmental tax reporting;
  • tax audit of excise tax reporting;
  • tax audit of reporting on other taxes and fees.
  • tax audit of compliance with other laws (cash flow control, cash circulation, foreign trade, patenting and licensing).

What is issued as a result of a tax audit?

According to the results of the tax audit, the audit company provides the customer with a written report on the results of the tax audit of the enterprise’s tax reporting on mandatory state and local taxes and fees, the unified social contribution, and also the tax audit on compliance with the current legislation of Ukraine (on cash circulation, on foreign trade, patenting and licensing, RPO).

Such a written report on the results of the tax audit includes the following detailed information with:

  • a list of all errors and violations detected during the tax audit, indicating the document where they were found;
  • a list of sanctions that are appointed for these errors and violations, with an indication of the regulatory acts governing this issue (law, article, clause or other);
  • recommendations on the correction of errors and violations with the indication of regulatory acts. At the request of the client, the audit firm can also prepare a detailed written report on possible methods of the tax optimization and the minimization of tax risks, on the effective use of tax reserves and tax incentives.

The cost of tax audit in Kharkov

The audit company "Olympia-audit" offers a tax audit in Kharkov at a reasonable cost and the best price. Find out the current prices for tax audit in Kharkov, as well as other accounting, auditing and legal services of the auditing company "Olympia-audit" on the website in the section Cost of services here.

Each company is unique, therefore, the cost of tax audit in Kharkiv must be determined separately for each company, basing on the specificity of the company’s activities and the volume of documents, as this affects the auditors’ working hours for the audit required for all audit procedures, and accordingly affects tax audit value:

  • the period for which the tax audit is conducted;
  • the subject and list of issues that are included in the tax audit;
  • the number of debtors and creditors separately,
  • the number of folders for income documents, separately for expenditure documents and bank statements,
  • the amount of fixed assets and separately inventory items
  • the average number of employeesthe number of branches (separate subdivisions) and subsidiaries,
  • the number of accountants.

Auditor's responsibility is the main advantage of tax audit

Auditors of the “Olympia Audit” auditing company perform tax audit at the enterprise thoroughly and efficiently to give the enterprise confidence in the correctness of the calculation of taxes, fees and USC, the  compliance with other legislation and in the minimization of  tax risks during tax audits.

Auditors and the “Olympia Audit” auditing company are responsible for their work - for high-quality and timely performance of the tax audit, while respecting confidentiality, for the safety of documents transferred by the client in accordance with the terms of the contract and current civil law. In addition, auditors are personally liable and that includes administrative and criminal liability in accordance with the current legislation of Ukraine.

When performing a tax audit, the company may decide not to follow the recommendations of the auditors to correct or to eliminate all detected errors, deviations and violations revealed during the tax audit, in this case the auditors and the audit firm are not responsible for imposing sanctions on the company.

Stages, methods and procedures of tax audit

The process of conducting a tax audit by the “Olympia-audit” auditing firm conditionally includes three stages:

The preliminary stage is the coordination of the subject of the tax audit and its period by concluding an agreement with an auditing firm. It also includes planning a tax audit on the ground of  the analysis of the taxation system and the business of the enterprise, an assessment of risks and the level of materiality.The main stage is  verification of tax reporting, correctness of accounting records, tax and accounting calculations and summary registers (turnover records, journals, orders, general books, etc.), verification of primary documents, contracts and transactions carried out on their basis (invoices, acts, accounts, bank statements, etc.), and other necessary audits and auditing procedures to verify compliance issues included in the tax audit.

The final stage is the preparation and drawing up of an audit report (conclusion) on the reliability of tax reporting, the correctness and the timeliness of payment by the enterprise of all necessary taxes and fees, as well as a written report with conclusions and recommendations for eliminating revealed deviations (errors). 

Tax audit

In order that the owner or the head of the organization can quickly assess the state of accounting and tax accounting at the enterprise, as well as to reveal possible accounting errors, as a rule, there is conducted a tax audit. This is one of the types of initiative audit, because it is carried out not on a mandatory basis and not at the request of legislation, but at the request of the owner of the enterprise.Most often, a tax audit is conducted in order to prepare for a tax audit as efficiently as possible. All inaccuracies, errors and inconsistencies revealed during such tax accounting analysis are eliminated in time, and the company can avoid fines and conflicts with tax authorities. That is why tax audit is often called a tax audit prevention. By its nature and methods used in the analysis, it is very similar to the audit conducted by the tax authorities.When conducting a tax audit, specialists study and analyze all business operations of a company in order to assess how correctly they are reflected in tax accounting, whether tax reports are correctly prepared, whether taxes are paid correctly, etc., that is, they give their expert opinion, where there are “errors”. As a result, the manager can understand how to optimize the existing tax system according to the law.