Tax

Tax / Tax audits and due diligence reviews

Tax audits and due diligence reviews


Tax audits (reviews) are a specific and highly efficient type of tax advisory. Their main objectives are: to verify whether taxpayers correctly perform tax obligations and whether they apply an appropriate methodology, to indicate potential irregularities, to identify potential tax risk areas, to propose solutions for curing such irregularities, and to point out actions that may be taken in order to eliminate or mitigate the risks identified.

Tax audits are not merely intended to verify correctness of the current and past tax settlements; they are also an efficient tool for verification of taxpayers’ operations to be directly reflected in their tax liabilities. In other words, an expected tax audit (review) result is also a tailored proposal of new solutions that will be more efficient than those applied by the taxpayer to-date. This, in turn, leads to producing a clear basis for the taxpayer making more effective business decisions. In consequence, tax audits create opportunities to improve the taxpayer’s financial results.

In a nutshell, tax audits may produce tax savings in two ways:

  • savings (achieved by avoiding additional assessments or sanctions) generated as a result of the identified irregularities being eliminated or cured;
  • savings resulting from the implementation of new solutions ensuring maximisation of the financial result.

We propose:

  • single-day ”health checks” comprising a visit of our experts to your offices and talks held with persons responsible for all the material tax settlements. This meeting is always preceded by our questionnaire. Next, we provide you with a concise report identifying matters that must be further analysed or changed (both with respect to tax risks and the capacity to improve efficiency of the financial result);
  • comprehensive tax reviews verifying correctness of the methodology applied and of the tax settlements in selected areas (income taxes, VAT, excise tax, transfer pricing, and other taxes);
  • tax reviews verifying ongoing tax settlements, as a result of which we propose and implement solutions improving financial liquidity from the perspective of income taxes, VAT, and excise tax.

Following the fact that tax authorities are becoming increasingly professional in verifying correctness of prices used in transactions between related (personally or through capital) entities, we have established three additional types of tax reviews:

  • review of transfer pricing policy used within the capital group;
  • review of tax documentation prepared in connection with transactions carried out between related entities;
  • review of compliance.

Please do not hesitate to contact us.

CONTACT

Anna Turska

Anna Turska

Vice President

a.turska@ozogtomczykowski.pl

+ 48 22 480 81 00