Over the years the team at Accountancy Insurance have been privy to an array of situations that our Audit Shield clients have found themselves in – at no fault of their own. Here are just a few real life case studies from what our clients have experienced with audit activity and how Audit Shield assisted them.
Inland Revenue initially undertook a Client Risk Review of an Auckland based financial services business. This was expanded into a Full Audit in respect of Income Tax and GST compliance issues related primarily to overseas transactions and property developments being undertaken over the past 3 years.
End Result
Fees of $17,850 were fully covered by Audit Shield.
As part of IR’s Property Compliance Programme, a Waikato based property developer was selected for an audit of 10 different entities, over 25 different property related transactions to ensure compliance with Income Tax and GST.
End Result
Fees of $20,000 were fully covered by Audit Shield.
Following a review of financial data obtained from banks, IR undertook an audit of a Christchurch based business group in respect of Income Tax, GST and PAYE compliance for the last 4 years.
IR considered that the net profit being declared was too low and the audit primarily focused on cash sales that may not have been reported.
End Result
Fees of $9,280 were fully covered by Audit Shield.
IR undertook an audit of a Napier based businessman and his related entities. Primarily the focus was on residency and foreign income from an income tax perspective. The taxpayer was deemed to have been a New Zealand resident which resulted in a significant taxation liability despite objections
being lodged by the accountant..
End Result
Fees of $14,960 were fully covered by Audit Shield.
There are many more cases of New Zealand businesses being targeted by Inland Revenue and other New Zealand government revenue authorities.
For more information on how Audit Shield can assist your firm, please contact the team on 0800 001 299 or enquiries@accountancyinsurance.co.nz.