Protection of the interests of a client during the tax audit

Protection during the tax audit. Tax representation

Legal assistance during the tax audit

To identify violations in the area of tax legislation in the Russian Federation there is current fiscal control to monitor the business of enterprises and organizations or institutions. The tax lawyers of our company have a wide range of experiences of engaging with tax authorities during a tax audit.

This is one of the most productive ways. It makes it possible to form the proper legal position between the taxpayer and the auditor, and in most cases to exclude the possibility of fiscal prosecution on formal grounds.

During the tax audit inspectors, along with the identification of tax violations that were committed by the entity assess the probability of an appeal against the act of tax audit by the taxpayer. Qualified representation of the interests of the taxpayer during the audit may help to exclude the possibility of the additional tax payments or significantly reduce it. There are situations when auditors request documents that aren't really necessary or their submission is not provided for by legislation. A qualified lawyer is able to represent the interests of the taxpayer properly and answer all the questions of the auditor.

The legal position of the taxpayer should be formed during the initial phase of the audit. Rich practical experience of litigation shows is that the easier to address issues that have arisen at the stage of the audit.

The practice of our company shows that all miscalculations of the taxpayer are made through the interaction with the tax authority during the audit. As a result, the problem becomes the object of time-consuming and costly litigations in court.

For who is representation in tax authorities is especially relevant

Representation at the stage of audit has major practical implications when:

• It has been decided to conduct an on-site tax audit with the ability to add an assessment of heavy taxes;
• The structure of the organization does not include a full-time position of a lawyer specializing in the area of tax legislation;
• The head or chief accountant changed in the company;
• Audit specialists are clear that a certain amount of tax will be assessed in any case.

Features of the service

The representation of the interests of the taxpayer during the audit involves the individual support of the grantor. A personal specialist based on a power of attorney provides legal accompaniment of the audit on behalf of the grantor and works closely with the tax authority on any matters arising. The representation involves the following algorithm of accompaniment:

• A sample review of large or tax-risk transactions of the taxpayer for the period under audit;
• Examination of accounting records, agreements on the individual operations. Making proposals to resolve violations before the tax audit;
• The identification of any disagreements with the regulatory authority, formation of a legal position for the next audit;
• The representation of the interests of the client at all stages of tax audit;
• Legal analysis of documents that were accepted during the tax audit;
• Customer service as well as the accompaniment of the grantor at certain stages: direct audit; pre-trial representation; legal representation; the appellate instance.

During the legal accompaniment of clients the lawyers of our company:

• give a legal assessment of the procedural and institutional measures of tax audit;
• verify the legality of the assignment to the measures a tax audit and its extension or termination;
• if necessary, appeal in a pre-trial order: the requirements of the tax authority on providing documentation; decisions on additional monitoring activities, extension or termination of the audit.
• analyze incoming and outgoing correspondence on tax matters.

For more effective protection against tax claims, we advise you to apply for qualified legal assistance as soon as possible.

Author is Andrew Kriulin