Getting a Vat Audit in 3 weeks, what to expect?

Irishman1234

Hi guys
im vat registerd less than 1 year but today got a letter from revenue sayin i
will be getting a vat inspection in 3 weeks
what does this mean and why am i getting it?
i am totally clueless as to what to expect
cheers

relax carry on

Irishman1234 wrote: »

Hi guys
im vat registerd less than 1 year but today got a letter from revenue sayin i
will be getting a vat inspection in 3 weeks
what does this mean and why am i getting it?
i am totally clueless as to what to expect
cheers

Newly registered businesses are often looked at in the first year are two to ensure everything is being done correctly so any problems that are there can be nipped in the bud. Your vat workings and their associated backup (invoices) will most likely be reviewed.
If you have an accountant, have him or her go through your vat to make sure all is order.

Irishman1234

relax carry on wrote: »

Newly registered businesses are often looked at in the first year are two to ensure everything is being done correctly so any problems that are there can be nipped in the bud. Your vat workings and their associated backup (invoices) will most likely be reviewed.
If you have an accountant, have him or her go through your vat to make sure all is order.

great thanks
so if everything is in order theres nothing to worry about?
just thought it was very odd gettin checked so soon

dbran

Hi

You should see your accountant or tax adviser before the meeting.

Most revenue inspections nowadays are not random and there is usually an underlying reason for their visit.

If everything is in order there is nothing to worry about but it may be worth considering if there is anything in your returns that may have triggered the inspection and be ready to deal with any questions that subsequently arise.

Regards


dbran

Irishman1234

i would hazzard a shot in the dark guess that a competitor i have being undercutting has complained, i know for a fact complaints went in again me.
i have nothing to worry about, just thought the revenue would have more cop on than to be believing claims from rivals who charge to much for items and think that because im undercutting them that im not paying any vat....

relax carry on

Irishman1234 wrote: »

i would hazzard a shot in the dark guess that a competitor i have being undercutting has complained, i know for a fact complaints went in again me.
i have nothing to worry about, just thought the revenue would have more cop on than to be believing claims from rivals who charge to much for items and think that because im undercutting them that im not paying any vat....

While reports made to Revenue have to be followed up, they are not looked at in isolation. Revenue uses a scoring system to determine your risk using multiple sources of information. If they didn't they'd be pretty much in the dark.

As I said earlier, newly registered businesses can expect more of these types of visits to ensure that everything is above board right from the outset. A lot of easy errors can be made with VAT particularly. Would you not prefer to find out if you are doing something wrong now rather than in 4 years time when you might have a hefty bill compounded by interest and penalties.

Have a look at the link below to see what is involved in a Revenue audit.

http://www.revenue.ie/en/practitioner/audit-code-of-practice/index.html

Irishman1234

relax carry on wrote: »

While reports made to Revenue have to be followed up, they are not looked at in isolation. Revenue uses a scoring system to determine your risk using multiple sources of information. If they didn't they'd be pretty much in the dark.

As I said earlier, newly registered businesses can expect more of these types of visits to ensure that everything is above board right from the outset. A lot of easy errors can be made with VAT particularly. Would you not prefer to find out if you are doing something wrong now rather than in 4 years time when you might have a hefty bill compounded by interest and penalties.

Have a look at the link below to see what is involved in a Revenue audit.

http://www.revenue.ie/en/practitioner/audit-code-of-practice/index.html

no i agree completely that its best do it now
im just annoyed about the fact that i have a registerd accountant doing my
accounts to avoid problems, plus i have paid all vat due on date, and i know deep down that its a dirty tactic by my competitors.
i know people who are completely taking the p1ss with avoiding vat and have never being checked out, im only vat reg less than a year and they are out...

Ally Dick

Irishman1234 wrote: »

i know people who are completely taking the p1ss with avoiding vat and have never being checked out, im only vat reg less than a year and they are out...

Perhaps you could return the favour and rat them out once your audit is over !

Irishman1234

Ally Dick wrote: »

Perhaps you could return the favour and rat them out once your audit is over !

im not that kind of person to be honest but im tempted :mad: