Revenue Profile Interview

testytester

Hi All,

I have recently had my ltd company selected for a revenue profile interview, on the basis of which they will decide whether to conduct a formal audit or not.

Has anyone any experiences with these interviews to give me an idea what to expect and what was the outcome?

Obviously want to be as prepared as possible so the stress, expense and time of a formal audit is avoided.

thegolfer

testytester wrote: »

Hi All,

I have recently had my ltd company selected for a revenue profile interview, on the basis of which they will decide whether to conduct a formal audit or not.

Has anyone any experiences with these interviews to give me an idea what to expect and what was the outcome?

Obviously want to be as prepared as possible so the stress, expense and time of a formal audit is avoided.

It's a general assessment of your taxes, VAT, paye, CT.

VAT is obvious, input and output tax. Correct rates etc being accounted for, and VAT being charged.

Paye, are you operating page correctly on employee pay.

CT, do you have rental income, trade, investment incomes, are the correct deductions being allowed for.

Though stressful, if dealt with correctly Revenue may go away and not look at you for a long time.

If your accounts are in a mess, and find errors, then they will initiate a Revenue Audit, which can be very stressful.

Meet your accountant, discuss the state of your books and records, if he is satisfied, then no issues.

If there are issues, request a federal Of The meeting, and make an unprompted disclosure, which tells Revenue the issues, hands up, and a payment. Better than them finding out later on.

Sometimes these are just a random selection, and are easier than a full audit. But dont be complacent.

Squatter

Defnition of a Profle Interview

Revenue is in a position to risk-profile taxpayers and transactions based on information contained in the electronic risk-ranking system (REAP) and from other data available to them. Once a case is profiled, the level of risk within the case may indicate that the Revenue intervention to be made should be broader than an Aspect Query. In these cases a Profile Interview may be scheduled at which the risks identified will be addressed.

As part of the Profile Interview process Revenue will issue a letter to the taxpayer identifying the risk areas that will be discussed at the Profile Interview, which will usually take place 21 days after the issue of the letter.

Revenue may examine all documentation and records provided by the taxpayer to clarify the risk. Taxpayers will be offered an opportunity to make an unprompted disclosure (if necessary). These Profle Interview compliance interventions are not regarded as Revenue Audits and they do not restrict a taxpayer’s right to make an ‘unprompted qualifying disclosure’.

On completion of the Profile Interview, a decision will be taken as to whether or not a ‘Revenue Audit’ or other action is warranted. The taxpayer will generally be advised within two weeks if a ‘Revenue Audit’ or other action is to be initiated. If it emerges at the Profile Interview that there is no clear auditable risk, or if the identified risks are satisfactorily explained, Revenue will not initiate an audit. The taxpayer (and agent) will be notified in writing of the outcome of the Profile Interview."

From Revenue's Code of Practice for Revenue Audit and other Compliance Interventions.


Did Revenue's letter inform you what "risk areas" they would be investigating?

Slasher

We had a Profile Interview on VAT recently.

Really, it was more like a full Revenue Audit.

She asked for a lot of detail, including reconciliations to VAT 3s, till rolls, etc.

Still ongoing.

testytester

Yes mine is for VAT too, I’m hoping it won’t be too bad but no idea what to expect in terms of the format of the interview or what kind of things they will ask/length of time it takes

He said he wants to see 2017 sales and purchase invoices along with records and breakdowns for 2017

Mr. Incognito

Speak to a tax accountant.

Revenue are restricted and they always ask for things outside the scope of their request.

Do not let them near your company without proper advisors going through your books first