May 26, 2017
Does your business undergo an annual audit, or is it about to be audited for the first time? If so, it’s likely that just the term “audit” strikes fear into your heart. An audit can seem like a disruptive annoyance, but it doesn’t have to be. Like most things, preparation is key. This International Internal Audit Awareness Month, save yourself time, save your company money, and reduce stress by knowing certain annual audit survival skills.
Ask For A Checklist
Your auditor should provide you with a detailed checklist of the documentation they will review. In some industries, the format in which specific types of information is presented is important, so talk to your auditor about how you present your financial information, as well as what you present. If you are preparing for your first audit, be sure to get the checklist well in advance and use it to establish or update your own monthly reconciliation and closing procedures.
Be Available, Open, & Honest
Even seasoned auditors can have questions as they review your financial information. Being responsive to their questions can keep your audit moving forward on schedule. Be open with the auditor about difficult areas you’ve encountered, concerns, questions and recommendations you may have about your job, your business or the industry. Both management and staff should respond quickly and thoughtfully to all auditor requests for additional information.
Being prepared for the annual audit will not only assist the auditors, but it will also ensure that you have a better understanding of your job and increase your value to your organization. By working together, you and the auditors are more likely to discover ways to improve efficiency and minimize errors. Although the audit may at times be disruptive and intrusive, your cooperation in supplying the needed information will contribute greatly to the speed with which auditors can do their work.
If you and your team are organized, have been keeping thorough records, and have been performing certain monthly tasks, your auditors will most likely be in and out in no time.
Contact your experts at Tax and Business Consultants today to file learn more about preparing your business for an audit —we are here to help you make the process quick and painless. Give us a call at 402-426-4144 to schedule an appointment with us, or visit our offices in the heart of Blair, Nebraska.
Recordkeeping DOs and DON’Ts for Business Meal and Vehicle Expense
If you’re claiming deductions for business meals or auto expenses, expect the IRS to closely review them. In some cases, taxpayers have incomplete...
Retiring Soon? 4 Tax Issues You May Face
If you’re getting ready to retire, you’ll soon experience changes in your lifestyle and income sources that may have numerous tax implications. Here’s a brief rundown of four...
Many Parents will receive advance Tax Credit Payments beginning July 15
Eligible parents will soon begin receiving payments from the federal government. The IRS announced that the 2021 advance child tax credit (CTC) payments, which were...