| Each year we offer our clients the opportunity to take up tax audit insurance with Audit Shield. We often end up answering the following questions: – What is audit insurance? The policy we offer to our clients covers the professional costs incurred when the Inland Revenue select them for a tax audit, enquiry, investigation, or review. It often comes as a surprise that for even a review of a GST return the time taken can add up. With talking Inland Revenue to determine the information they require, compiling the information from the client, sending it to the investigating Inland Revenue officer and answering any of their queries can easily be an hour for a simple review and much more if there are complex issues or situations. What is covered? All the professional fees up to your prescribed limit if we are engaged in the audit activity and there is no excess payable. The type of fees covered include: – 1. Our fees 2. Fees of any legal professional consulted on the matter 3. Fees of any bookkeeper involved 4. Fees of any specialist advisors that may be required to settle the matter. The insurance cover is retrospective and will cover any previously lodged returns as well as those lodged in the period of the cover. Most tax types are covered including income tax, PAYE, GST, Fringe benefit Tax and Resident Withholding Tax. Why should I take up this cover? Anyone can become the focus of an Inland Revenue audit, enquiry, Investigation, or review. Even if you have done nothing wrong. Having this cover will ensure that should it happen; you will not be stung with unexpected costs through no fault of your own. I’m interested how do I sign up? If you are a client of Hetherington Johnston, you will receive an offer letter in the mail or email early in the new year. Just return the acceptance slip to Audit Shield and pay the premium into the Audit Shield account nominated on the letter. If you have any questions please get in touch (04) 566-3302. Those that are not our clients, talk to your accountant they may offer this to their clients also. |
