Special sales tax audit: Keep cool when the auditor rings your doorbell

Relevance and legal framework

• Special sales tax audit.
• Audit order.

start of the exam

• Climate and communication.
• Powers and limitations.
• Informants.
• Submission of records and documents.

Procedure for a special sales tax audit
Scope of the company

• Requirements and effects of a VAT group.
• Consequences of the fiscal unity.

test points

• Value comparison.
• Non-taxable transactions (place of performance for deliveries and other services, in particular for chain transactions).
• Tax-exempt transactions (intra-Community supplies, exports, and rental and leasing).

differential taxation

• Legal overview.
• Prerequisites.
• Recording obligations.
• Audit approaches.

tax rates Reverse charge procedure

• Examples, distinctions, and implications for the sales tax control procedure.
• Simplification rule.

Cash management
Completeness of sales

• Audit approaches.
• Proper accounting practices.
• Control material.
• Discretionary power.

Input tax deduction

• Prerequisites.
• Input tax and tax-exempt sales.
• Allocation of input tax.
• Correction of input tax deduction (Section 15a of the German Value Added Tax Act (UStG)).

OSS/IOSS procedure

• General information on special taxation procedures.

Completion of the examination

• Right to be heard.
• Final meeting.
• Audit report.
• Actual understanding.
• Binding commitment.
• Legal remedy.

Implementation of audit findings