What is Connect Audit Cover?
Connect Audit cover provides you with the peace of mind that in the increasing likelihood of an ATO audit, you can engage our services to act on your behalf at no additional cost. We will liaise with the ATO on your behalf and assist you to navigate through the audit process. We will use our experience with dealing with the ATO to help you minimize any penalties relating to ATO audit findings.
Why are we offering Audit Cover?
Feedback from our clients. We have received many requests for Audit Cover. Most accounting firms offer some form of Audit Cover for their clients. By offering Audit Cover to our clients we are providing you with the peace of mind that if you receive an audit you will incur no further accounting fees for our time in assisting with the audit. We will assist you through the audit and try to obtain the best possible outcome for you based on our years of experience dealing with the ATO.
How Common are ATO Audits?
We have seen an increasing number of Audits in recent years. The ATO have more resources than ever before to detect and identify clients to Audit. In October 2020 the ATO stated that it would start to intensify audit activity and we are already starting to see the impact of this statement. In the most recent federal budget measures the government have allocated $15.1 million to the ATO to pursue these measures.
How do the ATO identify Audit Targets?
Each year the ATO publish their upcoming audit targets. With advances in technology & data matching the ATO now have more resources than ever before to identify their targets. Single Touch Payroll, Job Keeper payments & Cashflow Boost are in the spotlight this year. Following trend, tradespeople and retail clients continue to be in the spotlight. The ATO benchmark data to compare your performance against industry averages. If you report outside of these benchmarks you automatically become a target for an audit.
I am an employee with a basic tax return, Do I need Audit Cover?
Although our time requirements to assist Individual employee clients is less than the time required for a business audit, we still think it is important to consider cover. The ATO are cracking down on work related expenses and comparing claims of certain occupations against the average claims lodged.
I have nothing to hide from the ATO, do I need Audit Cover?
Unfortunately, you can have the best records and the most honest tax return, but this will not protect you from the risk of receiving an audit. The time that can be involved in the Audit can still amount to a lot of money, even if the outcome is in your favour. We have found that sometimes client’s overlook some basic ATO requirements relating record keeping and can find themselves being denied a deduction as a result. By engaging Connect we review these records prior to the ATO discovering these items and in 99% of cases we can rectify the requirements before submitting records to the ATO for audit.
What types of ATO Audits are covered by Connect Audit Cover?
We will cover all types of ATO audits including reviews, desk audits, personal living expenses questionnaires, GST audits, FBT audits etc. Unlike some accounting firms we will not limit the scope of ATO audit that we cover, nor will we limit our time and cover amount.