Tax audits can be expensive and are on the increase. Our Audit Shield Master Policy is the solution for Tax Audit Insurance.
What are random tax and government audits?
Audits, reviews and investigations are conducted by Inland Revenue (IR) and other government authorities to ensure business and tax payer compliance with tax and legislative requirements. Unfortunately, if you are selected for an audit, review or investigation, it will result in costs to you. Even if there are no adjustments to the return, there would still be costs associated with managing the response process.
How likely am I to get a random audit, review or investigation?
IR, along with other government authorities, now have vast access to taxpayer records, allowing them to specifically target previously lodged tax returns. Now more than ever, individuals and businesses are at risk of being selected for a random audit or review.
What is the Audit Shield Master Policy?
Our Audit Shield Master Policy provides cover for tax audits, reviews and investigations. It provides for the payment of professional fees incurred by our participating clients (up to a prescribed limit) for our services responding to an audit, review or investigation, relating to both the current and all previous years' lodged returns. The cost of being properly represented in these matters can be quite considerable depending on the length of time involved. Audit Shield provides a fixed, cost effective solution to guard against these unbudgeted costs. In the event a tax audit occurs, the insurer is billed not you.
What audits, reviews and investigations are covered?
Income tax, GST, recordkeeping, Fringe Benefits Tax, employer returns, PAYE, computer tax audits, imputation credit account, resident withholding tax, dividend withholding tax and many other lodged returns.
Is the cost tax deductible?
Yes, a tax deduction should ordinarily be claimable for your payment if you are in business or self-employed.
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