KR Group uses its own in-house tool for verification of VAT procedures, identifying risk areas in VAT settlements. It was created drawing on auditor’s instruments, but provides a much more detailed view of internal procedures.
We recommend this tool in particular to:
- Entities that cannot carry out a traditional review due to the quantity of records.
- Entities wishing to verify their internally adopted procedures, not just settlement of specific transactions.
- Persons assuming supervision over VAT settlements who would like to quickly assess how secure they are for the company and themselves.
- Persons seeking to eliminate or reduce to a minimum their potential personal liability under fiscal penal regulations.
This tool can also be used to verify the quality of VAT compliance services obtained by the company from other entities.
Based on this tool and the many years of experience of our tax advisers involved in the practical side of VAT, we can determine whether the settlement rules adopted within the company are safe.
This allows us to identify areas associated with tax risk within the given company, without a time-consuming analysis of individual accounting records and source documents. This process factors in the weight of each issue and the consequences of potential irregularities. This translates into conscious management of tax risk.
Currently, at a time when intense efforts are underway to tighten the VAT system, application of KR Group’s tool for verifying VAT procedures is particularly important in light of:
- Personal fiscal penal liability of persons responsible for VAT settlements.
- Efficiency in tax settlements, increasingly important to taxpayers.
- New forms of reporting enabling the tax authorities to quickly analyse data and identify irregularities.