TAX AUDIT ASSISTANCE
The tax audits performed by the Romanian tax authorities have become an important challenge for the businesses, due to the administrative costs involved and the increase trend of the value of the assessments.
A recent report of ANAF shows that the corporate income tax (including transfer pricing) and VAT count for approximately 90% of the amounts imposed following a tax audit. The average value of the additional tax obligations imposed after a tax audit is of RON 900,000.
Thus, it is critical to properly address these tax audits and our team will help you obtain the most during each stage of this process.
The risk assessment performed by the tax authorities is not transparent. However, in practice, a tax audit might be triggered especially if a company:
- is in a constant loss position;
- does not submit VAT refund requests (if the VAT returns show a VAT refundable position);
- activates in an industry with a high profile of tax risk, from the perspective of the tax authorities;
- was not subject to any tax audit in the last 5 years, etc.
Our team can assist you throughout all stages of a tax audit, including:
- Preliminary review of the tax position and documentation level;
- Ongoing assistance during the tax audit to ensure that the tax treatment is correctly assessed in all the cases;
- Assistance in the formal meetings and communication with the tax authorities;
- Assistance after the tax audit (e.g., preparation of appeals, judicial expertise, etc.).
Our team has extensive experience assisting clients during tax audits (more than 30 projects in the last years) and can provide assistance in using all the legal means available (including the jurisprudence of the European Court of Justice, opinions of the Ministry of Finance, etc.) to ensure that the correct tax treatment is applied in all the situations.