Corporate, Commercial Law and Dispute Resolution · Contracts, Commercial Law and Transactions
Tax audit legal support helps a business prepare documents, manage communication with inspectors and preserve its rights if the tax authority challenges transactions, accounting records or tax calculations. Companies with cross-border contracts or other higher-risk transactions should maintain audit-ready records even when their tax accounting is transparent.
Audit support is most effective when preparation starts before inspectors request large volumes of documents or employees provide explanations that later become part of the dispute.
Desk and On-Site Audits
Desk audits are conducted without an inspector visiting the taxpayer, while on-site audits take place at the business premises. On-site audits are broader and may involve original documents, inventory, accounting and tax records, contracts and other business documentation.
Audit findings may lead to additional tax liabilities, penalties, interest or other forms of responsibility. The legality of the authority's actions and conclusions should therefore be assessed separately from the existence of the audit itself.
Main Stages of Audit Support
preparation after receipt of the audit notice;
legal review of reporting and documentation to identify potential exposure;
support and control during the audit;
review of the audit findings and decisions issued afterwards.
Preparation for the Audit
Preparation can include analysis of tax authority requests, reconciliation and organisation of documents, employee instructions and identification of disputed tax issues. The business should understand which records may be requested and who is authorised to provide explanations.
During the Audit
Legal support may include attendance, review of inspectors' requests, preparation of written positions and control of whether the authority remains within the permitted scope of the audit. Where the order appointing the audit itself is disputed, the company may also consider the available challenge procedure.
Appealing Audit Actions and Decisions
Tax authority actions, omissions or decisions following the audit may be challenged administratively or in court. Preparation can include the complaint, evidence, procedural documents and representation before the tax authority or court.
Administrative and Criminal Exposure
Administrative-offence proceedings and criminal proceedings may also arise following tax audits, including allegations of tax evasion. Separate defence planning may therefore be required where the audit develops beyond a standard tax assessment.
Detailed Scope of Audit Support
review what documents may be requested or removed and what areas inspectors are likely to examine first;
analyse formal requests received from the tax authority;
organise reporting and primary documents and brief employees before the inspection;
prepare legal positions on disputed tax or fee calculations;
challenge the order appointing the audit where the source circumstances support that step;
attend the inspection and control communication with inspectors;
challenge actions, omissions and decisions resulting from the audit;
represent the taxpayer before the tax authority or court.
Administrative-Offence Proceedings after an Audit
Administrative-offence cases are a separate continuation of the audit process. Work may include statements, complaints, motions and evidence; attempts to cancel or reduce additional assessments before litigation; development of the defence position; participation in hearings; and control of timely execution of the court decision. Criminal proceedings arising from alleged tax evasion require a separate defence track.
Tax audit defence strategy should connect document preparation, conduct during the inspection and the appeal of any resulting assessment. Careful control of deadlines and evidence can reduce unnecessary penalties and avoid weakening the company's position before a formal tax dispute begins.
Why is it better with us?
The principal activities of the UBC group of companies are consulting, financial and investment services, search and selection of investors for business and attraction of loans, purchase and sale of established businesses in Ukraine, Europe and other countries, IT services, and development of commercial real estate in Ukraine and abroad. For the development of your business: registration of enterprises in Ukraine, ready-made companies in the EU, registration of companies in England and other countries, corporate law, offshore jurisdictions and offshore companies, business consulting, audit, certification, registration of LLCs, registration of financial companies, asset management companies, mutual investment funds, registration of joint-stock companies, issue of securities and bonds, and support for foreign investment.
The continuously expanding range of regional and foreign partners directly helps resolve our clients’ issues when conducting business both in Ukraine and abroad.
We are always focused on the result you need and will do everything to achieve it within the required timeframe, taking your wishes and requirements into detailed account! Why is it better to start business in Ukraine with UBC? The answer is simple - we have much more practical experience, resources and opportunities.
Price: Legal Support During Tax Audits