What is Tax Audit Insurance?
Don’t let a tax audit burden your business with a mountain of professional fees and costs. In the event that your business is subject to a random audit from the ATO, Tax Audit Insurance covers the cost of professional fees for the accountants, book-keepers, lawyers and advisers required as well as other expenses that may be incurred.
What is Covered with Tax Audit Insurance?
- Professional Fees, for example accountants, lawyers, book-keepers and other advisers like actuaries, valuers, etc.
- Expenses incurred during audit
What is typically not Covered?
- Fines
- Some policies do not include audits by State tax authorities
Why is Tax Audit Insurance Important for Business Owners?
The Australian Tax Office is increasingly focussing on tax evasion and compliance, which means an audit is becoming more and more likely. With the right Tax Audit Insurance in place you can at least minimise the impact of audit costs – even if you can’t reduce the associated emotional stress!
Who should consider Tax Audit Insurance?
Any business that files tax returns should seriously consider Tax Audit Insurance, and if you business has multiple entities, you need to consider that all of these may be audited at the same time, thus increasing the burden of time and cost.
