Preparing for any audit can be quite a bit unsettling. There is the nerves as to what will be discovered, and then there is the getting everything situated and in their right place. If you do not have documentation, you have nothing! Documentation helps to prove you did what you did, and was aware of exceptions or rules governing what you are involved in as a business.
The primary purpose of an audit is to detect errors or irregularities. Thus, it is important to ensure that all the documents and information that are presented are orderly and make sense. This is one reason establishing a filing system and maintaining it, is so highly essential.
During the interview it is best to keep responses to queries brief; address the issue, and only the issue they raise. An audit is not the place for excuses, and it is unwise to get too detailed. Items they are likely to check are: bank statements, canceled checks, receipts, electronic register, check book or cash book, employee files, payroll taxes, income taxes, and appointment logs.
We have done many audits for our bookkeeping clients, and are very experienced and knowledgeable about preparing for, and getting through an audit – seamlessly.
Call us at 718-257-4535 to set up an appointment to help get your bookkeeping and accounting system in order and audit friendly. We do make a difference!
