Form Gt-800042 - What To Expect From A Florida Tax Audit (Page 2 of 3) in pdf

You must keep records for three (3) years since an audit can extend back that far. The Department may

audit for periods longer than three years if you did not file, or filed a substantially incorrect return or

payment. If you fail to produce records, we will estimate your tax liability based on available information.

In the case of a field audit, the auditor will call you to arrange a date for the review of your records. The

auditor will interview you or your authorized representative. You must complete a Power of Attorney

(Form DR-835) if you want the auditor to discuss the audit with your authorized representative.

The auditor will ask about your type of business, organizational structure, accounting methods, and

systems. To minimize disruption of your workplace, you may want to assign certain employees to help

the auditor during a field review. An audit may be completed with minimal effort and disruption of daily

business activities if your records are easily available. Well-organized records and proper

documentation can save you time, money, and help speed the completion of an audit.

During the audit, you have the right to be informed of basic findings and proposed changes. Feel free to

ask questions. Auditors are there to offer and provide you with assistance in complying with Florida tax

laws.

What is E-Auditing?

Electronic auditing, or e-Auditing, is computer-assisted auditing that uses electronic records to complete

all or part of the audit. If you use a computer to record your business activity and maintain this data

electronically, you are a candidate for an electronic audit. During an electronic audit, you provide

electronic records and we use computer software programs to analyze the data. We prefer to examine

electronic records whenever possible, because it is the most accurate and efficient method of

conducting an audit.

If you have questions about e-Auditing or would like to receive a booklet with additional information,

contact your local service center.

Can I Request Technical Assistance During the Audit?

When there are transactions or issues for which the tax consequences are questionable, you may

request a written statement of our position at any time during the audit. A Technical Assistance

Advisement (TAA) is binding on the Department. To obtain a TAA, submit a written request containing

an accurate, detailed explanation of the transaction(s) or issue(s) to:

Technical Assistance and Dispute Resolution

PO Box 7443

Tallahassee FL 32314-7443

Provide a copy of your request to the auditor. Your request will receive priority treatment; however, the

auditor is under no obligation to suspend the audit pending a response.

The auditor may request guidance on the taxability of certain transactions or issues. If this occurs, you

will receive a copy of the request and will have 10 working days from the date of the request to provide

any information you want considered. When a decision is made, the auditor will provide you with a copy

of our Internal Technical Advisement (ITA).

If a decision is made after we submit the audit for review, billing, or assessment, we will make any

necessary adjustments to the audit findings.

What Happens After the Audit?

The auditor will notify you of the findings and the legal basis for any adjustments. In the case of a field

audit, the auditor will conduct an exit interview. Make sure you understand the reasons for any

proposed changes and ask for an explanation of unclear items. The auditor will explain your rights,

including deadlines for filing protests. You will receive a Notice of Intent to Make Audit Changes, which

summarizes the audit results and includes a written statement of your protest and appeal rights. If

additional tax is not due, we will send a letter stating the audit resulted in no changes to the tax returns

you filed for the audit period.

Once you have received and reviewed the audit findings, you will either agree or disagree with them. It

Florida Department of Revenue, What to Expect from a Florida Tax Audit, Page 2

Form Gt-800042 - What To Expect From A Florida Tax Audit Page 2

Related Articles

Related forms

Related Categories