Tax Audit

We carry out a preliminary study of the financial data of a company that is in the process of buying and selling.

Tax Due Diligence

At ETL ILIA, we are experts in tax auditing. Precisely, in tax due diligence, that is, in the previous study of the financial data of a company that is in the process of buying and selling. In this way, we inform you if you have any financial contingency.

We ensure that both companies and individuals are up to date with their taxes, advising, preparing, reviewing, optimising, and minimizing tax burdens by the current legislative framework. This is possible because we have a group of expert advisers on the matter who guarantee compliance with all tax obligations.

Experts in Tax Due Diligence.

We take care of the entire process for your peace of mind.

Tell Us About Your Needs

What does our service consist of?

1. Previous analysis

We create a relationship between the auditor and the entity or individual that will contract the tax audit. We do a preliminary investigation to know the financial, accounting, organizational situation. For this, we use the quarterly, half-yearly or annual balance sheets.

2. Comparison

We proceed to collate the interannual data to observe the evolution of its economy and finances. This allows us to see what steps the subject has been following.

3. Balance sheet analysis

At this stage of the audit, we see the resources, debts, solvencies, benefits, and liquidity that the person who has hired the service has. We usually do it on an annual basis.

4. Study of fiscal risks

We investigate the tax problems that may arise if exhaustive tax management is not carried out. These may occur due to the application of tax legislation, the difficulty of their interpretation in some cases, or the modifications made in them over time, which may affect tax matters.

5. Review of tax procedures

This way, we know if the different tax procedures have been carried out correctly by the company or individual, always by current legislation.

6. Quantification of tax contingencies

One of the essential parts of a tax audit is determining the existence of tax contingencies related to current taxes. In this way, we can verify if the assets or liabilities of the company are correctly accounted for, reasonably reflecting the debts or credits at the end of the year, including taxes that have accrued up to the date of the audit.

7. Details of the last exercise

We always efficiently review the last exercise. This gives us the necessary information to know the problems that the company or individual may have.

8. Final report of conclusions

In this last stage, we present the conclusions of the entire procedure, which will be included in a report. In the case of tax due diligence with a checklist, we will inform you whether the transaction is viable.

Due Diligence or Audit

We take care of the entire process, from the preliminary analysis to the delivery of the report with the conclusions.

1. Tax Audit

Carrying out a good tax audit or through financial due diligence will help you avoid many problems in the future. It is the correct way to ensure that a company or individual complies with its obligations with the Public Treasury and the State. In addition, we cannot ignore that if we do not carry out a good DDF, we can end up acquiring a company with fiscal problems that, in the long run, harm us economically, personally and business. It is best to find an auditor knowledgeable in the field who is professional and conscientious in their work. And at ETL ILIA, we have the best professionals in the sector.

2. What is a Tax Audit?

A tax audit is an inspection process in which checks are carried out on the accounting records and documents of the company. It is used to confirm that the accounting has been carried out correctly, always by current legislation, and to ensure that the tax situation of both individuals and companies is free of problems.

This procedure can be applied both to people who own companies and to individuals: all active subjects who have obligations to the Public Administrations or the State can benefit from it.

Thanks to the tax audit, it is possible to investigate the accounting and money records or the operations carried out by a person in a specific period. In these cases, the tax auditor comes into play: a professional in charge of verifying that all the data is correct and that the operations have been properly declared to the Public Treasury. After this, the auditor will carry out an audit report, in which he will review in detail all the information that he has obtained and will comment if any aspects may present problems.

3. Advantages of doing a Tax Audit

The tax audit has many advantages at a financial and legal level. It is a way of knowing if we are up to date with the payment of our taxes. And thanks to it, we can also solve any error related to the operations carried out, both corporately and privately. But there are many other benefits, among which the following stand out.

Know possible failures. Thanks to this procedure, we can find out if there is an error when making the income tax declaration, in invoices or the income or expense data records.
They help prevent fraud. With a good audit, we will know our situation perfectly with the treasury. Therefore, we will see if we have made a mistake, solving it as soon as possible, thus avoiding possible sanctions.
We will comply with the law. In this way, we can ensure that taxes are being paid correctly. Above all if there is a change in the legislation that we may be unaware of.
Avoid paying more taxes than applicable. Some certain companies or individuals are paying more than their share. This can happen due to the complexity of the procedure or due to an error in the calculations. But with a good manager, we will be able to recover what we have overpaid to the State Coffers.

4. A fundamental service

At ETL ILIA, we offer an accurate and quality tax audit or tax due diligence. Thanks to it, we will always be up to date with our tax obligations or know in depth those of the companies we plan to acquire. Our team is made up of the best professionals in the sector.