An accounting audit is an examination of a company’s financial statements, usually by an independent accountant. The purpose of the audit is to assure investors and other interested parties that the statements are accurate.
The accountant who conducts the audit is a certified public accountant or hong kong accounting services. CPAs are licensed by state governments and are subject to rigorous standards of conduct. To become a CPA, an individual must complete a course of study at an accredited college or university and pass a thorough exam.
A tax audit is an examination by the Internal Revenue Service (IRS) of a taxpayer’s returns and supporting documents. The purpose of the audit is to ensure that the taxpayer has reported income and paid the correct amount of tax.
The IRS is authorized to conduct audits of individual taxpayers, corporations, partnerships, and other entities. The agency also has the authority to audit tax return preparers.
The IRS conducts most audits by mail. However, it may also request an in-person meeting with the taxpayer or send an agent to the taxpayer’s place of business.
If the IRS determines that additional Athenasia taxes are owed, it will send a bill for the amount due. The taxpayer has the right to appeal the assessment and may negotiate a payment plan or installment agreement with the IRS.
For individuals, the most common type of audit is a correspondence audit. This occurs when the IRS requests additional information or documentation to support a return that has been filed. The IRS may also conduct an audit of a taxpayer’s state tax returns.