Since the introduction of the Common Reporting Standard, the IRD risk review cases have increased in situations of omitted foreign income. This rule has been created to minimise tax evasion. It allows tax information to be shared between participating countries, so foreign assets and investments are more transparent to tax authorities than ever before.
There are many reasons why Inland Revenue might undertake a risk review, audit, or query on a taxpayer. It could be an anonymous tip-off that includes specific and credible information, cross-checking with another business’ disclosure and validating GST invoices, or benchmarking the taxpayer’s information with industry standards.
Our team has vast experience in dealing with Inland Revenue risk reviews/audits and in preparing voluntary disclosure letters. Our strong technical knowledge enables us to determine whether taxpayers have taken correct tax positions and whether Inland Revenue are correct in their interpretation of tax laws. We have a proven track record in reaching the best outcome for our clients. The following is a case we worked on: